Contents (1997 - 123)
Duties Act 1997 No 123
Status information

Long title

Chapter 1 Preliminary

1 Name of Act
2 Commencement
3 What does this Act do?
4 What is a duty?
5 Arrangements for payment of duties
6 Meaning of words and expressions used in this Act
7 Notes in the text

Chapter 2 Transactions concerning dutiable property

Part 1 Introduction and overview

8 Imposition of duty on certain transactions concerning dutiable property
8A Vesting of land in New South Wales by statute law
9 Imposition of duty on dutiable transactions that are not transfers
10 What form must a dutiable transaction take?
11 What is “dutiable property”?
12 When does a liability for duty arise?
13 Who is liable to pay the duty?
14 The liability of joint tenants
15 Necessity for written instrument or written statement
16 Lodging written instrument or written statement with Chief Commissioner
17 When must duty be paid?
18 No double duty
19 What is the rate of duty?
20 Concessions and exemptions from duty

Part 2 Dutiable value

21 What is the “dutiable value” of dutiable property?
22 What is the consideration for the transfer of dutiable property?
23 What is the “unencumbered value” of dutiable property?
24 Interests, agreements and arrangements that reduce the dutiable value
25 Aggregation of dutiable transactions
26 Certain transactions concerning goods and other property
27 Apportionment—dutiable property and other property
28 Apportionment—business assets in this and other jurisdictions
29 Partnership interests
30 Partitions
31 Effect of alteration in purchase price

Part 3 Rates of duty

32 General rate
32A Premium rate for residential land with dutiable value exceeding $3,000,000
32B Rate for residential land used for other purposes
32C Rate for large parcels of residential land
33 Shares, units, derivatives and interests (marketable securities)
33A Shares in share management fisheries

Part 4

34–48A(Repealed)

Part 5 Special provisions

49 Interim payment of duty
49A Purchases “off the plan”
50 Cancelled agreements
50A Cancelled transfers of dutiable property
51 Transfers arising from mortgages of land under Real Property Act 1900
52 Possessory applications
53 Applications to bring land under Real Property Act 1900

Part 6 Concessional rates of duty

Division 1 Trusts

54 Change in trustees
54A Transfers in relation to managed investment schemes
55 Property vested in an apparent purchaser
56 Transfers back from a nominee
56A Transfer of property subject to a statutory trust to a beneficial owner
57 Property passing to beneficiaries
58 Establishment of a trust relating to unidentified property and non-dutiable property
59 Instrument relating to managed investment scheme
59A Nomineeing transactions—unquoted marketable securities

Division 2 Superannuation

60 Instruments relating to superannuation
61 Transfers of property in connection with persons changing superannuation funds
62 Transfers between trustees and custodians of superannuation funds or trusts

Division 3 Miscellaneous

63 Deceased estates
64 Conversion of land use entitlement to different form of title
64A Amalgamation of Western Lands leases
64B Reduction of duty on transfer of marketable securities—payment in non-Australian jurisdiction

Part 7 Exemptions

65 Exemptions from duty
66 Exemptions—marketable securities
67 Exemptions—transfers to married couples and de facto partners
68 Exemptions—break-up of marriages and domestic relationships

Part 8 Exemption, discounts and instalment payment schemes

Division 1 First Home Plus

Subdivision 1 Agreements and associated mortgages

69 The nature of the scheme
70 Commencement
71 Restrictions on eligibility—previous ownership of residential property or first home concession
72 (Repealed)
73 Ineligible persons
74 Eligible agreements or transfers
75 Ineligible agreements and transfers
76 Residence requirement
76A Approval of application in advance of satisfaction of residence requirement
77 Eligible mortgages
78 Making of applications
79 Determination of applications
80 Duty payable if application approved
80A Definitions

Subdivision 1A Payment of instalments under First Home Purchase Scheme prior to 1 August 1998

