Western Australian Current Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [Help]

DUTIES ACT 2008 - SECT 87

87 .         References to conditional agreement

        (1)         A reference to a conditional agreement is to an agreement for the transfer of dutiable property where —

            (a)         completion of the agreement is conditional on the happening of one or more of the events described in subsection (2) and specified in an instrument effecting or evidencing the agreement; and

            (b)         the parties to the agreement do not have control over the happening of the event, except to the extent that they are required under the agreement to use their best endeavours to secure the happening of the event; and

            (c)         a person related to a party to the agreement does not have control over the happening of the event,

                unless —

            (d)         it is a call option of a simultaneous put and call option taken to be an agreement for the transfer of option property under section 45; or

            (e)         it is an agreement that is subject to a condition which, in the opinion of the Commissioner, constitutes a scheme or arrangement, or part of a scheme or arrangement, the sole or dominant purpose of which is to defer the payment of duty.

        (2)         The following events are specified for the purposes of subsection (1)(a) —

            (a)         the obtaining by a purchaser under the agreement of a satisfactory private taxation ruling by the Commissioner of Taxation of the Commonwealth as to the consequences of the agreement with respect to taxation under a law of the Commonwealth;

            (b)         the obtaining, to the satisfaction of a purchaser under the agreement, of funds or of approval to obtain funds to finance the purchase;

            (c)         the obtaining by a purchaser under the agreement of a satisfactory building inspection, geotechnical or environmental report from a third party in relation to the property the subject of the agreement;

            (d)         the obtaining by a vendor under the agreement of the consent of the Minister responsible for administering the Land Administration Act 1997 to transfer a lease of leasehold land to a purchaser under the agreement;

            (e)         the authorisation of the payment to a purchaser under the agreement of a first home owner grant under the First Home Owner Grant Act 2000 in relation to a property the subject of the agreement;

            (f)         the obtaining by a purchaser under the agreement of a licence to trade or the grant of a franchise;

            (g)         where the subject of the agreement is a commercial property, the obtaining by a vendor under the agreement of the renewal of an existing lease of the property;

            (h)         the obtaining from the landlord of a leasehold business by a vendor of the business the subject of the agreement, of a new lease, or of an assignment of the current lease to a purchaser under the agreement;

                  (i)         the sale of another property by a purchaser under the agreement;

            (j)         the obtaining by a vendor under the agreement of —

                  (i)         the approval under the Planning and Development Act 2005 section 135 for the subdivision of the land, or part of the land, the subject of the agreement; or

            (ia)         the registration of a community titles scheme or an amendment of a community titles scheme under the Community Titles Act 2018 ; or

                  (ii)         the registration of a strata titles scheme or an amendment of a strata titles scheme under the Strata Titles Act 1985 ;

            (k)         the obtaining by a purchaser under the agreement of approval from a regulatory body;

            (l)         the results of the making of due diligence inquiries by a purchaser under the agreement where the results are to be measured against objective criteria set out in an instrument that effects or evidences the agreement;

            (m)         the issue of a certificate of title (however described) for the property the subject of the agreement;

            (n)         the obtaining by a purchaser of consent required under the Mining Act 1978 for the transfer of a mining tenement the subject of the agreement;

            (o)         a prescribed event.

        [(3), (4)         deleted]

        (5)         For the purposes of subsection (1)(c), the following persons are related persons —

            (a)         joint owners of property;

            (b)         individuals who are in partnership with each other;

            (c)         participants in the same joint venture;

            (d)         family members;

            (e)         related corporations;

            (f)         a trustee and another trustee if there is any beneficiary common to the trusts of which they are trustees, whether the beneficiary has a vested share or is contingently entitled or may benefit from a discretionary trust;

            (g)         an individual and a corporation, if the individual is a majority shareholder, director or secretary of the corporation or a related corporation;

            (h)         an individual and a trustee, if the individual is a beneficiary under the trust of which the trustee is a trustee, whether the beneficiary has a vested share or is contingently entitled or is a potential beneficiary under a discretionary trust;

                  (i)         a corporation and a trustee if —

                  (i)         the corporation or a majority shareholder, director or secretary of the corporation is a beneficiary under the trust of which the trustee is a trustee; or

                  (ii)         a related corporation to the corporation is a beneficiary under the trust of which the trustee is a trustee,

                whether the beneficiary has a vested share or is contingently entitled or is a potential beneficiary under a discretionary trust.

        (6)         A reference in subsection (5)(d) to a family member of a person is to —

            (a)         a child or remoter lineal descendant of the person; or

            (b)         a parent or remoter lineal ancestor of the person; or

            (c)         a brother or sister of the person or a child or remoter lineal descendant of a brother or sister of the person; or

            (d)         an aunt or uncle of the person; or

            (e)         the spouse, former spouse, de facto partner or former de facto partner of the person; or

            (f)         a family member referred to in paragraph (b), (c) or (d) of a person referred to in paragraph (e); or

            (g)         the spouse or de facto partner of a person mentioned in paragraph (a), (b), (c) or (d); or

            (h)         a child or remoter lineal descendant of a former spouse or former de facto partner of a person,

                or more than one of them.

        [Section 87 amended: No. 17 of 2010 s. 8; No. 12 of 2019 s. 33; No. 30 of 2018 s. 134; No. 32 of 2018 s. 205.]



AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback