Stamp duty is a term that you may have heard of before but also may not be completely across. This specific addition to properties may also be known as ‘land transfer duty’ or just ‘transfer duty’. To put it simply, it’s a one‑off state or territory tax that applies when real estate or vacant land changes owners in Australia. The amount you pay is based on the property’s price (or its market value), and it’s collected by your local revenue office at settlement. Because it can easily add tens of thousands to the upfront cost of a home, it’s something every buyer needs to know about and budget for from day one.
Below, you’ll find clear, jargon‑free answers to the questions Aussies ask most: When do I have to pay? How much will it be in my state? Can I get a discount? Use it as a starting point when venturing into the property market, then have a quick chat with your conveyancer or mortgage broker to lock in the exact figures for your purchase.
Topics in this article:
When do you pay stamp duty?
In nearly every state, stamp duty is due on—or very soon after—the day your property settles. The deadline differs slightly:
- Victoria: within 30 days of settlement.
- Queensland: buyers (or their conveyancer) must lodge the transaction within 30 days of signing an unconditional contract, then pay within 14 days of receiving the assessment.
- Most other states and territories: on settlement day via the electronic settlement platform.
Miss the cut‑off and you could be slugged with penalty interest, so make sure the payment is pencilled into your settlement statement.
Can you defer stamp duty?
- Who pays? Always the buyer, never the seller.
- How to pay? Your conveyancer usually arranges electronic payment at settlement.
- Can you delay it? A handful of concessions let certain first‑home buyers, off‑the‑plan purchasers or pensioners defer duty until construction finishes or for a set number of years. Eligibility varies and you must apply before settlement.
How much is stamp duty?
Every state and territory sets its own sliding scale. The higher your purchase price, the higher the marginal rate applied to the top slice of your property value. Some states also charge extra to investors, foreign buyers or high‑end properties.
Transfer duty fees by state
The figures below are accurate as at 10 June 2025. Rates and concessions change frequently, so confirm the numbers relevant to your contract before you sign.
Stamp duty in NSW
Rates start at about 1.25 percent and reach 7 percent for properties above $3 million. The much‑talked‑about First Home Buyer Choice (annual property‑tax alternative) closed on 1 July 2023, so new buyers must pay duty upfront. First‑home buyers can still access full exemptions on existing homes up to $800 000 and concessions up to $1 million.
Stamp duty in VIC
Victoria applies a progressive scale from 1.4 percent to 6.5 percent. For first‑home buyers, duty is fully waived on purchases up to $600 000 and discounted on a sliding scale up to $750 000. A separate one‑year off‑the‑plan concession (21 Oct 2024 – 21 Oct 2025) reduces duty on certain new apartments in the City of Melbourne.
Stamp duty in QLD
Queensland’s general owner‑occupier scale looks like this:
- $0 – $5 000 → nil
- $5 000 – $75 000 → $1.50 per $100
- $75 000 – $540 000 → $3.50 per $100
- $540 000 – $1 million → $4.50 per $100
- Over $1 million → $5.75 per $100
From 1 May 2025, eligible first‑home buyers of brand‑new homes or vacant residential land pay no stamp duty—no matter the price. Existing homes still attract duty, but concessions apply up to $550 000.
Stamp duty in SA
Since 6 June 2024, South Australia has abolished duty for first‑home buyers purchasing or building brand‑new homes or vacant land—there’s no price cap. Other buyers pay between 1 percent and 5.5 percent depending on value.
Stamp duty in WA
Western Australia’s first‑home‑owner rate (FHOR) eliminates duty on properties up to $450 000 and phases it in to the normal scale at $600 000. Everyone else pays on a sliding scale up to a top marginal rate of 5.15 percent.
Stamp duty in ACT
The ACT is midway through phasing out duty. Owner‑occupiers pay as little as 0.49 percent on homes under $260 000, with discounted bands up to $1 million. Commercial property worth up to $1.9 million is duty‑free.
