From 1 January 2025, all Australian tax residents entering into a contract to sell a property must have a clearance certificate.
The certificate must be given to the purchaser at, or before settlement. If the purchaser does not receive a clearance certificate, they are obliged to withhold 15% of the selling price and remit it to the ATO.
For contracts entered into prior 1 January 2025, a clearance certificate is only required for properties sold for $750,000 and over. The threshold applies even if the settlement takes place after 1 January 2025.
Should you be entering into a contract of sale for a property that you own please contact us on (07) 3910 5675 for assistance with preparation of the required clearance certificate.