Land transfer duty changes affecting New Zealand citizens

Published on 19 November 2025

The State Taxation Acts (Further Amendment) Act 2025 received Royal Assent on 25 November 2025. It changes the rules for New Zealand citizens in relation to foreign purchaser additional duty (FPAD).

Previously, FPAD does not apply if a New Zealand citizen holds a Special Category Visa (Subclass 444) at transfer (being settlement).

The new test requires a New Zealand citizen to satisfy the Commissioner that they ordinarily resided, or will ordinarily reside, in Australia for a continuous period of at least 6 months within the period commencing 12 months prior to, and ending 12 months after, the date of settlement. 

You ordinarily reside in Australia if you regularly or customarily live here. It does not include a temporary or occasional residence. 

The new test will apply to all settlements from 26 November 2025.