Understanding stamp duty: a state-by-state guide
How stamp duty is calculated, who pays it, and what concessions exist for first home buyers.
Stamp duty (also called transfer duty) is one of the largest single costs of buying property in Australia. It's a state government tax, so the rules — and the size of the bill — vary depending on where you buy.
How it's calculated
Most states use a tiered scale based on the property's purchase price, similar to income tax brackets. The higher the price, the higher the marginal duty rate. On a $750,000 property in NSW, the duty is around $30,000 — roughly 4% of the price.
First home buyer concessions
- NSW — full exemption up to $800k, partial up to $1m
- VIC — full exemption up to $600k, partial up to $750k
- QLD — full exemption up to $700k (new homes higher)
- WA — full exemption up to $450k, partial up to $600k
- ACT — income-tested concession for first home buyers
Foreign buyer surcharges
Most states add 7–8% on top of the standard duty for foreign purchasers. There are also annual land tax surcharges in NSW, VIC and QLD.
When and how you pay
Stamp duty is generally payable within 1–3 months of settlement. Your conveyancer or solicitor handles the lodgement. Use a stamp duty calculator early in your search so the bill doesn't catch you by surprise.
Related calculators
Frequently asked questions
Who pays stamp duty?
The buyer, on top of the purchase price. It's payable shortly after settlement.
Is stamp duty tax-deductible?
Generally no for owner-occupiers. For investors, it's added to the cost base for CGT purposes when you sell.
Are first home buyers exempt?
Most states offer concessions or full exemptions up to a price cap. NSW, VIC, QLD, WA and ACT all have schemes.
What about foreign buyers?
Most states charge a surcharge of 7–8% for foreign purchasers.
Can I avoid stamp duty by buying off-the-plan?
Some states offer reduced duty on off-the-plan purchases — check current rules.