Housing Stamp Duty Perth

Stamp Duty First Home Owner Rate
Under section 75AG of the Stamp Act 1921
As at 1 July 2007
Introduction
A person who qualifies for a First Home Owner Grant, or a person who would qualify for a First Home Owner Grant had consideration been paid, is entitled to a First Home Owner Rate of stamp duty on an instrument of conveyance (eg. contract to purchase) provided the value of the home or land does not exceed the applicable thresholds.
Eligibility for a First Home Owner Rate of stamp duty
Eligibility is aligned with the requirements under the First Home Owner Grant Act 2000.
An instrument of conveyance executed on or after 1 July 2004 for the acquisition of a home (i.e. a building on land that is suitable to be used as a place of residence, or vacant land upon which a new home has or will be built), may qualify for a First Home Owner Rate of stamp duty where:
• the transferee is eligible for a First Home Owner Grant; and
• the value of the property does not exceed the thresholds outlined below.
A person who would have been eligible for a First Home Owner Grant had consideration been paid may also be entitled to a First Home Owner Rate of stamp duty where the property is gifted.
Further information as to eligibility for a First Home Owner Grant can be found in the First Home Owner Grant Information Pamphlet available from the Office of State Revenue or the website at www.osr.wa.gov.au.
The value limit from 10 May 2007
Home
• To be eligible for the First Home Owner Rate of stamp duty, the value of the home must not exceed $600,000. Where the amount or value of the consideration for a home does not exceed $500,000, no duty is payable. Where the amount or value of the consideration exceeds $500,000 but does not exceed $600,000, duty is payable at a rate of $26.10 for every $100 and any fractional part of $100 by which the amount or value of the consideration exceeds $500,000.
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Vacant Land
• To be eligible for the First Home Owner Rate of stamp duty, the value of the vacant land must not exceed $400,000. Where the amount or value of the consideration for vacant land does not exceed $300,000, no duty is payable. Where the amount or value of the consideration exceeds $300,000 but does not exceed $400,000, duty is payable at a rate of $15.70 for every $100 and any fractional part of $100 by which the amount or value of the consideration exceeds $300,000.

The value limit from 29 October 2004 up to and including 9 May 2007
Home
• To be eligible for the First Home Owner Rate of stamp duty, the value of the home must not exceed $350,000. Where the amount or value of the consideration for a home does not exceed $250,000, no duty is payable. Where the amount or value of the consideration exceeds $250,000 but does not exceed $350,000, duty is payable at a rate of $13.20 for every $100 and any fractional part of $100 by which the amount or value of the consideration exceeds $250,000.

Vacant Land
• To be eligible for the First Home Owner Rate of stamp duty, the value of the vacant land must not exceed $200,000. Where the amount or value of the consideration for vacant land does not exceed $150,000, no duty is payable. Where the amount or value of the consideration exceeds $150,000 but does not exceed $200,000, duty is payable at a rate of $12.40 for every $100 and any fractional part of $100 by which the amount or value of the consideration exceeds $150,000.

The value limit from 1 July 2004 up to and including 28 October 2004
Home
• To be eligible for the First Home Owner Rate of stamp duty, the value of the home must not exceed $300,000. Where the amount or value of the consideration for a home does not exceed $220,000, no duty is payable. Where the amount or value of the consideration exceeds $220,000 but does not exceed $300,000, duty is payable at a rate of $14.96 for every $100 and any fractional part of $100 by which the amount or value of the consideration exceeds $220,000.

