Related party transactions: duty requirements

If the transaction is between related parties, provide:

1. the transaction record (such as a transfer or agreement to transfer)
2. a completed Foreign Transfer Duty Declaration Form
3. completed duties valuation forms for all land (not required if lodging electronically). Duties valuation forms are not required if a valuation is obtained from a qualified valuer which meets the criteria specified in Commissioner’s Practice TAA 23 ‘Circumstances when a Taxpayer will be Required to Provide a Written Valuation’
4. a copy of any valuation or appraisal conducted on the property within three months of the date of the transaction
5. the amount of any liabilities assumed under the transaction
6. the amount of any debt released or extinguished under the transaction
7. if a life or remainder interest in land is involved – the information set out in Valuation of life and remainder interests
8. if the property is under crop – details of
   • the area under crop
   • the crop sown
   • the date of planting
   • the cost of planting, including labour, seed, fertiliser, fuel etc.
9. any other information that may assist us to assess the duty.

An assessment of duty will not be issued until all required information is provided.

Forms

• Duties valuation forms
• FDA41 ‘Foreign Transfer Duty Declaration’

Publications

• Commissioner’s Practice TAA 30 ‘Valuation of Land for Duties Purposes’
• Fact Sheet ‘Foreign Transfer Duty’