If you hold NSW residential land in a Discretionary Trust and there are potential non-resident beneficiaries – there will be new rules applied by the Revenue NSW office, which will apply to make the trust a foreign landholder, from 31 December 2019.

Being designated a foreign landholder exposes the trustee to:

  • +8% stamp duty when purchasing land and buildings
  • +2% land tax ongoing

Any clients affected should be urged to contact their solicitor’s now to make any allowable and required changes to their trust deeds.

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