The easy guide to stamp duty in Victoria

Find out how much stamp duty Victorians have to pay, calculate your own costs and work out if you're eligible for land transfer duty exemptions and concessions.

Stamp duty is an Australian tax on certain purchases, including real estate. When buying or otherwise taking possession of homes or land, it’s referred to as the land transfer duty. A typical home purchase will often include tens of thousands of dollars in land transfer duties.

Fortunately there are concessions and exemptions to help keep costs down. In many cases, you won’t have to pay any stamp duty on property purchases at all.

How is stamp duty calculated in Victoria?

The amount of duty payable is calculated on a sliding scale, starting at 1.4% for properties whose dutiable value is $25,000 and going up to 5.5% for properties with a dutiable value of $960,000 and above.

The dutiable value of the home is the greater of either the purchase price (including any non-monetary obligations), or the home’s value on the open market.

Figures correct at time of publication and subject to change. Source: State Revenue Office of Victoria

Rates may vary depending on:

• If you’re a foreign buyer or an Australian resident
• If you’re a first home buyer, or not
• Whether it’s going to be your primary residence or an investment property
• Whether you’re buying land or a building
• Whether you’re buying the property, or taking possession of it in another way
• Any other exemptions and concessions you’re entitled to, such as for pensioners

You can use a stamp duty calculator to find out how much duty may be payable.

VIC stamp duty calculator

Use this calculator to get an estimate of your stamp duty costs on property in Victoria. Select VIC in the input box to ensure you get the right calculation.

First home buyer? Learn how to find the right home loan here

Are there stamp duty concessions for first home buyers?

There’s a range of land transfer duty concessions and complete exemptions, especially for first home buyers in Victoria.

Are there any other stamp duty concessions or exemptions in Victoria?

Land transfer duties are also exempt for:

• Land transfers from deceased persons to their beneficiaries
• Transfers between spouses and partners, including transfers after breakups such as part of a divorce settlement
• Certain corporate consolidations or reconstructions

Other concessions include:

• The principal place of residence (PPR) concession
• Off-the-plan purchase concessions
• Pensioner duty exemption or concession
• Charity and friendly society concessions
• Young farmer exemptions or concessions

Learn more about each exemption:

• Principal place of residence concession

  The principal place of residence (PPR) concession is for properties with dutiable values up to $550,000, where the purchasers intend to use the property as their permanent residence.

  This means living there for a continuous period of at least 12 months after taking possession of the property.

• Off-the-plan purchase concessions

  This is an additional concession for off-the-plan buyers of a land and building package, or a refurbished lot.

  As of 1 July 2017, this is only available for the purchase of a home that meets the requirements of the PPR concession, or gets a first-home buyer duty exemption/concession.

  Essentially, it’s a different way of calculating the dutiable value, to facilitate the valuation of homes still under construction or renovation, and make sure that off-the-plan buyers can also get the exemptions or concessions to which they’re entitled.

• Pensioner duty exemption or concession

  Eligible pensioners buying a home valued at up to $750,000, to use as their principal place of residence (PPR), may be eligible for duty concessions or exemptions.

  You must:

  • Hold an eligible concession card at the property settlement date
  • Have never received this concession before
  • Buy the property at market value
  • Intend to live in the home as your PPR

  Eligible concession cards are:

  • Department of Human Services (DHS) Health Care Card
  • Department of Veterans’ Affairs (DVA) Health Care Gold Card
  • DHS Pensioner Concession Card/DVA Pensioner Concession Card
  • DHS Commonwealth Seniors Health Card/DVA Commonwealth Seniors Health Card

• Charity and friendly society exemption

  A charitable organisation may be exempt from paying land transfer duties on land purchases.

  Eligible organisations include those:

  • Whose operations are predominantly charitable
  • Without any possibility of private profit during operation or at wind-up

  The organisation’s constitution, or memorandum of association must clearly include clauses which state that the organisation satisfies these requirements.

• Young farmer exemptions or concessions

  A one-off duty exemption or concession is available to young farmers who are buying their first farmland property valued at less than $750,000. The following criteria apply:

  • Young farmers are those under the age of 35
  • Farmland valued at less than $600,000 receives a duty exemption on the first $300,000
  • Farmland valued from $600,000 to $750,000 receives a duty concession

  This concession cannot be used in conjunction with the PPR concession. If eligible for both, you can choose which of the two to use.

  You’re still eligible for this concession even if you or your partner currently owns, or has previously owned, non-farmland in the past.

  However, you are not eligible if either of you has been a shareholder or beneficiary of a trust that owns or has previously owned farmland.

How do I claim a stamp duty concession or exemption in Victoria?

You can apply for a duty or concession through Victoria’s State Revenue Office.

I have few more questions about stamp duty in Victoria

• What happens if I’ve overpaid on duty, or not claimed a concession I could have?

  If you think you’ve paid too much duty, you can request a reassessment of duty paid within five years of the purchase. If it’s found that you paid too much duty, you can receive a refund on the amount paid.

• Can I claim more than one concession?

  Yes. A lot of people will be eligible for more than one concession.

  Yes, but only if the contract for the transfer of property was entered into on or after 1 July 2017. You can get reassessed and refunded if you’ve overpaid, but if the exemption or concession wasn’t around at the time of purchase you didn’t overpay.

• Does stamp duty apply to business real estate purchases?

  Yes. The dutiable value here includes the property, as well as the goods purchased along with it.

  Other charges may be incurred for land tax, and various administrative fees. Land tax is a separate tax with its own separate concessions. You will need to pay any outstanding land tax on a property before you can take possession of it.

Compare a wide range of home loan options here