Stamp Duty 101
We have all heard about Stamp Duty when buying property in Australia, but what exactly is it?
Stamp Duty is a State Government tax imposed on the purchasing a property. The
The transaction is charged, with the amount based on the greater of the market value of the property or the price paid, including any GST. This means, the more expensive a property, the higher stamp duty rate that must be paid.
When do you have to pay Stamp Duty on a Property Purchase?
When you buy a property the Stamp Duty should be paid within 30 days of the properties settlement.
Who pays Stamp Duty?
He/She who buys the property will be responsible for paying the Stamp Duty.
How much is the Stamp Duty on my new purchase?
Stamp Duty is a State imposed tax and is slightly different in every State of Australia.
You can find many solutions to work out the dollar value of the Stamp Duty on your property purchase, but always have these figures confirmed by your accountant to avoid surprises.
Stamp Duty is part of most property purchases you make, so be aware of it, understand it and budget for it.
Please note, this is a simple overview of Stamp Duty, please make sure you get professional advice on all transactions involving Stamp Duty.