The Minister clarifies the Department of Regional Development and Lands' policy on applying the margin scheme for GST on land sales, stating agreement is possible if both parties consent in writing before transfer. The standard condition of sale includes 10% GST.

AnsweredQoN 4175Legislative Assembly
Asked
14 October 2010
Portfolio
Regional Development; Lands; Minister Assisting the Minister for State Development; Minister Assisting the Minister for Transport

QuestionView source ↗

In relation to the sale of land by the Department of Regional Development and Lands, can the Minister outline:
(a) if a margin scheme applied for by a purchaser will be agreed to by the Department of Regional Development and Lands; and
(i) if not, why not;
(ii) if yes, what is required of the purchaser to apply for a margin scheme and receive agreement from the Department of Regional Development and Lands?

AnswerView source ↗

Answered
17 November 2010
Responded by
Minister for Regional Development; Lands; Minister Assisting the Minister for State Development; Minister Assisting the Minister for Transport
Response time
34 days
(a) Yes, if both the supplier and recipient agree in writing before a property sold is transferred that the margin scheme will apply.  The Department of Regional Development and Lands condition of sale at a public auction or public tender states that 10% GST applies to the purchase price.
(i) Not applicable.
(ii) Answered by (a).
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