This change was initially announced at the NSW Government’s 2016 budget, which also introduced a 4% foreign investor transfer duty surcharge. More here .
The changes have been forecast to generate more than $1 billion in revenue over four years to 2019-20, with $166 million from land tax.
Who is a foreign person?
According to the NSW Office of State Revenue an individual who is not an Australian citizen, is a foreign person, if they are not ordinarily resident in Australia.
It added that a foreign person can be:
- an individual
- a corporation
- a trustee of a trust
- a beneficiary of a land tax fixed trust
- a government
- a government investor
- a partner in a limited partnership.
For more information and definitions on who is a foreign person, visit the Office of State Revenue website here.