Stamp duty is a state government tax that is paid by the purchaser of a property. It is based on either the market value of the property or the price it sells for (the dutiable value) whichever is higher. The more expensive the property, the higher the stamp duty will be.
Stamp duty is calculated after you have signed the Digital Duties Form; this form will be sent directly to you by the State Revenue Office prior to settlement, and your conveyancer will contact you to let you know it is coming. For purchases made off-the-plan, you may be entitled to a concession on stamp duty and this ‘dutiable value’can only be calculated once the building is complete. Stamp duty will be paid as part of settlement.
You may not be required to pay stamp duty depending on your circumstances. There are some exceptions and discounts available for first home buyers, pensioners, and those planning to live in the property as their principle place of residence. It’s best to discuss your eligibility for an exemption or discount with your file manager.