Foreign Investment Reform (Protecting Australia's National Security) Act 2020 (114 of 2020)

Schedule 1   Main amendments

Part 1   Amendment of the Foreign Acquisitions and Takeovers Act 1975

Foreign Acquisitions and Takeovers Act 1975

176   After section 95

Insert:

95A Taking action while prohibited by this Act

(1) A person must not take an action relating to a residential land acquisition when prohibited by paragraph 79A(3)(b) or subsection 79A(4).

(2) A person who contravenes subsection (1) is liable to a civil penalty.

Penalty

(3) The maximum penalty for the contravention is the greatest of the following:

(a) the amount of the capital gain that was made or would be made on the disposal of the interest in the relevant residential land;

(b) 25% of the consideration for the residential land acquisition;

(c) 25% of the market value of the interest in the relevant residential land.

Note 1: Consideration is defined by the regulations (see section 4).

Note 2: For how to work out the capital gain, see section 98.