95Acquisition of interests in established dwellings

#### 95 Acquisition of interests in established dwellings Temporary residents (1) A foreign person who is a temporary resident must not hold an interest in more than one established dwelling at the same time. Temporary residents—exceptions (2) Subsection (1) does not apply if: (a) the person is making a genuine attempt to dispose of one or more of the interests; and (b) if those interests were disposed of, the person would not contravene subsection (1); and (c) the person has been holding an interest in more than one established dwelling for less than 6 months. (3) Subsection (1) does not apply in relation to an interest in an established dwelling if, at the time the interest was acquired by the person: (a) the dwelling was a new dwelling; or (b) the person was not prohibited from holding the interest in that dwelling at the same time as holding an interest in another established dwelling. > Note: There is another exception in subsection (5). Other foreign persons (4) A foreign person who is not a temporary resident must not acquire an interest in an established dwelling. General exceptions (5) Subsections (1), (4) and (8) do not apply in relation to an interest if the interest was, or was of a kind, specified in: (a) an exemption certificate; or (b) a no objection notification; or (c) a notice imposing conditions. Civil penalties (6) A person who contravenes subsection (1) or (4) is liable to a civil penalty. (7) The maximum penalty for a contravention of subsection (1) or (4) is the greatest of the following: (a) double the amount of the capital gain that was made or would be made on the disposal of the interest mentioned in subsection (8) or (9) (whichever is applicable); (b) 50% of the consideration for the acquisition of that interest; (c) 50% of the market value of that interest. > Note: For how to work out the capital gain, see section 98. (8) If the contravention is a contravention of subsection (1), the interest is: (a) if at the time of determining the maximum penalty the foreign person still holds an interest in more than one established dwelling—the interest relating to the established dwelling or dwellings that were most recently acquired by the person; and (b) otherwise—the interest relating to the established dwelling or dwellings that were most recently disposed of by the person. (9) If the contravention is a contravention of subsection (4), the interest is the interest mentioned in that subsection.