Selling property in Australia now comes with stricter tax requirements, and failing to comply could be costly.

As of January 2025, all property sellers must obtain a clearance certificate from the ATO, or buyers will be required to withhold 15% of the sale price.

Previously, this rule only applied to overseas sellers, but it now includes all Australian residents.

Sellers must provide the buyer with a clearance certificate confirming their Australian residency for tax purposes at or before settlement.

However, the rule does not apply to contracts signed before 2025 that have yet to settle.

A major change is the removal of the $750,000 property value threshold, meaning all sales—regardless of price—are now subject to the requirement.

Meanwhile, the ATO is cracking down on rental income reporting.

It will cross-check bond lodgement data against tax returns to identify landlords who haven’t declared rental earnings or have under-reported income.