Change of the Reporting Period for Third Party Reports on Real Property Transfers Determination 2016

Administered by Department of the Treasury

Legislation au F2016L00541 In force Legislative Instrument

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Explanatory Statement

 

CHANGE OF THE REPORTING PERIOD FOR THIRD PARTY REPORTS ON REAL PROPERTY TRANSFERS DETERMINATION 2016  

 

 

 

General Outline of Instrument

 

  1. This instrument is made under subparagraph 396-55(a)(ii) of Schedule 1 to the Taxation Administration Act 1953 (TAA 1953).
  2. This instrument changes the reporting period for reports to be given by third parties under table item 3 to section 396-55 of Schedule 1 to the TAA 1953.
  3. Under subsection 33(3) of the Acts Interpretation Act 1901, where an Act confers a power to make, grant or issue any instrument of a legislative or administrative character (including rules, regulations or by-laws), the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend, or vary any such instrument.
  4. The instrument is a legislative instrument for the purposes of the Legislation Act 2003.

 

Date of effect

 

5.      The instrument commences on 1 July 2016. 

 

What is this instrument about

 

6.      The purpose of this instrument is to change the reporting period for reports required to be given by States and Territories in relation to table item 3 in section 396-55 of Schedule 1 to the TAA 1953.  

 

 

What is the effect of this instrument

7.      This instrument changes the default reporting period for reports required to be given by entities in relation to table item 3 in section 396-55 of Schedule 1 to the TAA 1953.

8.      This instrument changes the reporting period from ‘financial year’ to ‘quarterly’ periods. Entities must provide a report in the approved form 31 days after each period of 3 months ending on 30 September, 31 December, 31 March and 30 June.

9.      Compliance Cost Impact: Minor – There will be no or minimal impacts for both implementation and ongoing compliance costs. The legislative instrument is minor or machinery in nature.  

 

Background

 

10.  The Explanatory Memorandum to the Tax and Superannuation Laws Amendment (2015 Measures No.5) Bill 2015 explains that the regime provides a default reporting period of a financial year, so each entity is required to report to the Commissioner of Taxation (Commissioner) on an annual basis in regards to any transactions that have occurred in the previous financial year.

11.  Subparagraph 396-55(a)(ii) of Schedule 1 to the TAA 1953  allows the Commissioner to change the reporting period by legislative instrument to another period.

12.  This instrument changes the reporting period for third party reports on real property from ‘financial year’ to ‘quarterly’ periods.

 

Consultation

 

The Australian Taxation Office (ATO) opened its legislative instruments consultation period on the 15 December 2015 and concluded on 15 February 2016.  The public was invited to provide feedback during the consultation period. Stakeholders consulted include the State and Territory Revenue and Titles Offices in each jurisdiction, the Law Council of Australia, the Australian Institute of Conveyancers and the Electronic Conveyancing Group. Extensive consultation undertaken with key stakeholders during the initial development of Subdivision 396-B in Schedule 1 to the TAA 1953 has resulted in no feedback or material concerns being raised with the ATO, during the Legislative Instrument consultation period. 

 

 

 

 

 

 

Greg Williams

Deputy Commissioner of Taxation

dd April 2016

 

Legislative references:

 

Taxation Administration Act 1953

Tax and Superannuation Laws Amendment (2015 Measures No.5) Act 2015

Human Rights (Parliamentary Scrutiny) Act 2011

Legislation Act 2003


Statement of Compatibility with Human Rights

This Statement is prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

 

CHANGE OF THE REPORTING PERIOD FOR THIRD PARTY REPORTS ON REAL PROPERTY TRANSFERS DETERMINATION 2016

 

This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

 

Overview of the Legislative Instrument

 

The Legislative Instrument varies the reporting period for States and Territories to provide information on real property transfers, which may give rise to an income tax liability, for example, a net capital gains tax liability. The instrument changes the reporting period from ‘financial year’ to ‘quarterly’ period.

 

Human rights implications

 

This Legislative Instrument does not engage any of the applicable rights or freedoms. It varies reporting periods which is considered to be minor in nature.

 

Conclusion

 

This legislative Instrument does not raise any human rights issues.

 

 

 

Overview

The Change of the Reporting Period for Third Party Reports on Real Property Transfers Determination 2016 was enacted to modify the reporting period for third parties under the Taxation Administration Act 1953 (TAA 1953). This legislative instrument was introduced to address the need for more frequent reporting on real property transactions, which can impact income tax liabilities such as net capital gains tax. The determination was made under the authority granted by subparagraph 396-55(a)(ii) of Schedule 1 to the TAA 1953, and it was enacted by the Commonwealth of Australia. The policy objective of this instrument is to enhance the accuracy and timeliness of tax reporting, thereby improving compliance and ensuring that the tax system operates efficiently. The instrument changes the default reporting period from an annual financial year to quarterly periods, requiring entities to submit reports 31 days after each quarter ends on 30 September, 31 December, 31 March, and 30 June. This change is expected to have minor compliance cost impacts and is considered to be of a legislative or administrative nature.

Scope and Application

The CHANGE OF THE REPORTING PERIOD FOR THIRD PARTY REPORTS ON REAL PROPERTY TRANSFERS DETERMINATION 2016 applies to entities in Australia that are required to provide reports to the Commissioner of Taxation under section 396-55 of Schedule 1 to the Taxation Administration Act 1953, specifically concerning real property transfers that may result in income tax liabilities. This includes states and territories that must submit these reports, thus affecting their administrative processes and compliance requirements. The determination modifies the reporting period from an annual financial year to a quarterly schedule, requiring entities to submit reports 31 days after each quarter ending on 30 September, 31 December, 31 March, and 30 June. The instrument is applicable nationally and operates under the authority granted by subparagraph 396-55(a)(ii) of Schedule 1 to the TAA 1953. There are no stated exclusions or exemptions in this legislative instrument, but it is noted that the instrument is minor in nature and is expected to have minimal impacts on compliance costs.

Key Provisions

The CHANGE OF THE REPORTING PERIOD FOR THIRD PARTY REPORTS ON REAL PROPERTY TRANSFERS DETERMINATION 2016 (F2016L00541) modifies the reporting requirements under section 396-55 of Schedule 1 to the Taxation Administration Act 1953 (TAA 1953). Specifically, this legislative instrument alters the default reporting period for third-party reports on real property transfers from a financial year to quarterly periods. Entities are now required to submit reports 31 days after each quarter ending on 30 September, 31 December, 31 March, and 30 June (sections 6 and 8). The determination aims to ensure more timely and frequent reporting of transactions that may incur income tax liabilities, such as net capital gains tax. This Act imposes clear obligations on the entities required to report on real property transfers. They must submit their reports within the specified timeframe after each quarter. The reports must adhere to the approved form and contain accurate information regarding transactions that occurred during the quarter in question (section 8). Compliance with these reporting requirements is essential to maintain transparency and assist in the accurate assessment of tax liabilities. Failure to comply with the reporting obligations set forth in this determination can lead to significant consequences. Although the instrument itself does not detail specific penalties, breaches of reporting requirements under the TAA 1953 generally attract penalties. These penalties can include fines up to the maximum specified by the Act, and in severe cases, criminal charges for wilful default or fraudulent behavior. The penalties serve as a deterrent to non-compliance and ensure that all entities adhere to the reporting requirements.

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Area of Law
Taxation Law
Instrument
Legislative Instrument
Concepts
Definitions & Interpretation
Reporting & Disclosure Obligations
Compliance Obligations

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.