About Jarrod_McAleese

  When dealing with new residential premises or potential residential land, purchasers are now required to pay the GST on the purchase price directly to the Australian Taxation Office (ATO), in a legislation change effective 1 July 2018. Previously, developers were responsible for this payment.   The new legislation applies to land contracts in effect on or after 1 July 2018. This has been introduced to increase transparency in the GST collection process and prevent illegal phoenix activity.  The amount of GST payable remains the same. Transfer of title is not conditional on payment of the GST withholding amount to the ATO by the purchaser.   PEXA provides a simple method for completion of this task, offering practitioners greater efficiency and visibility around GST. Clarity around the payment of GST will be also beneficial to developers.   The vendor is entitled to GST input tax credits for the withheld amount the purchaser pays. If the purchaser withholds an amount from the supplier, but does not pay it to the Commissioner, the supplier will not be entitled to input tax credits.   As part of PEXA’s Release 8.0 , a new disbursement line item category has been added in the Financial Settlement Schedule titled GST Withholding to complete this action. This category is available to the Incoming Proprietor and Proprietors on Title.   Upon selection of the category GST Withholding:   PEXA will auto-fill the ATO BSB and Account Number fields PEXA will prompt you to enter the ATO Payment Reference number Once the GST withholding destination line item is created, it will be available for view by both the Workspace Participant who created the line item and the Workspace Participant identified as the Associated Subscriber As per the existing PEXA process for third party disbursements, both the Workspace Participant who created the line item and the Workspace Participant identified as the Associated Subscriber will be required to digitally sign the line item All Workspace Participants having created Source and Destination Line Items or identified as an Associated Subscriber to a destination line item in the Financial Settlement Schedule, will be able to prepare a Settlement Statement An overview of the process can be found below.     ... View more

From 1 May onwards, all combinations of transfer transactions will move online in Western Australia. The upcoming weeks and months are crucial as our industry prepares for this digital shift. As we enter this period, it’s important to ensure your business is digital-ready – and we’re here to help you prepare. Understanding the new requirements is vital and we want to help you get to speed as soon as possible to enable you to transact efficiently and effectively following the compliance date. The below transactions commenced after 1 May, both singly and in combination, will need to be completed electronically: Mortgages Discharge of mortgages Transfers Caveats Withdrawals of caveats Landgate provides a transaction eligibility list which can be found on their e-Conveyancing webpage while  OSR provide insight on their e-Conveyancing page and in their transaction guidelines. Working together is key so please reach out to us if you require support. ... View more