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Perhaps. The longer you hold it the easier it is establish that intent. Its one of the reasons why a trust can be a better structure...Documented minutes describing intent or change intent may assist and support the case. Also applying for a 5 year IO loan and advising bank that you may sell...

Find me an isolated transaction that isn't the persons home and convince me that profit making isn't an intention to buy, develop and then sell within 5 years after completion. I suppose the guy girl was a bit of a poor example as I was thinking of a different scenario then over simplified...

Correct - The example of guy and girl is not subject to GST under the conventional principles. However as the sale is new resi premises it becomes taxable. GST applies when it is first sold and doesn't care about other factors. They are obliged to register for GST. But if they sold it OTP before...

http://law.ato.gov.au/atolaw/view.htm?Docid=MXR/MT20061/NAT/ATO/00001 is MT 2006/1 Para 120 / 121 deals with enterprise...Same rules apply to GST and tax. Para 125 addresses repetition but also considers isolation....Its not that important. Have a look at para 234-236 for even one-off...

And to further Gary's good points even a sale intended to make no profit which is intended to reduce debt (for example) may be a trigger. Profit alone isn't a required outcome. However thinking of a young guy and girl. Buy land intending to live there. Build a home. Intending to live there...

First lets address the isolated transaction view. The ATO is adamant that they don't care if a transaction is isolated or singular. Transactions need not repeat. One is enough. GST and other tax implications may arise. For example - CGT rules DO NOT apply to a dev of land and then its sale. It...