Stamp Duty – Residential
Land and Improvements
People who purchase property (land, land and improvements, houses or apartments/townhouses) located in the ACT must pay stamp duty on that purchase.
Duty is calculated on the greater of the purchase price or the market value of the property. The rates of duty and thresholds change regularly – it is always wise to refer to the ACT Revenue Office for the correct duty to be paid www.revenue.act.gov.au The rates and thresholds that apply depend on the transaction date.
The transaction date is the date of grant, transfer, or agreement for transfer (whichever is first). This is the date of first execution of an agreement (e.g. exchange of contract) or transfer, not the settlement date.
If you are purchasing a home and/or land you may be eligible for home buyer assistance.
Compliance Obligations/ Requirements
The liability for the payment of stamp duty is within 14 days of notification from the Revenue Office of the stamp duty assessment. You should be aware that giving false or misleading information is a serious offence. Compliance activities include:
- checking assessment information;
- checking that dutiable values (the higher of the consideration or the market value);
- checking GST components;
- identifying transactions liable to aggregation;
- checking exemptions and concessions (e.g. corporate reconstructions)
- reviewing high value transfers; and
- checking complex transactions (trusts, long-term leases, partnership acquisitions, certain goods, options to purchase land, and certain land use entitlements).
If uncertain, it is always important to confirm the details with the Revenue Office.