Complete a Bright-line property sale information – IR833 form if you had a bright-line property sale during the year and show the income from the sale in your income tax return.
You need to complete an IR833 even if you include the income in your Financial statements summary – IR10.
Include your share of the net profit in the ‘Net bright-line profit’ box in the ‘Income and expenses from residential property’ question in your income tax return.
If you have a bright-line loss, do not include it in your income tax return and instead keep your own record of all bright-line losses you have made.
Using myIR
If we think you have a bright-line sale during the year, we may notify you and display the property details in myIR. It will be pre-populated with property information including the title number, address, bright-line start date and bright-line end date.
At any time during the year, you can confirm whether the bright-line test rule applies.
The table of property sales can be found on your Income tax account panel under:
- More…
- My income section
- Manage bright-line property sales.
At the end of the year, an IR833 form will show in your income tax return in myIR if we think you had a bright-line sale during the year.
If the property sale is excluded from the bright-line test, select the reason the bright-line test does not apply from the drop-down box.
The ’net profit' from your IR833 will pre-populate in the ‘Net bright-line profit’ field in the ‘Income and expenses from residential property’ section of your income tax return.
If multiple IR833 forms are attached:
- review each IR833 form individually.
- update the details on every form before selecting 'Next'.
- do not proceed until all attached IR833 forms have been checked and confirmed.
It is your responsibility to make sure this is correct.
Manually adding property sale information using myIR
You can manually add an IR833 form into your income tax return if you have a property sale that needs to be declared – you will just need to add the relevant property information manually.
In your income tax return, tick the disclosure box for the IR833.
Sale excluded from the bright-line test
If we notify you about a sale that we think you may need to pay tax on, but it is excluded from the bright-line test or rollover relief applies, you can let us know anytime during the year in myIR or by contacting us.
Alternatively, you can let us know with end of year filing by removing the pre-populated IR833 record from your return in myIR.
Complete a Bright-line property sale information form - IR833