Work out GST withholding on new residential premises or potential residential land
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- From the contract and the supplier's notice, record the contract price, any adjustment before settlement, whether the margin scheme is agreed in writing, whether the purchaser is registered and acquiring for a creditable purpose, and how the purchasers hold the land. Set out the withholding figure the notice states and the figure produced by one-eleventh, or by 7 per cent, rounded down to the nearest dollar. Do not decide that withholding applies.
- What the lawyer must review
- The lawyer decides whether the supply is excluded, whether the margin scheme agreement is effective, what must be withheld, and that a clearance-certificate obligation is a separate question. The lawyer confirms the edition of any standard contract that carries the notice.
- Written for / version
- US
Open a jurisdiction version of this task to see which instruments apply: US
Who does what
| Role | What they do |
|---|---|
| Assistance | Do not begin AI assistance until the responsible lawyer has defined and confirmed its permitted scope. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Use 7 per cent only where the margin scheme is agreed in writing before settlement.
- Round down to the nearest dollar.
- Do not treat a clearance certificate as answering this question. Both withholdings can apply.
- Read the exclusion for potential residential land acquired by a registered business for a creditable purpose before stating that withholding is due.
Sources
- ATO, GST at settlement · 2026-10-22
- Law Society of NSW and REINSW, Contract for the sale and purchase of land, 2022 edition sample · 2026-10-22
These are suggested working checks. Confirm the required checking with the responsible lawyer before work starts; the checking approach does not establish permission to use AI.