Duty reductions for first-home buyers (from 1 July 2011)
A duty exemption is available to eligible first home buyers who buy a home with a dutiable value of $600,000 or less when the transfer results from a contract entered into on or after 1 July 2017. First-home buyers buying a home with a dutiable value from $600,001 to $750,000 are entitled to a concessional rate of duty, calculated on a sliding scale.
For contracts to purchase a home entered into before 1 July 2017, duty reductions are available for eligible first-home buyers when they buy a new or established home valued at not more than $600,000. The settlement date must be after 1 July 2011. It does not matter what date the contract to purchase was signed as long as settlement occurs on or after that date. Different duty reduction rates apply, depending on the date of settlement.
For contracts entered into on or after 6 May 2008 and settled before 1 July 2011, a PPR concession may still apply.
Are you eligible?
You may be entitled to this reduction of duty if you:
- Have received or are entitled to the First Home Owner Grant for the purchase of the property, and
- Live in the property as your principal place of residence (PPR) for a continuous period of at least 12 months starting within 12 months of becoming entitled to possession of the property, which usually occurs at settlement.
If you buy the property with someone else, at least one of you must satisfy the residency requirement. It is not necessary, however, for the same purchaser to occupy the home for the whole 12 months.
If these requirements are not met, duty may be assessed at the standard rate. We may exercise discretion to vary the residence requirement where we are satisfied that there is a good reason to do so.
Land will not be considered to be occupied as a PPR unless there is a building on the land that, in our opinion, is designed and constructed primarily for residential purposes and can lawfully be used as a PPR.
If you have received the PPR concession, you must notify us in writing of any changes in your circumstances that will result in the residence requirement not being met.
How do I apply?
All applications, regardless of the date of settlement, must be submitted via the Digital Duties Form. The Digital Duties Form can be completed online. If you are a registered user of Duties Online you can create a form under the ‘Create’ tab in the system.
If you are a member of the public you must register and lodge via our public lodgement system. Registration is a simple process. You can electronically lodge scanned documents for a land transfer or declaration of trust via our website after you register with us.
What is the value of the duty reduction?
| Property value ($) | Normal rate of stamp duty (PPR) ($) | Duty payable with 40% reduction ($) | 40% reduction saving ($) |
|---|---|---|---|
| 200,000 | 6370 | 3822 | 2548 |
| 300,000 | 11,370 | 6822 | 4548 |
| 400,000 | 16,370 | 9822 | 6548 |
| 500,000 | 21,970 | 13,182 | 8788 |
| 565,000 | 28,970 | 17,382 | 11,588 |
| 600,000 | 31,070 | 18,642 | 12,428 |
| Property value ($) | Normal rate of stamp duty (PPR) ($) | Duty payable with 30% reduction ($) | 30% reduction saving ($) |
|---|---|---|---|
| 200,000 | 6370 | 4459 | 1911 |
| 300,000 | 11,370 | 7959 | 3411 |
| 400,000 | 16,370 | 11,459 | 4911 |
| 500,000 | 21,970 | 15,379 | 6591 |
| 565,000 | 28,970 | 20,279 | 8691 |
| 600,000 | 31,070 | 21,749 | 9321 |
| Property value ($) | Normal rate of stamp duty (PPR) ($) | Duty payable with 20% reduction ($) | 20% reduction saving ($) |
|---|---|---|---|
| 200,000 | 6370 | 5096 | 1274 |
| 300,000 | 11,370 | 9096 | 2274 |
| 400,000 | 16,370 | 13,096 | 3274 |
| 500,000 | 21,970 | 17,576 | 4394 |
| 565,000 | 28,970 | 23,176 | 5794 |
| 600,000 | 31,070 | 24,856 | 6214 |
Calculate your duty
| Dutiable value of the PPR ($) | Reduced duty amount payable | Standard rate of duty |
|---|---|---|
| >0 to 25,000 | (1.4% of the dutiable value of the property) less 40% of the duty amount | 1.4% of the dutiable value of the property |
| >25,000 to 130,000 | ($350 plus 2.4% of the dutiable value in excess of $25,000) less 40% of the duty amount | $350 plus 2.4% of the dutiable value in excess of $25,000 |
| >130,000 to 440,000 | ($2870 plus 5% of the dutiable value in excess of $130,000) less 40% of the duty amount | $2870 plus 6% of the dutiable value in excess of $130,000 |
| >440,000 to 550,000 | ($18,370 plus 6% of the dutiable value in excess of $440,000) less 40% of the duty amount | |
| >550,000 to 600,000 | ($28,070 plus 6% of the dutiable value in excess of $550,000) less 40% of the duty amount |
| Dutiable value of the PPR ($) | Reduced duty amount payable | Standard rate of duty |
|---|---|---|
| >0 to 25,000 | (1.4% of the dutiable value of the property) less 30% of the duty amount | 1.4% of the dutiable value of the property |
| >25,000 to 130,000 | ($350 plus 2.4% of the dutiable value in excess of $25,000) less 30% of the duty amount | $350 plus 2.4% of the dutiable value in excess of $25,000 |
| >130,000 to 440,000 | ($2870 plus 5% of the dutiable value in excess of $130,000) less 30% of the duty amount | $2870 plus 6% of the dutiable value in excess of $130,000 |
| >440,000 to 550,000 | ($18,370 plus 6% of the dutiable value in excess of $440,000) less 30% of the duty amount | |
| >550,000 to 600,000 | ($28,070 plus 6% of the dutiable value in excess of $550,000) less 30% of the duty amount |
| Dutiable value of the PPR ($) | Reduced duty amount payable | Standard rate of duty |
|---|---|---|
| >0 to 25,000 | (1.4% of the dutiable value of the property) less 30% of the duty amount | 1.4% of the dutiable value of the property |
| >25,000 to 130,000 | ($350 plus 2.4% of the dutiable value in excess of $25,000) less 30% of the duty amount | $350 plus 2.4% of the dutiable value in excess of $25,000 |
| >130,000 to 440,000 | ($2870 plus 5% of the dutiable value in excess of $130,000) less 30% of the duty amount | $2870 plus 6% of the dutiable value in excess of $130,000 |
| >440,000 to 550,000 | ($18,370 plus 6% of the dutiable value in excess of $440,000) less 30% of the duty amount | |
| >550,000 to 600,000 | ($28,070 plus 6% of the dutiable value in excess of $550,000) less 30% of the duty amount |
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