VICTORIA

  1. RESIDENTIAL PROPERTY STAMP DUTY CONCESSIONS

BELOW $1 MILLION:

For new, and off the plan, residential properties, a 50% STAMP DUTY DISCOUNT .

For existing (ALREADY BUILT AND OLDER) residential properties, a 25% STAMP DUTY DISCOUNT APPLIES.

For vacant residential land, a 25% land transfer duty waiver of the duty otherwise payable applies.

OFF PLAN BUYERS TO NOTE BELOW

NOTE: All savings end 1 July 2021.

QUESTION: Do I have to live in the property as my principal place of residence (my home)?

No. The waiver can apply to the purchase of an investment property. You do not need to live in the property to be eligible.

QUESTION: Does the waiver apply to homes purchased off the plan?

Yes. The waiver is applied after land transfer duty (including any concessions such as the off-the-plan concession) is assessed. The dutiable value of the residential property for the purpose of this measure is the dutiable value after the off-the-plan concession is applied.

Please note, the off-the-plan concession is only available if the transfer qualifies for the principal place of residence concession or the first home buyer duty exemption or concession.

QUESTION: Can a foreign purchaser obtain the waiver?

Yes. All purchasers of residential property, including a foreign purchaser, are entitled to the waiver provided the transfer meets the eligibility requirements. However, the waiver will not apply to the foreign purchaser additional duty component of the land transfer duty calculation

QUESTION: I signed a contract of sale on 27 November 2020 but my settlement will take place on 1 August 2021. Do I qualify for the waiver?

Yes. As the contract was entered into during the qualifying period and provided all other eligibility criteria are met, your transfer will qualify for the waiver.

QUESTION: I have contracted to purchase residential property prior to the commencement of this measure but have yet to settle. Can I sign a new contract to benefit from the waiver?

No, the waiver is only available for purchases agreed to during the qualifying period (25 November 2020 to 30 June 2021 inclusive). A replacement contract does not change when a person agrees to the purchase.

QUESTION: How do I get the OFF- PLAN concession?

 To receive the off-the-plan concession, you must be eligible for either the principal place of residence concession or the first home buyer duty exemption or concession.

For first home buyers, the means that you and anyone you buy the property with, must meet the First Home Owner Grant (FHOG) eligibility criteria except the FHOG purchase price threshold.

If you meet all of the FHOG eligibility criteria, including the purchaser price threshold (i.e. the contract price for your property is $750,000 or less), you will be eligible for the FHOG (First Home Owner Grant), the first home buyer duty exemption or concession and the off-the-plan concession.

If you are ineligible for the FHOG only because you bought your first home for more than $750,000 you may still be entitled to the first home buyer duty exemption or concession and the off-the plan concession.

 At least one purchaser must use the property as their home for a continuous period of 12 months, starting within 12 months of possession of the property, which is normally settlement.

If the residence requirement is not met, duty will be reassessed and all concessions or exemptions removed.

For full details of the Stamp Duty concessions go here:

https://www.sro.vic.gov.au/land-transfer-duty-waiver-residential-property-transactions-1-million