In Queensland (QLD), stamp duty is a tax imposed on various transactions, including property purchases. The amount of stamp duty payable depends on the value of the property being purchased. For residential properties, the stamp duty rates range from 1.5% to 5.75% of the property value, with higher rates applying to higher-value properties. First-time home buyers may be eligible for concessions or exemptions on stamp duty, depending on their circumstances. Stamp duty is collected by the Queensland Government as a source of revenue for the state.
How is stamp duty calculated in Queensland?
| Dutiable value | Duty rate |
| Not more than $5,000 | Nil |
| More than $5,000 up to $75,000 | $1.50 for each $100, or part of $100, over $5,000 |
| $75,000 to $540,000 | $1,050 plus $3.50 for each $100, or part of $100, over $75,000 |
| $540,000 to $1,000,000 | $17,325 plus $4.50 for each $100, or part of $100, over $540,000 |
| More than $1,000,000 | $38,025 plus $5.75 for each $100, or part of $100, over $1,000,000 |
Stamp Duty Exemptions in Queensland
- Home Concession: The Home Concession applies if you are buying or acquiring a home to live in as your principal place of residence. This exemption aims to support individuals and families by reducing the transfer duty costs associated with purchasing a primary residence.
- First home buyer concession: The First Home Buyer Concession applies if you are a first home buyer purchasing or acquiring a property to live in as your principal place of residence. This exemption is designed to assist first-time buyers in entering the property market by reducing the burden of transfer duty.
- Transfer Duty Exemption for Transfers Between Spouses: This exemption applies when you transfer property between yourself and your spouse as part of a genuine marriage or relationship breakdown. It recognizes the unique circumstances of a marital or relationship breakdown and provides relief from transfer duty on property transfers in such situations.
- Family Business Transfer Duty Exemption: This exemption applies when you transfer a family-owned business between family members. The exemption aims to facilitate the smooth transfer of family businesses within the family, reducing the transfer duty burden and supporting business continuity.
Eligibility of first home concession
- Be acquiring the property as an individual.
- Have never claimed the first home vacant land concession.
- Have never owned another residence in Australia or overseas.
- Be at least 18 years old (waivers possible).
- Move in and live there within 1 year of settlement.
- Not dispose of any part of the property before moving in.
- Pay market value if the residence is valued between $500,001 and $549,999.
- Companies can claim the concession when acting as a corporate trustee.
Eligibility for Trustee Concessions:
- Transferees are trustees of a trust (except discretionary or unit trust).
- Beneficiaries are individuals under legal disability.
- The residence will be the home of all beneficiaries.
Australian citizenship or permanent residency is not required for concessions, but additional foreign acquirer duty may apply for foreign persons.
To maintain full first home concession after moving in, do not dispose of the property within 1 year. A partial concession may apply if disposed of within 1 year.
Ben Gu is a Chartered accountant, registered tax agent, registered ASIC agent, SPAA specialist advisor and CA SMSF specialist with experience across a wide range of tax and business.
