Who needs FIRB approval when buying with a partner or co-buyer?

The joint tenancy exemption

Regulation 38(3) of the Foreign Acquisitions and Takeovers Regulation 2015 excludes certain purchases of residential land from the approval requirement. Both parts have to be met:

1. the buyer is the spouse or de facto partner (within the meaning of the Acts Interpretation Act 1901) of a person who, at the time of acquisition, is an Australian citizen, a permanent visa holder, a Special Category visa holder, or someone who would be entitled to a Special Category visa on arrival; and
2. the interest is held by the buyer and that spouse or partner as joint tenants.

The Foreign Investment website lists the same exemption for joint tenants buying with a citizen, permanent resident or eligible New Zealand citizen spouse. The regulation requires the interest to be held as joint tenants, so buying as tenants in common falls outside it. It refers to the partner's status as a citizen or visa holder, and says nothing about where they live.

Treasury's guidance examples about the ban on established homes show permanent visa holders and eligible New Zealand citizens buying established dwellings without approval. They do not include an example for the joint tenant exemption, so ask the ATO or a lawyer how the ban applies if you are relying on it.

Common situations

The test looks at who holds an interest. The Act counts a legal or equitable interest in land, and says a person acquires an interest even if they hold it jointly with others. Whether a particular family funding arrangement gives a foreign person an interest is a legal question. See buying with a citizen or resident partner.

How the fee works for co-buyers

The fee depends on the price and property type, as set out on the fees page, and Treasury's fees guidance then adjusts it for co-ownership.

• Joint tenants. Generally only one fee is payable for the acquisition. Each joint tenant is liable for the full amount until it is paid, and a payment by one reduces what the other owes.
• Tenants in common. The fee is proportional to each person's share. The ATO says the fee payable for an interest equals your percentage of ownership.

Worked example. Two foreign persons buy a new townhouse for $1.8 million. In 2026-27 the fee for new residential land above $1 million and up to $2 million is $31,300.

Treasury's own example of the tenants in common rule uses an 80 per cent and 20 per cent split of a total fee. The ATO page does not say how the fee is worked out where only one of two tenants in common is a foreign person, so ask the ATO if that is your situation.

On the application form

The ATO's application asks for the purchaser relationship (sole, joint tenants or tenants in common) and, for tenants in common, the ownership percentage. The documents checklist covers the rest.

Names matter. Treasury says a request involving a new foreign person in an action may need a new application rather than a variation. Treasury also says a proposal that broadens the scope of an approval generally needs a new application, not a variation. Settle who is buying, and in what shares, before lodging.

After settlement

If more than one foreign person acquires an interest in the land, Treasury's register guidance says all of them must give a register notice. Where they hold as joint tenants, one registers first and the others add themselves to the same registration. Where they hold as tenants in common, each registers their own proportional interest. See the Register of Foreign Ownership and vacancy fee pages for the registration and yearly return obligations.

Frequently asked questions

firbapproval.com.au is an independent guide. It is not affiliated with, endorsed by or connected to the Foreign Investment Review Board, the Australian Treasury or the Australian Taxation Office. We do not lodge or process applications. Applications are made to the ATO. General information only, not legal, tax, migration or financial advice.