Australia: Introduction of new fee structure for foreign property investors
Changes announced concerning introduction of new fee structure for foreign property investors
Concerning introduction of new fee structure for foreign property investors
The federal government announced that it will adjust the foreign investment framework by raising fees for the purchase of establish homes, increase penalties on vacant properties, and cut application fees for build-to-rent projects.
The changes that were announced include:
- A tripling of foreign investment fees for the purchase of established homes
- A doubling of vacancy fees for all foreign‑owned dwellings purchased since 9 May 2017
- Providing that foreign investment application fees for build-to-rent projects are at the lowest commercial level—no matter the kind of land involved
- Enhancing the Australian Taxation Office’s compliance regime to make sure foreign investors comply with the rules, including selling their residence when required
The government intends to introduce legislation next year to implement the new fees.
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