81 Payment of instalments
82 Payment of interest
83 Overdue instalments
84 Sale or leasing of home or land before all instalments are paid
85 (Repealed)

Subdivision 2 Discount for full payment of remaining duty

86 Application of Subdivision 2
87 Discount for full payment of remaining duty

Division 2 Flood-prone housing scheme

88 The nature of the scheme
89 Commencement
90 Eligible persons
91 Eligible agreements
92 Other provisions

Division 3 Exemption from or reduction in duty for certain transfers

93 The nature of the scheme
94 Definitions
95 Meaning of “voting entitlement”
96 Transfer by corporation of principal place of residence to principal shareholder or spouse
97 Transfer of principal place of residence by special trust to beneficiary etc
98 Transfer of principal place of residence by corporation to beneficiary of special trust
99 Transfer by special trust to corporation
100 Transfer of land not used and occupied solely as a principal place of residence
101 Making of applications
102 Determination of applications
103 Reassessment of duty if undertaking not met
104 Application of scheme to company titles

Chapter 3 Certain transactions treated as transfers

Part 1 Preliminary

105 Introduction and overview

Part 2 Transactions involving put and call options

106 Definitions
107 Assignment of rights under call option dutiable as transfer
108 Person liable to pay duty
109 Determination of dutiable value of transfer
110 Stamping or endorsement of transactions
111 Exemptions
112–124 (Repealed)

Part 3 Entitlements arising from capital reductions or rights alterations

125 Definitions
126 When does a liability for duty arise?
127 When must duty be paid?
128 Who is liable to pay the duty?
129 Entitlement to voting shares arising from capital reduction or rights alteration
130 Form of statement
131 Assessment of duty

Part 4 Acquisition of land use entitlements by allotment of shares or issue of units

132 When does a liability for duty arise?
133 When must duty be paid?
134 Who is liable to pay the duty?
135 Acquisition of land use entitlement
136 Form of statement
137 Assessment of duty

Part 5 Allotment of shares by direction

138 Application of Part 5
139 When does a liability for duty arise?
140 When must duty be paid?
141 Who is liable to pay the duty?
142 Acquisition of shares by allotment
143 Allotment statement
144 Assessment of duty

Chapter 4 Transactions concerning land-related property—vendor duty

Note

Part 1 Introduction and overview

145 Introduction
146 Transactions on which vendor duty is charged
147 Imposition of vendor duty on transactions that are not transfers
148 What form must a vendor duty transaction take?
149 What is “land-related property”?
150 When does a liability for vendor duty arise?
151 Who is liable to pay vendor duty?
152 The liability of joint tenants
153 When must vendor duty be paid?
154 Necessity for written instrument or written statement
155 Lodging written instrument or written statement with Chief Commissioner
156 No double duty
157 What is the rate of vendor duty?

Part 2 Dutiable value

158 What is the “dutiable value” of land-related property?
159 Apportionment—land-related property and other property

Part 3 Rate of vendor duty

160 General rate

Part 4 Cancelled agreements and transfers

161 Cancelled agreements
162 Cancelled transfers

Part 5 Vendor duty exemptions and concessions

Division 1 Principal place of residence exemption

162A Definitions
162B Principal place of residence exemption
162C Residential land—meaning
162D Occupier must be natural person with significant interest in the land
162DA Trustees
162DB Only one principal place of residence for all members of same family
162E Other restrictions and concessions in applying exemption
162F Calculation of duty
162G Apportionment for land partly used as a principal place of residence

Division 2 Exemption for farms

162H Exemption for farms

Division 3 Exemptions and concessions where sale price does not significantly exceed purchase price

162I Exemption for land-related property sold at a loss
162J Exemption for land-related property sold for increased price of less than 12 per cent
162K Concession for increases between 12 and 15 per cent
162L What is the transfer date?
162M What is the vendor acquisition date?
162N Determining the dutiable value of land-related property for the purposes of this Division
162O Transactions relating to multiple items of land-related property
162OA Transactions relating to separately acquired interests

