FROM THE BLOG

Is a contract of sale required in related party transfers?

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For an amicable transfer of property, where neither party intends to exercise any rights should the other party default, it’s generally not necessary to prepare a formal contract of sale.

However, in some cases the State Revenue Office or a bank may wish to see a formal agreement, or a party may want a formal agreement for tax records, in which case a simple contract may be entered into without the need or expense of preparing a section 32 statement.

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