Setts+ Hub process;
To ensure that your funds are disbursed in accordance with your instructions we require your Bank Account to undergo a verification service to ensure that we have your correct Bank Account.
Please complete the following process to register:
PLEASE NOTE: A1 Conveyancing Will NOT Accept Liability for any Breach of your Personal Security, Bank Account or Funds Transfer if you Provide these Details via Email or Other Correspondence.
On 1 January 2019, foreign transfer duty and foreign landholder duty came into effect by amending the Duties Act 2008. The additional 7% duty applies to acquisitions of residential property where the buyer or transferee are foreign persons, including foreign companies and trusts.
What does this mean to you?
Every buyer or transferee that acquires or purchases land in Western Australia is now required to complete and lodge a Foreign Transfer Duty Declaration Form within two months of executing the dutiable transaction.
Foreign Buyers Duty
For transactions executed on or after 1 January 2019, an additional 7% duty will be chargeable on the dutiable value of certain acquisitions of residential property by foreign buyers.
Each person acquiring land in Western Australia must complete a foreign buyers declaration form HERE declaring whether they are a foreign person.
The Online Duties system will be modified to allow self-assessment of most dutiable transactions that are chargeable with foreign buyers duty.
For the purposes of the foreign buyers duty, residential property is –
1. land in Western Australia that is, or is capable of being, or is intended to be, used solely or dominantly for residential purposes;
2. vacant or substantially vacant land that is zone solely for residential purposes; or
3. any estate of interest in land described in (1) or (2).
A foreign person includes a foreign individual, corporation or trust.
See the foreign transfer duty HERE and foreign landholder duty fact sheets HERE for information about foreign persons and residential property.
Exemptions or nominal transfer duty
Most dutiable transactions that would be eligible for nominal duty or an exemption from transfer duty will also be exempt from foreign buyers duty. This includes certain transactions involving family court orders and matrimonial agreements, deceased estate transactions and partitions of residential property.
Face-to-face customer education sessions commenced in December 2018. Visit our OSR's education page to register now for upcoming sessions HERE.
Foreign buyer duty publications, frequently asked questions and other support material is available HERE
For more information on foreign buyers duty, see the legislation available on the Western Australian Parliament website HERE
Watch the Video HERE
Source: 19th December 2018 AICWA e-Newsletter
Due to the popularity of our spring special, we are changing our pricing structure away from the Antiquated Settlement Scale Fee and adopting a fairer 'user pay' model.
The move to a fairer 'user pay' pricing model- uses a competitive base Settlement Fee set for the basic straight forward Property Sale and Purchase based on market value price brackets, with capped surcharges applicable as required, rather than apply an excessive hourly rate for the 'outside of normal'/additional work.
Settlement Fee means the reward claimed as professional Settlement fee for the base Settlement service component provided. It excludes Government, other fees, Surcharges, disbursements or third party fees and charges.
Strata Surcharge applies to cover the extra work involved where property is a Strata (AKA Purple) titled property.
Meeting Surcharge fee is applicable where a 'face to face' meeting to explain or go through settlement procedures &/ paperwork.
Verification of Identity fee applies if an in-house or the additional 'come to you' service is requested to provide this. There is no need to request this if your VOI and CAF have already done by an Outside but authorised ID agent. -Best practice is to ensure that your Client Authorisation Form (CAF) is witnessed by same identifier.
High Touch/Communications - refers to communication blocks numbering upto ten (10) communications in each block. ie both in and out is one (1) communication, however followups and reissues also count as additional communications - best to act sooner on the required paperwork to avoid excess communications.
File handling -refers for opening and/closing a file whether settled or not, as this still does accrue time, effort and or expense.
GST Withholding handling -refers to extra effort and work involved in dealing with GST on residential property withholding ATO forms required on each basis.
Lease Surcharge applies to cover the extra work involved where property is a lease is involved with settlement on property.
Difficulty Handling Levy refers to each change from the initial quote as an amount of extra work which was not included in the original scope of work/client disclosure -being requested by client.
CIRCULAR 17 DUTIES ACT 2008
Foreign Buyers Duty
The Duties Amendment (Additional Duty for Foreign Persons) Bill 2018 (‘the Bill’) was second read into Parliament on 13 June 2018. The Bill operates to amend the Duties Act 2008 (‘Duties Act’) to impose additional duty on certain transactions involving foreign persons or entities acquiring residential property in Western Australia.
These amendments are subject to the passing of the Bill by Parliament and the granting of Royal Assent. The changes are proposed to come into effect on 1 January 2019.
