Residential Focus - 9 December 2015

On December 1, the Australian Government's "amnesty" for foreign investors in breach of foreign investment rules relating to residential property (foreign investment rules) came to an end. In its place are greater compliance powers for the Australian Taxation Office, higher federal government fees and tougher penalties for breaches.

In May, the government announced a seven month window giving foreign nationals who had purchased residential property in breach of foreign investment rules until 30 November 2015 to declare the breach and avoid a penalty. Foreign nationals who declared the breach and who remained in ownership of residential property in breach of the rules were required to sell within 12 months.