Division 4 Exemptions for new and substantially new buildings

162P Exemption for sale of new buildings
162Q Exemption for sale of substantially new buildings
162QA Vendor constructed buildings must be a significant improvement to land
162QB Definitions

Division 5 Other exemptions

162R Exemption for subdivision of principal place of residence or farm
162S Improved vacant land
162T Sale of business that includes land-related property
162U Compulsory acquisitions and dedications of land
162UA Sale by mortgagee or receiver under power of sale
162V Land subject to conservation instruments
162W Applications under Real Property Act 1900
162X Transactions exempt from ad valorem duty under Chapter 2
162Y Exemptions for charities and others under Chapter 11
162Z Exemptions for gifts of land-related property to charities and others

Part 6 Stamping and enforcement

162ZA Application of Chapter 12
162ZB Stamping and endorsement of vendor duty transactions
162ZC Stamping of vendor duty transactions not chargeable with duty
162ZCA Interim payment of duty
162ZD What is purchaser duty?
162ZE Duplicates or counterparts

Chapter 4A Acquisition and disposal of interests in land rich landholders

Part 1 Preliminary

163 Overview
163A Meaning of “landholder” and related expressions
163B Meaning of “land rich”
163C What are the “land holdings” of a landholder?
163D What are “interests” and “significant interests” in landholders?
163DA Meaning of “associated person”

Part 2 Charging of duty on acquisitions of interests in land rich landholders

163E When does a liability for duty arise?
163F What is a “relevant acquisition”?
163G How may an interest be “acquired”?
163H Acquisition statements
163I When must duty be paid?
163J Who is liable to pay the duty?
163K How duty is charged on relevant acquisitions
163L Primary producers—special provisions

Part 3 Charging of duty on disposals of interests in land rich landholders

163M When does a liability for duty arise?
163N What is a “relevant disposal”?
163O How may an interest be “disposed of”?
163P Disposal statements
163Q When must duty be paid?
163R Who is liable to pay the duty?
163S How duty is charged on relevant disposals

Part 4 General principles to be applied under this Chapter

163T Constructive ownership of land holdings and other property: linked entities
163U Constructive ownership of land holdings and other property: discretionary trusts
163V Effect of uncompleted agreements
163W Agreements for sale or conveyance of land
163X Agreements for disposal or acquisition of property other than land
163Y Valuation of property
163Z Use of valuations prepared within 12-month period before disposal
163ZA Maximisation of entitlements on distribution of property

Part 5 Exemptions and concessions

163ZB Exempt transactions
163ZC Duty concession: acquisitions securing financial accommodation
163ZD Duty concession: disposals securing financial accommodation
163ZE Concession for buy-back arrangements

Part 6 Further exemptions and concessions for disposal duty

Division 1 Exempt land holdings

163ZF Vendor duty exemptions to be applied
163ZG Land subject to conservation instruments

Division 2 Concession for land holdings that have not significantly increased in value

163ZH Exemption for land holdings that have not increased in value
163ZI Exemption for land holdings where increase in value does not exceed 12 per cent
163ZJ Concession for increases between 12 and 15 per cent
163ZK What is the disposal date?
163ZL What is the disposer acquisition date?
163ZM Landholder that holds multiple interests in land
163ZN Determination of value of land holding under this Division

Division 3 Other exemptions and concessions

163ZO No double duty
163ZP Passive disposals
163ZQ Disposals for no consideration by charities and others

Division 4 General

163ZR General

Part 7 Registration of unit trust schemes

163ZS Application for registration
163ZT Registration of imminent public unit trust scheme
163ZU Registration of wholesale unit trust schemes
163ZV Registration of imminent wholesale unit trust schemes
163ZW Duration of registration
163ZX Register
163ZY Reporting requirements
163ZZ Cancellation of registration
163ZZA Disqualifying circumstances for registered unit trust schemes
163ZZB Meaning of “responsible entity”

Chapter 5 Lease instruments

Part 1 Introduction and overview

164 Imposition of duty
164A What is a “lease”?
165 How duty is charged on a lease instrument
166 What is the “cost” of a lease?
167 Splitting or redirection of cost of franchise arrangement (anti-avoidance provision)
168 Who is liable to pay the duty?
169 When must the duty be paid?

