Stamp duty (now called transfer duty in NSW) is a tax imposed by the NSW Government upon the transfer of the title to a property from a Vendor to a Purchaser. Transfer duty must be paid when you buy any property in NSW whether it be your home, holiday home, investment, vacant land, or faming properties.

Generally, stamp duty must be paid on the earlier of the following:

  1. Completion of the Contract (also called settlement); or
  2. Three (3) months from the date of exchange of Contract

In New South Wales, “premium stamp duty” may be payable, in addition to transfer duty, on properties that attract a higher value. The purpose of premium stamp duty is to raise additional revenue from high-value properties.

Premium duty is calculated as a percentage of the value of the property above a specified threshold. Each year the threshold for premium duty is adjusted in accordance with CPI. The rate of premium stamp duty varies based on the value of the property and is applied for residential properties worth more than $3,268,000.00. Premium Duty does not apply on properties that are rural.

The same timeframes for payment of premium duty are applicable in terms of when stamp duty is payable. Revenue NSW provides a number of online calculators so you can determine stamp duty payable on your property transaction.

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