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Replies 6

When you mention you need to have received a release amount before signing a contract. Does that refer to notice of how much will be released, or actually having the funds in your account ?
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ATO Certified Response

Devotee

Replies 5

Hi Michael3

 

It's the date the ATO makes the payment to your bank account.

 

If you sign the contract beforehand it's unlikely you'll be able to avoid paying the FHSS tax as it's unlikely you'll be able to sign another contract for purchasing another house within 12 months of the money having been released.

 

I'm an ATO employee voluntarily providing my time here

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Most helpful response

ATO Certified Response

Devotee

Replies 5

Hi Michael3

 

It's the date the ATO makes the payment to your bank account.

 

If you sign the contract beforehand it's unlikely you'll be able to avoid paying the FHSS tax as it's unlikely you'll be able to sign another contract for purchasing another house within 12 months of the money having been released.

 

I'm an ATO employee voluntarily providing my time here

Anonymous

Replies 4

@SebReiter  @JodieH  @Michael3

this does not seem correct , as a taxpayer has reported on this site that they received notification that the funds were released before the funds hit their account.  This seems to indicate that as the ATO in this case has notified the taxpayer that funds have been " released " then the taxpayer is not liable for FHSS from that point onwards, as the funds are officially released. 

 

Have a look at this post :

 

 Newbie

Replies 1

 
Yes! They sent me a message saying my money was released Friday - just in time for the auction (unfortunately we were outbid though) - so that would make it 10 business days. As it was a Friday the money has not appeared in my bank yet... hopefully it will in a couple of days. Have you had any luck?
 

Devotee

Replies 3

Hi MVF

 

I should have been clearer - the relevant date is the date the ATO initiates the payment to the bank account. The date on which the money shows up in the bank account isn't the relevant date.

 

I'm an ATO employee voluntarily providing my time here

Anonymous

Replies 2

Hi @SebReiter,

would it not be the date the taxpayer is notified of release ..... as that is date the ATO have advised the taxpayer that they made their determination?   

 

Otherwise, how would the taxpayer know when the ATO initiates payment ??

 

 

 

 

Devotee

Replies 1

Hi @Anonymous

 

It's not the date of the determination. Someone responds to the determination we make about the amount that's eligible to be released by saying 'yes, go ahead and release it please'.

 

We then send the release request to the nominated super fund. They process it and release the money to us. We withhold tax as needed and then initiate the payment to the person's nominated bank account.

 

It's this final event that is the relevant one - someone needs to sign a contract within 12 months of this date.

 

People can log in via myGov to track the progress of their FHSS application. They'll be able to see when we've made the payment to their bank account.

 

People also receive myGov messages at various points during the process. I don't know if a myGov message is sent at the time we initiate the payment to the bank account.

 

I'm an ATO employee voluntarily providing my time here

Anonymous

Replies 0

Hi @SebReiter

 

thanks for clearing that up .. I also just had a read of the EM and Div 131 and now have a clearer understanding ...

 

I asked someone what sort of notification they received from the ATO and it will be interesting to know what the response is ...

 

Regards 

 

MVF