Part 2 Rates of duty

170 General rate
171 Nominal duty

Part 3 Unascertainable lease costs

172 Operation of Part 3
173 Estimate and subsequent adjustment
174 CPI method
175 Quantification of lessee’s improvements

Part 4 Miscellaneous

176 Interim stamping of lease instrument
177 Reassessment of duty—early termination
178 Reassessment of duty—reduction of cost
179 Exemptions

Chapter 6 Hire of goods

Part 1 Introduction and overview

180 Imposition of duty
181 Hire of goods to which this Chapter applies—jurisdictional nexus
182 What are “goods”?
183 What is a “hire of goods”?
184 What is an “equipment financing arrangement”?
185 What form may a hire of goods take?
186 Exclusions from the definition of “hire of goods”
187 Special hiring agreements
188 What is the rate of duty?
189 What are “hiring charges”?
190 Payments exempted from “hiring charges”
191 Credit for duty paid in another Australian jurisdiction
192 Splitting or redirection of hiring charges (anti-avoidance provision)
193 Ascertainment and disclosure of place of use of goods

Part 2 What arrangements apply to persons who are in the business of hiring out goods (commercial hire businesses)?

194 Application of Part 2
195 Commercial hire businesses must be registered
196 Registration of commercial hire businesses
197 Cancellation of registration of commercial hire business
198 Duty base
199 Lodgment of returns and payment of duty
200 Returns of related bodies corporate

Part 3 What arrangements apply to other persons?

201 Statement of transaction
202 Lodgment of statement and payment of duty
203 Method of calculating total hiring charges if they are not readily ascertainable

Chapter 7 Mortgages

Part 1 Introduction and overview

204 Imposition of duty
205 What is a mortgage?
206 What is an advance?
207 Who is liable to pay the duty?
208 When does a liability arise?
209 When must duty be paid?
210 How is mortgage duty charged?
211 Consequences of non-payment of duty
212 Where is property located?

Part 2 Calculating the amount secured by a mortgage

213 Amount secured by mortgage
214 (Repealed)
215 Contingent liabilities
216 Mortgages over property not wholly within New South Wales
217 Advances secured by mortgage package
218 Stamping before advance
218A Security
218B Collateral mortgage
218C Multi-jurisdictional statement

Part 3 Duty concessions

219 Additional advances of not more than $10,000 in 12 months
220 Refinancing of loans
221 Eligible mortgages under First Home Plus

Part 4 Exempt instruments

222 Exempt mortgages and supporting instruments
223 Mortgages associated with certain credit contracts
224 Farm machinery and commercial vehicles
225 Certain debentures and related instruments

Part 5 Miscellaneous

226 Payment of duty on mortgages associated with debenture issues
227 Unregistered mortgages protected by caveats (anti-avoidance provision)
227A Transfer of mortgages
228 Stamping counterpart or collateral instrument if mortgage is lost, destroyed or cannot be produced

Chapter 8 Insurance

Part 1 General insurance

229 Imposition of duty
230 What is “general insurance”?
231 What is a “premium” in relation to general insurance?
232 When is a premium “paid”?
233 Types of general insurance
234 What duty is payable?
235 Who is liable to pay the duty?
236 Circumstances in which duty is payable by the insured person
237 Records to be kept
238 Refunds where premiums are returned

Part 2 Life insurance

239 Imposition of duty
240 What is “life insurance”?
241 What is a “life insurance rider”?
242 Obligation to make out and execute a policy of life insurance
243 What duty is payable?
243A Meaning of “premium”
244 Who is liable to pay the duty?
245 Circumstances in which duty is payable by the insured person
246 Refund on cancellation of policy of life insurance

Part 3 How is duty paid by an insurer?

