From the recent Victorian Government Budget 2020-2021, it has been announced that a land transfer (stamp) duty waiver will be available for purchases of Victorian residential property with a dutiable value of up to $1 million.
Some of the key facts are:
- New residential properties: 50% land transfer duty waiver of the duty otherwise payable applies
- Existing residential properties: 25% land transfer duty waiver of the duty otherwise payable applies
- Vacant residential properties: 25% land transfer duty waiver of the duty otherwise payable applies
It is to be noted that the waiver applies after all other eligible benefits (such as first home buyer duty concession, principal place of residence concession etc) have been taken into consideration.
Eligibility criteria:
- Purchase must be for residential property
- Dutiable value of $1 million or less
- Contract must be signed on or after 25 Nov 2020 and before 1 July 2021
- Arrangement must be a bona fide purchase for adequate consideration (gift will not be eligible)
Important facts
- This land transfer duty waiver is not limited to one residential property. Purchaser can access it more than once provided all eligibility criteria are met.
- Foreign purchaser is entitled to the waiver provided all eligibility criteria are met. However, the waiver will not apply to the foreign purchaser additional duty component of the land transfer duty calculation.
Disclaimer
This publication is intended as a general commentary only and does not purport to be comprehensive. It should not be regarded as tax advice and you should not act solely on the information contained herein. Please contact AscendPoint to further discuss about your circumstances or concerns.