Newly-built houses will be hit with GST - Shorten
The Government has released exposure draft legislation on the application of a goods and services tax (GST) on newly constructed residential premises.
Under the changes, GST will not apply to any new residential premises constructed prior to 27 January 2011. Any new constructions after this date will be subject to tax, stated Minister for Financial Services and Superannuation Bill Shorten.
According to the announcement, the proposed legislation will not apply to supplies of residential premises made on or after 27 January 2011 if the supply is because of a property subdivision plan lodged before that date.
"The measure contained in the draft legislation will ensure GST applies as intended to sales of new residential premises to home buyers and investors by builders and developers," Shorten said.
The draft legislation and explanatory memorandum are available on the Treasury website and open to public consultation until 21 October 2011.
Recommended for you
More than 30 advisers fell off the FAR during the Christmas and New Year period, according to Wealth Data, with half of these coming from licensee giant Entireti.
With next-generation heirs unlikely to retain their family’s financial advisers after receiving an inheritance, Capgemini has explored how firms can work with younger generations to maintain a relationship.
The use of technology and data analytics will be a way for advice firms to grow in 2025, according to Adviser Ratings, with those who are using it successfully reporting 10 per cent higher profit margins.
With Insignia shares up 32 per cent in the past month and the firm enacting a five-year growth plan, Morningstar believes the two recent acquisition bids from private equity firms demonstrate the company is undervalued.