247 Who is an insurer?
248 Insurers must be registered
249 Application for registration
250 Cancellation of registration by the Chief Commissioner
251 Cessation of business and cancellation of registration by the insurer
252 Register of insurers
253 Monthly returns and payment of duty
254 Recovery of duty by registered insurer

Part 4 Apportionment

Division 1 Apportionment of premiums and other amounts between Australian jurisdictions

255 Application of Division 1
256 Schedule of Apportionment
257 Apportionment in practice

Division 2 Apportionment of premiums and other amounts as between different types of insurance

258 Apportionment between different types of insurance

Part 5 Exempt insurance

259 What insurance is exempt from duty?

Part 6 Miscellaneous

260 Effect on contract of insurance of failure to comply with this Chapter

Chapter 9 Motor vehicle registration

Part 1 Introduction and overview

261 Imposition of duty
262 Lodgment of statement of dutiable value
263 Who is liable to pay the duty?
264 When does duty become payable?
265 What is the rate of duty?
266 What is the “dutiable value” of a motor vehicle?

Part 2 Circumstances in which duty not chargeable

267 Exemptions
268 Avoidance of double duty—duty paid in a corresponding Australian jurisdiction
269 Reassessment of duty—repossession of stolen motor vehicle

Part 3 Trading stock and demonstrator vehicles of motor dealers

270 Exemptions for motor dealers

Chapter 10 Miscellaneous duties

271 Duplicates or counterparts
272 Replicas
273 Minimum amount of duty

Chapter 11 General exemptions from duty

274 Transfer of certain business property between family members
275 Charitable and benevolent bodies
275A Partial exemption for certain transactions by charitable and benevolent bodies
276 Public hospitals
277 Councils and county councils
278 Department of Housing and Aboriginal Housing Office tenants
279 Specialised agencies
280 Aboriginal land councils
281 Members of a group of corporations
282 Mortgage-backed securities
283 Instruments issued for the purpose of creating, issuing or marketing mortgage-backed securities
284 Loan-backed securities
284A Joint government enterprise—water savings projects

Chapter 12 Miscellaneous

Part 1 Stamping instruments

285 Provision of stamps
286 Limitation on use of designated stamps
287 Form of stamps to be used
288 Stamping of instruments
288A Reassessment following interim payment of duty
289 When is an instrument duly stamped?
289A Stamping by means of endorsement
290 Adhesive stamps
291 (Repealed)
292 Refunds—spoiled and unused stamps
293 Reassessments—failed instruments
294 Instruments to be separately charged with duty in certain cases
295 Execution of instruments
296 Stamping of instruments after execution
297 Stamping taken to constitute an assessment
298 Deferred payments for certain stamped instruments
299 Copies of instruments
300 Calculation of time

Part 2 Enforcement

301 Registration of transactions and instruments
302, 303 (Repealed)
304 Receipt of instruments in evidence
305 Valuation of property
306 Ascertainment of value of certain interests
307 Impounding of instruments
308 Application of Act to Crown

Part 3 The Public Equity Partnership and the Rent/Buy Scheme

309 Liability to duty in respect of certain housing schemes

Part 4 Hardship Review Board

310 Waiver, deferral and writing off of duty in hardship cases
311 Notation by Chief Commissioner in cases of waiver
312 (Repealed)

Part 5 Miscellaneous

313 Regulations
314 Savings, transitional and other provisions
315 (Repealed)
316 Repeal of Educational Institutions (Stamp Duties Exemption) Act 1961 No 37
317 Review of Act

 Schedule 1 Savings, transitional and other provisions

 Schedule 2 Principal place of residence exemption—concessions

Dictionary

Historical notes