From 1 April 2025 to 31 March 2027, no foreign investor can buy built homes. The idea is to curb foreign land banking and ensure the availability of houses for Australians. From 1 April 2025, foreign investors will not be able to buy built homes unless they qualify for specific exemptions. Limited exceptions will include investments that maximise the housing supply or support housing supply availability and those associated with the Pacific Australia Labour Mobility (PALM) scheme.
Additionally, foreign investors buying vacant land must meet development conditions, ensuring the land is used productively within a reasonable timeline. The Government has indicated that these rules will be enforced and identify any foreign investors who are buying vacant land, not building it while prices increase, and then selling it for a profit. To support these efforts, the ATO will focus on compliance activities to apply the ban on foreign purchases of existing homes.
Buy Now, Pay Later Regulations
A further exposure draft of regulations for the Buy Now, Pay Later sector for Consultation has been released by the Government. Here are some provisions of these BNPL reforms:
- Strengthened consumer protections: There are clear obligations on BNPL providers to perform affordability checks, ensure potential lending practices, and implement mechanisms to address vulnerable consumers.
- Transparent pricing and disclosure: There is an enhanced need for transparency in charges and fees, ensuring Australians are aware of the cost of BNPL products.
- Industry-wide accountability: BNPL providers will be held to standards, creating a playing field and offering certainty for the industry to innovate and invest.
Updated TPB Guidance
The TPB has updated its data sheets and website guidance to include references to the updated Code of Professional Conduct and the current version of the APES standards. Here is the information that has been updated:
- TPB(I) 19/2014 Code of Professional Conduct – Managing conflicts of interest: updated to include reference to the obligation to handle conflicts of interest when conducting activities for the government under section 20 of the Tax Agent Services Determination 2024
- TPB(I) 21/2014 Code of Professional Conduct – Confidentiality of client information: updated to include references to the obligation in section 25 of the Determination that relates to maintaining confidentiality in dealings with government
- TPB(I) 18/2013 Code of Professional Conduct – Reasonable care to ensure taxation laws are applied correctly: updated to incorporate references to the existing version of the APES Standards
- TPB(I) 17/2013 Code of Professional Conduct – Reasonable care to ascertain a client’s state of affairs: updated to incorporate references to the existing version of the APES Standards.