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What Is Stamp Duty In Tasmania?
Stamp duty in Tasmania, also known as property transfer duty is a government tax that has to be paid when you buy or acquire a property.
By paying stamp duty, the property title will be in your name, which means you’re the legal owner of the property.
What Are The Stamp Duty Rates In Tasmania?
The amount of stamp duty you need to pay is based on the dutiable value of the property.
Here, the dutiable value is either what is being paid or the market value of the property – whichever is greater.
For example, if you’re buying a property valued at $350,000, then you have to pay $5,935 plus $4 for every $100, which would be $11,935.
| Value of the property in Tasmania | How much is stamp duty in Tasmania? |
|---|---|
| Up to $3,000 | $50 |
| Between $3,001 and $25,000 | $50 + $1.75 for every $100, or part by which dutiable value exceeds $3,000 |
| Between $25,001 and $75,000 | $435 + $2.25 for every $100, or part, by which dutiable value exceeds $25,000 |
| Between $75,001 and $200,000 | $1,560 + $3.50 for every $100, or part, by which the dutiable value exceeds $75,000 |
| Between $200,001 and $375,000 | $5,935 + $4.00 for every $100, or part, by which the dutiable value exceeds $200,000 |
| Between $375,001 and $725,000 | $12,935 + $4.25 for every $100, or part, by which the dutiable value exceeds $375,000 |
| More than $725,000 | $27,810 + $4.50 for every $100, or part, by which the dutiable value exceeds $725,000 |
Stamp Duty Exemptions And Concessions In Tasmania
Does Tasmania Offer Stamp Duty Concessions For First Home Buyers?
There are no stamp duty exemptions for first home buyers in Tasmania.
However, first home buyers in Tasmania get a 50% discount on property transfer duty.
To be eligible for first home buyers 50% discount on property transfer duty in Tasmania:
- You must purchase an established home.
- The value of the property cannot exceed $600,000.
- The property must be purchased between 1 January 2022 and 30 June 2023.
- You must be an Australian citizen or permanent resident. (If there is more than one applicant, one of them must meet the criteria).
- You must be 18 years or older.
- You must not have owned property (or have a spouse or partner that owned property) in Australia.
- You must live in the property as the principal place of residence continuously for 6 months, within 12 months of settlement.
- You have not received the First Home Owners Grant in any other state or territory in Australia.
To apply for a first home buyer concession in Tasmania, please fill in this form.
Do Pensioners Pay Stamp Duty In Tasmania?
Yes, pensioners have to pay stamp duty in Tasmania.
Fortunately, there is a 50% discount for eligible pensioners who want to sell their property and downsize by buying another property in Tasmania.
To be eligible for stamp duty concessions for pensioners in Tasmania:
- The dutiable value of the new home must be less than the former home.
- The value of the new property in Tasmania cannot exceed $600,000
- The sale of the former home must take place between 1 January 2022 until and including 30 June 2023.
- The purchase of the new home is settled within 6 months (either before or after) selling the former home.
- At least one of the purchaser/transferee must be 60 years or older.
- You must have one of the following: Hold a Pensioner Concession Card OR receive a DVA special rate pension OR hold a Commonwealth Seniors Health Card.
- You have lived in the former home as the principal place of residence for at least 6 months.
- You must live in the new property in Tasmania continuously for 6 months, within 12 months of settlement.
- The ownership of the new home in Tasmania must be in the same names(s) as that of the former home.
- The eligible pensioner (or the pensioner’s spouse) must not own a home anywhere in Australia at the transaction date other than the former home or new home.
Personal Relationship Stamp Duty Exemption
You do not need to pay stamp duty if the property transfer takes place between partners in a marriage, significant relationship or caring relationship.
To be eligible for personal relationship stamp duty exemption:
- At the time of transfer, the property is the principal place of residence, OR at the time of transfer, shares that confer an entitlement to exclusive possession of a company title dwelling that was solely or primarily used as a principal place of residence.
- The property is held either as joint tenants or as tenants in common in equal shares.
- There are no other parties involved, except for the couple or caring partners.
- The exemption is not applicable if the property is being transferred from both people in the relationship to one of those persons.
Do Foreign Buyers Pay Stamp Duty In Tasmania?
Yes, foreign buyers in Tasmania have to pay the Foreign Investor Duty Surcharge (FIDS).
FIDS is an additional amount of duty paid when a foreigner buys or acquires residential property (including vacant land) or primary production property.
FIDS is calculated on the dutiable transaction as an additional duty and is charged as:
- 8% on the portion of dutiable value of residential property directly or indirectly acquired by a foreign person.
- 1.5% on the portion of the dutiable value of primary production property directly or indirectly acquired by a foreign person.
Stamp Duty Exemption For Foreign Buyers In Tasmania
There is a FIDS exemption available for foreign buyers.
FIDS is not applicable if the underlying transaction is exempt, or the transaction is eligible for a concession under the following scenarios:
If the property is purchased:
- With an existing dwelling
- And used as the transferees’ principal place of residence within 6 months of purchase.
- And held by people who are married, in a significant relationship or caring partners.
- And held in equal shares (i.e. either joint tenants or tenants in common).
- And only one of the parties is a foreign person.
- The dwelling is constructed and is used as the transferees’ principal place of residence.
- And held by people who are married, in a significant relationship or are caring partners.
- And held in equal shares (i.e. either joint tenants or tenants in common).
- Only one of the parties is a foreign person.
If FIDS has already been paid, the Commissioner may, on application, reassess the duty payable and refund it.
If you’re a holder of a permanent visa or a New Zealander with a special category visa subclass 444, you’re also exempt from paying stamp duty.
FAQs About Stamp Duty In Tasmania
Who Pays Stamp Duty In Tasmania?
The purchaser or transferee of a property might have to pay stamp duty in Tasmania.
When Do I Pay Stamp Duty In Australia?
In Tasmania, stamp duty must be paid within 3 months of settlement.
If you do not pay the stamp duty within 3 months, then you might be charged interest for late payment.
Are You Ready To Apply For A Home Loan?
Our mortgage brokers can assess your situation and work out if you have a large enough deposit to buy a home.
They can also clarify any questions you may have about the cost of stamp duty in Tasmania, transfer fees or first home owners grants.
Speak to one of our specialist mortgage brokers by calling us on 1300 889 743 or fill in our online assessment form to find out if you’re ready to buy.
