Queensland Stamp Duty Concessions

Queensland Stamp Duty Concessions

Queensland Stamp duty (also known as Transfer Duty) is essentially a tax on the transfer of property, payable to the Qld Government by the buyer of the property. The following is a guide for the different stamp duty concessions that may be available to you.

Who is liable to pay stamp duty?

All parties to a transaction are liable to pay transfer duty. In most cases, this duty is paid by the purchaser.

When is stamp duty payable?

In Queensland you must pay stamp duty within 30 days after the liability arises.

What are the new concessions?

With the reinstatement of the home concession, contracts to purchase a home in Queensland entered into on or after July 1, 2012 by home buyers will be eligible for the transfer duty home concession, if they meet the concession conditions.

The home no longer has to be the first home of the homebuyer, and can be a new house or one that has been previously occupied. In other words – it’s not a first home owner’s grant and it’s not a new home owner’s grant.

But the home buyers will need to prove that they are individuals and not trustees, and the residence must be occupied as the principal place of residence within one year of the transfer and the occupation as principal place of residence must continue for at least one year from the time it commences.

Where the concession applies, a concessional transfer duty rate of $1 for each $100 or part of $100 will apply to the first $350,000 of the consideration or value of the home. Duty at the general rates will apply to any remaining part of the consideration.

Putting this into numbers – the average homebuyer will save $7,000 and if you think about it you’d probably have to earn $10,000 or more before tax to have that $7,000, so it’s a substantial savings for the average homebuyer.

First Home Buyer Vacant Land Concession

In regards to vacant land a full exemption from stamp duty is available to first home buyers purchasing vacant land for up to $250,000. A concession will continue to apply on a sliding scale for land over $250,000 (but not more than $400,000), but you must meet the requirements.

Stamp Duty Calculator – Example for Non First Home Buyer

Existing House – $400,000 New Build House ($200,000) and Land ($200,000) – $400,000

Stamp Duty Due: $12,700 Stamp Duty Due: $5,425 (land only)

Reference – 2012 © Calculators Australia

The above is given as information only and should not be relied upon as advice.