Stamp duty in TAS
Tasmania charges 1.75 percent on the first $200 000, gradually rising to 4.5 percent for amounts above $725 000. First‑home buyers of established homes valued up to $600 000 receive a 50 percent discount.
Stamp duty in NT
The Northern Territory uses a formula that equates to roughly 4.95 percent on a $300 000 purchase and just over 5 percent on higher amounts. Certain non‑land transfers are exempt.
Do you pay stamp duty on land?
Yes. Stamp duty on land applies whether you’re buying a rural block, a vacant suburban lot or acreage with no dwelling. Because the land alone usually costs less than a finished house, the duty bill is often smaller—but it’s calculated using the same sliding scale as for homes.
Do you pay stamp duty on a new build?
It depends on your contract structure:
- Off‑the‑plan apartment: You may only pay duty on the land value if construction hasn’t reached a specified stage when you sign.
- House‑and‑land package: Duty is assessed on the land contract only; the separate build contract isn’t dutiable.
- State incentives: SA and QLD now offer full duty exemptions for eligible first‑home buyers on new builds or vacant land.
Is stamp duty tax deductible?
Unfortunately not for owner‑occupiers. Property investors can’t claim an immediate deduction either, but they can add the duty to the property’s cost base, reducing any capital‑gains tax when they eventually sell.
Can stamp duty be added to my mortgage?
Banks won’t give you a “stamp duty loan”, but they may let you increase the amount you borrow (subject to loan‑to‑value and serviceability limits) so the duty is effectively rolled into your mortgage. Remember: borrowing more means higher repayments and interest over time.
Do first home buyers pay stamp duty?
Sometimes yes, sometimes no. Each state offers its own discounts or exemptions. In SA and QLD (new homes) the bill can be wiped entirely. In NSW and VIC you might pay nothing below a certain threshold, then a discounted rate up to a higher cap.
Stamp duty exemptions
You could qualify for a full exemption or partial concession if you fall into one of these categories:
- First‑home buyer buying under the state’s price cap (or, in SA/QLD, building a new home).
- Pensioner or senior downsizer meeting specific criteria.
- Family farm or primary‑production transfer.
- Deceased‑estate beneficiary.
- Court‑ordered marital or de‑facto property settlement.
Ask your solicitor which concessions apply and make sure the paperwork is lodged before settlement.
Stamp duty calculator
The quickest way to ballpark your duty bill is to plug the purchase price and buyer type into a reliable online stamp duty calculator or ask your broker to run the numbers. Use the figure as a guide only; your formal assessment will arrive from the revenue office once your conveyancer lodges the paperwork.
Other stamp duty FAQs
Do I pay stamp duty on inherited property?
Generally no. Transfers to beneficiaries named in a will or letters of administration are normally exempt.
Is there stamp duty on commercial property?
Yes. Commercial real estate attracts duty, although rates and any concessions differ from residential. The ACT currently exempts transfers up to $1.9 million.
Do you pay stamp duty when selling a property?
No. Duty is payable by the buyer only. Sellers pay agent commissions, legal fees and mortgage‑discharge costs.
Do companies pay stamp duty on property?
Yes, and surcharge rates can apply if the purchasing entity is foreign‑controlled.
Is land tax the same as stamp duty?
No. Stamp duty is a one‑off cost at purchase, whereas land tax is an annual charge on the total unimproved value of land you own above each state’s threshold.
Key takeaways
- Stamp duty is a one‑off tax due at or shortly after settlement.
- Rates and concessions are set by each state or territory, so they vary widely.
- First‑home buyers can often access discounts or full exemptions—sometimes with no price cap on new homes.
- You’ll still pay duty on vacant land, but usually less than on an established house.
- Owner‑occupiers can’t claim duty on tax; investors add it to their cost base.
Next step on your property journey? Save your favourites in Homely Collections, review honest street and suburb reviews, and set up instant Homely Alerts so you never miss a new listing.
