Stamp duty exemptions and concessions on property purchases

In brief - Exemptions or concessions on stamp duty can apply in a variety of circumstances

When contemplating the purchase or transfer of real estate, you should consider whether any of the available exemptions or concessions to stamp duty may apply.

Transfers to married couples and de facto partners

Under section 104B of the Duties Act 1997 no duty is chargeable in the transfer of residential land if as a result of the transfer the property will be held as a married couple as tenants in common in equal shares or joint tenants.

Transfers as a result of a breakdown of marriage, de facto relationship or domestic relationship

Under section 68 of the Duties Act, the transfer of matrimonial or relationship property is exempt from stamp duty, subject to the conditions set out in this section being met.

Intergenerational rural transfers

Under section 274 of the Duties Act, the transfer of farm land (that is being used for primary production) from one generation to the next is exempt from stamp duty, subject to the conditions set out in this section being met.

Exemption from aggregation of dutiable transactions for home builders 

Under section 25(2) of the Duties Act, licensed builders are exempt from the aggregation of stamp duty on the purchase of multiple blocks of vacant land, subject to the purpose of the acquisitions being to construct a dwelling for the purpose of being sold to the public.

Concessions in relation to the partition of land

Section 30 of the Duties Act provides for concessions on the stamp duty payable in relation to the partition of land.

Termination of a strata scheme

Under Section 65(18) of the Duties Act, duty is not payable in relation to the transfer of property which upon termination of the strata scheme is transferred from the owners corporation to the persons who were the proprietors of the lots the subject of the strata scheme prior to termination.

Termination of scheme under Community Land Development Act 1989

Under section 65(20) of the Duties Act, duty is not payable in relation to the transfer of property which upon termination of the community scheme is transferred from the community association to the persons who were the proprietors of the lots the subject of the community scheme prior to termination.

The Crown

Under section 308 of the Duties Act, the Crown or a statutory body representing the Crown is exempt from the payment of stamp duty on dutiable transactions.

Extension of date for payment of duty for off-the-plan residential purchases

Under section 49A of the Duties Act, an extension to the date stamp duty is payable is granted for off-the-plan residential purchases. The date stamp duty must be paid on eligible off-the-plan transactions is whichever is the earliest of:

• completion of the agreement

• the date the purchaser assigns whole or part of its interest under the agreement

• the date 12 months from the date of the agreement