False Claims and Penalties

False or misleading claims

It is your responsibility to ensure that the information contained in your application for the grant is complete and correct.

Dishonestly providing false, incorrect or misleading information is a criminal offence.

The Commissioner of State Taxation may commence legal proceedings or prosecutions in cases where an applicant or applicants provide fraudulent or misleading information. Successful prosecution may result in a maximum imprisonment of 2 years, a maximum fine of $20,000, and a criminal conviction.

Penalties and repayment of the grant

If you receive the first home owner grant and it is determined that one or more applicants are not eligible or do not comply with the residence requirement, you must repay it.

An administrative penalty may also be imposed by RevenueSA. This penalty is separate and in addition to any repayment of the grant or fine received as part of legal proceedings.

When determining the amount of administrative penalty to apply a case, the Commissioner of State Taxation considers several factors, including:

the specific circumstances of the case
the level of cooperation from the applicant and their agent or representative
whether the applicant took reasonable care to comply with the grant requirements
whether there was negligence, carelessness, or intentional disregard of the grant requirements.

The Commissioner of State Taxation will assess the situation based how a reasonable person or persons would objectively view the intentions of the applicant(s) and the level of care a reasonable person or persons would have taken in the same situation, based on the facts and the applicant's actions.

The penalty that may be imposed is set as a percentage amount of the grant received but will not exceed the amount of the grant that is required to be repaid.

For example, if you received a first home owner grant of $15,000 and are required to repay it, the penalty that is applied will be a percentage of the grant amount based on the level of care determined by the Commissioner of State Taxation. Please refer to the below penalty tables for more information.

Reasonable care taken

This is defined as a genuine, reasonable belief of compliance with the grant.

Negligence or carelessness

This is defined as a genuine but unreasonable belief of compliance.

This includes failing to contact the Commissioner of State Taxation in writing within the required timeframe to advise of any changes to eligibility or ability to meet the residence requirements.

Intentional disregard and/or inaccurate application

This is defined as having no intention of compliance with the grant.

This includes non-disclosure of spouses or domestic partners or prior relevant interest in property, and providing information that inaccurate, misleading, or false.

The Commissioner will impose administrative penalties in accordance with the below penalty tables.

The penalty that may be imposed is set as a percentage amount of the grant received. This penalty is separate and in addition to any repayment of the grant or fine received as part of legal proceedings.

Reasonable care taken

Negligence or carelessness

15%