ACT stamp duty scrapped for owner occupier off the plan purchases up to $500,000

The ACT government has scrapped stamp duty for off-the-plan apartment and townhouse purchases up to $500,000 from July 1

ACT stamp duty scrapped for owner occupier off the plan purchases up to $500,000
ACT stamp duty scrapped for owner occupier off the plan purchases up to $500,000

The ACT government has scrapped stamp duty for off-the-plan apartment and townhouse purchases up to $500,000 from July 1.

The stamp duty abolition will apply to first-home buyers and other owner occupiers who exchange purchases for off-the-plan in the territory from July 1.

Buyers of newly built apartments or townhouses at $500,000 will save $10,360 in stamp duty.

The eligibility criteria includes satisfaction of residency requirements, that at least one buyer must live in the home continuously for at least one year, starting within 12 months of the date of completion/settlement date.

Since 2012 the ACT has been reducing stamp duty.

“This is a further step in our tax reform program and one that encourages an increased supply of housing below the $500,000 threshold," ACT Chief Minister Andrew Barr said.

The announcement is part of the territory’s 20-year plan to phase out stamp duty and replace it with an annual land tax.

The plan has been underway since 2012.

Stamp duty has also beeen reduced by $1040 for any owner-occupier established property purchase between $200,000 to $1.455 million in 2021-22.

As part of the ACT tax reform program, average general rates have increased to offset revenue that would otherwise be lost due to the abolition of stamp duty. 

This did not occur in 2020-21 as part of the Government’s response to the COVID-19 pandemic.

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.

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ACT Stamp duty exemption Stamp Duty Australian Capital Territory ACT apartments

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