Who pays the FIRB application fee, and when is it paid?

Who is liable to pay

The ATO's page for buyers says that if you are a foreign person you must apply to the ATO before buying residential property, and that you must pay a fee when you submit the application. The official pages treat the applicant as the person who pays.

Treasury's fees guidance covers shared purchases:

• Joint tenants: generally only one fee is payable, and each joint tenant is liable for the full amount until it is paid. If one pays part, everyone's remaining liability falls by that amount.
• Tenants in common: each pays a fee proportional to their share of the interest.
• Developer's exemption certificate: the developer applies and pays the initial fee, and is nominally liable for the fee on each dwelling sold to a foreign buyer. Treasury says the developer and the foreign buyer can agree who pays, and a buyer who agrees to pay the ATO directly uses the payment reference number on the certificate.

The ATO's online service for foreign investors lets you authorise representatives to act for you. That affects who lodges the application. It does not change who owes the fee.

When the fee is paid

The order of events for a residential application is:

1. You lodge the application in the ATO's online services for foreign investors.
2. You are given a payment reference number (PRN) for the fee. Treasury's guidance says the PRN appears on the application confirmation page and in portal messages, so check what the ATO's service shows for your application.
3. You pay the fee. Treasury says that in most cases the decision period does not start until the correct fee has been paid.
4. If the application is approved, the ATO sends a no objection notification.

So the fee is paid before the ATO has decided. That is also why the question of refunds matters: a refused or withdrawn application does not normally bring the fee back.

How to pay

Treasury lists BPAY, direct credit and transfer from an overseas bank account. Cheques are not accepted. Treasury has also said it no longer accepts credit or debit card payments for foreign investment fees from 19 September 2026. That notice is about payments to Treasury and does not mention residential applications lodged with the ATO, so confirm what the ATO's service offers for your application. The ATO's payment page points to its general payment options.

Treasury's practical points:

• Use the PRN exactly as issued. Treasury says not to add spaces, names, hyphens or other text.
• Pay in Australian dollars and allow for any transfer fees. A shortfall delays processing.
• An overpayment is refunded, and the decision period starts when the fee is paid.

The ATO adds that differences in conversion rates can create shortfalls and delays.

Where the contract comes in

The ATO's page says that before you enter any contract to buy residential property, you need approval or an exemption certificate. Treasury's residential guidance adds that a foreign person who wants to reduce the risk of the property being sold to someone else can enter a contract that is conditional on receiving approval. The ATO also says you can apply for an exemption certificate after signing, as long as the contract is still conditional.

That is why the approval condition in the contract of sale matters. Questions to put to your conveyancer include:

• Who must lodge, and by when?
• What happens to the contract if approval is refused?
• Does anything in the contract pass the fee to the seller or developer, or the reverse?

If the price changes after you lodge

The fee is based on the consideration for the purchase, as the worked examples explain. Treasury's guidance says approvals for new dwellings are generally subject to the purchase price being no greater than the value specified in the approval. Several things follow from published guidance:

• A lower price: the ATO's fee waiver page says the difference in fees is not refunded.
• A higher price: Treasury's example of an exemption certificate with a $1 million limit says a purchase at $1.3 million is not covered, and buying without approval can lead to significant penalties.
• Changing the approval: the ATO says minor corrections go through a simple variation. A change that is not minor is a complex variation. If you need to substantially change the original approval, or raise the property limit on an exemption certificate, it says you must lodge a new application instead.

Treasury's variation fees for 2026-27 are $31,300 for a standard variation and $4,600 for a minor one, capped at the fee for the original application. The ATO's fees page gives the same two amounts as a complex and a simple variation. The official pages do not set out a rule for every type of price change, so ask the ATO or your adviser before agreeing a different price.

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.