Vacant Land
• To be eligible for the First Home Owner Rate of stamp duty, the value of the vacant land must not exceed $150,000. Where the amount or value of the consideration for vacant land does not exceed $100,000, no duty is payable. Where the amount or value of the consideration exceeds $100,000 but does not exceed $150,000, duty is payable at a rate of $9.34 for every $100 and any fractional part of $100 by which the amount or value of the consideration exceeds $100,000.
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Application for reduced rate or refund of duty
Application for the First Home Owner Rate of stamp duty must be made on the approved form. A person who applies for an assessment at the First Home Owner Rate of stamp duty will be subject to the requirements, eligibility criteria and obligations set out in the First Home Owner Grant Act. Further information can be found in the First Home Owner Grant Information Pamphlet.
Time limit to make application
An application for both a First Home Owner Grant and the First Home Owner Rate of stamp duty must be made within twelve (12) months after completion of the ‘eligible transaction’. The completion date for an eligible transaction is:
• in the case of a contract for the purchase of a home – the date when the purchaser becomes entitled to possession of the home;
• in the case of a contract to build a home – the date when the home is ready for occupation as a place of residence; or
• in the case of building a home by an owner builder – the date when the home is ready for occupation as a place of residence.
Should an application not be made within the time stated, a person will not be entitled to apply for the First Home Owner Grant or the First Home Owner Rate of stamp duty.
How to apply for the First Home Owner Rate of stamp duty if you are eligible for the First Home Owner Grant
1. Lodge an application for the First Home Owner Grant (Form S231) with an approved financial institution or the Office of State Revenue.
2. If you are eligible for the First Home Owner Grant, a letter of approval for the grant will be sent to you by the Office of State Revenue, together with a Stamp Duty First Home Owner Rate Application Form – For Purchased Property or Gifted Vacant Land. The application form will be sent in all instances except where the value of an established home exceeds $350,000 and should only be submitted where the home or vacant land is within the value limits.
3. Submit the instrument of conveyance for the property for assessment of stamp duty together with a fully completed and signed Stamp Duty First Home Owner Rate Application Form – For Purchased Property or Gifted Vacant Land to a settlement agent (where applicable) or the Office of State Revenue where the parties to the transaction are conducting their own settlement.
Please note that where the instrument of conveyance for the property has been previously assessed for stamp duty at the normal conveyance rate, the application form and the original stamped instrument of conveyance must be lodged at the Office of State Revenue for reassessment at the First Home Owner Rate of stamp duty and a refund of any duty overpaid.
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How to apply for the First Home Owner Rate of stamp duty if you are NOT eligible for the First Home Owner Grant because the home was received by way of a gift for no value
1. Submit the instrument of conveyance for the property for assessment of stamp duty together with a fully completed and signed Stamp Duty First Home Owner Rate Application Form – For A Gifted Home to the Office of State Revenue.
2. If you are eligible for the First Home Owner Rate of stamp duty, the Office of State Revenue will assess the duty on the instrument of conveyance for the property accordingly.
3. If it is determined that you are ineligible for the First Home Owner Rate of stamp duty, the normal conveyance rate will apply to the instrument of conveyance for the property and the Office of State Revenue will advise you in writing the reasons for that determination.
Please note that where the instrument of conveyance for the property has been previously assessed for stamp duty at the normal conveyance rate, the application form together with the original stamped instrument of conveyance must be lodged at the Office of State Revenue for reassessment at the First Home Owner Rate of stamp duty and a refund of any duty overpaid.
There may be circumstances where at the time you are required to lodge the instrument of conveyance, you will not be in a position to lodge a fully completed Stamp Duty First Home Owner Rate Application.
In such circumstances the instrument of conveyance for the property will be initially assessed at the normal conveyance rate.
When the Stamp Duty First Home Owner Rate Application Form is lodged and has been approved, the instrument of conveyance will be reassessed at the First Home Owner Rate of stamp duty and any overpaid duty refunded.
Please note that in these circumstances, the application form must be lodged together with the original stamped instrument of conveyance.
Obligation to notify the Commissioner of State Revenue
The assessment at the First Home Owner Rate of stamp duty will be subject to the transferee meeting the eligibility criteria and conditions for the First Home Owner Grant, whether or not the transferee actually receives a First Home Owner Grant. For example, if the residence requirement is not met, written notification of the fact must be made to the Commissioner within 30 days of the expiration of the residency requirement or on the date it becomes apparent that the residency requirement can not be fulfilled, whichever is the earlier. In this case the instrument of conveyance will be reassessed at the normal conveyance rate.
Penalty
If an application contains false or misleading information, the person or persons commit an offence under the Taxation Administration Act 2003 for which the maximum penalty is $20,000 plus three times the amount of tax that was or might have been avoided.
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Contact the Office of State Revenue
Office
Office of State Revenue
Plaza Level
200 St Georges Terrace
PERTH WA 6000
Telephone
(08) 9262 1100
1300 368 364
(WA country STD callers only – local call charge)
Office hours
8:00 am – 5:00 pm Monday to Friday
Facsimile
(08) 9226 0834
Postal
Office of State Revenue
GPO Box T1600
PERTH WA 6845
E-mail
stampduty@dtf.wa.gov.au
Website
www.osr.wa.gov.au

Note: The information contained in this FACT SHEET is issued for guidance purposes only. It is not an exhaustive explanation of the provisions of the Stamp Act 1921 and the First Home Owner Grant Act 2000 and reference should be made to the Acts for complete details.