Under section 148A of the Duties Act 2000 , duty on mortgages has been abolished from 1 July 2004. Advances, or further advances that occur on or after 1 July 2004 on mortgages executed before that date are also not subject to duty.

For further information please refer to Bulletin D1/04 - Abolition of Duty on Mortgages.

Mortgages, or further advances exceeding the amount that the mortgage is stamped to secure, are charged with duty. The rate is based on the amount borrowed.

Where no advance is made, the mortgage attracts $4 duty and this duty covers $10,000 of advances.

Where the initial advance is more than $10,000, the duty is $4 plus $0.80 for every $200 or part thereof in excess of the $10,000. Further advances to an existing mortgage attract duty of $0.80 for every $200 or part thereof of the amount that exceeds the amount to which the mortgage is currently stamped.

The mortgagor is liable to pay the duty within 3 months of the mortgage being executed if there is no advance, or within 3 months of the advance or further advance.

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