The information provided in this circular is not an exhaustive explanation of the amendments, and reference should be made to the Bill and the Explanatory Memorandum available on the Western Australian Parliament website.
READ MORE HERE
Duty Training Sessions
AICWA will be liaising with OSR to deliver training opportunities to facilitate the Foreign Buyer Duty remittance. Stay tuned for more!
Source:10th October 2018 AICWA e-Newsletter
Duties document lodgment and assessment form
As part of the Office of State Revenue’s strategy to increase our digital services a new duties document lodgment and assessment form will be available on our website from Monday 20 August 2018.
The new form will replace the carbon copy form previously used to lodge documents with the Commissioner for a duty assessment.
The new form must be completed by all lodging parties who lodge transactions for immediate assessment at the public counter, and to lodge physical documents for a Commissioner’s Assessment. A lodgment identification number (Bundle ID) will now be generated at the time the transaction is immediately assessed or lodged for assessment.
With the imposition of new laws there are new & additional new levels of work involved towards the completion of your property settlement.
The Australian Taxation Office and their Withholding tax implications for Foreign Resident and also the New GST on Residence, may expose both the buyer and seller to new compliance requirements and possible penalties, however if you believe these might apply to your settlement please inform your Conveyancer immediately to action and avoid penalties accruing on your side.
Most Conveyancers' like Lawyers would charge and hourly rate especially for dealing with 'out of scope' or extra work involved. You may have opted to undertake these actions yourself, however if you want your Conveyancer to handle all the required, be prepared to pay them for the extra work.
Here at A1 Conveyancing we have decided that the hourly rate is probably the fairest way of handling the unknown, however we have undertaken extra training at our cost to improve our knowledge in handling these matters for you. As such we are thinking of a capped surcharge on a user-pay model where a small surcharge is applied only as warranted, rather than impose an indefinite hourly charge. Giving our clients more certainty of their costs.
CIB 309: End of Financial Year Document Lodgement
18 June 2018
End of Financial year is traditionally a time of high lodgement activity. On Friday 29 June 2018, Landgate will support customers and industry with the following initiatives:
Settlement room availability - The settlement room inside our Perth Business Office will be available for customer use. We anticipate that this room will be in high demand on the day and we will continue to provide support and assistance.
Express queue - Three express terminals will be available for customers who have up to five documents to lodge. Customers using the express queues must pay via EFTPOS or cheque. Cash facilities will not be available at these counters.
Multiple documents - Landgate will set up additional workstations on the day for customers lodging more than five (5) documents.
Lodgement acceptability checklist - All documents presented for lodgement must be checked and pass against the lodgement acceptability checklist by a Landgate authorised officer. These resources will help customers with compliance and assist in reducing customer wait times:eConveyancing page.
Information Officer: To reduce customers waiting to see an Information Officer at the Perth office, Landgate have organised for an Information Officer to be located at SAI Global between:
11.00am – 1.00pm and 2.00pm – 3.30pm.
End of Financial Year business hours
Landgate lodgement hours remain strictly 8:30am to 4.30pm.
Documents will not be accepted for lodgement outside these hours.
It is the responsibility of the lodging party to ensure documents comply at lodgement and if they are subject to a non-compliance report, they must be made compliant prior to 4.30pm on 29 June 2018.
Delegate of Registrar of Titles
Source:CIB 309: End of Financial Year Document Lodgement
Regulated products and services
From 1 July 2018, Landgate’s regulated fees are due to increase approximately 1.5 per cent,
in line with the average forecast rate of the Consumer Price Index (CPI).
The proposed fees are available on our website. Please be aware these are subject to
approval from the Governor in Executive Council and publishing in the Government Gazette.
Deloitte Access Economics have delivered a paper on the “Impacts of e-Conveyancing on the conveyancing industry”. Current net benefit in WA is indicated as being in the negative, but future expectations for 2020-21, where usage increases to 100%, predicts a turnaround 400 times greater than the current benefit experienced by the industry.
The cost to practitioners of having to abandon an electronic workspace is also estimated at $69, however, it was estimated that a practitioner could benefit from time saving of 3.5 hours per transaction. In the absence of a comprehensive time and motion study with a significant and diverse sample set of the industry these figures are hard to justify.
How do we now ensure greater benefit so as to turn the current negative into a positive?
What strategies, improvements and initiatives need to be undertaken to make e-conveyancing a success in WA?
Keep me updated, join us here...