Stamp duty in Queensland: how transfer duty is calculated and when it is paid

How transfer duty is calculated

Duty is assessed on the higher of the purchase price and the market value of the property, on a sliding scale. Which scale applies depends on how you will use the property.

The general rate applies to investment properties, holiday houses, vacant land you are not building on and commercial property. The home concession rate applies where you will move in and occupy the property as your principal place of residence within one year and hold it for at least a year. The first home concession reduces it further again, and buyers of a newly-built first home may pay no duty at all up to a threshold.

The full rate tables for both the general and home concession scales are set out on our fees page.

When stamp duty is payable in Queensland

Duty is assessed on the dutiable transaction and is due within 30 days of liability arising — generally the date the contract becomes unconditional, not the date of settlement.

In practice, on a normal conveyance your solicitor lodges the transfer documents for assessment, you provide the duty funds before settlement, and duty is paid as part of the electronic settlement so the transfer can be registered immediately. Unpaid duty attracts interest and penalties, and the transfer cannot be registered until it is paid.

If settlement is more than 30 days after the contract goes unconditional — a long settlement or an off-the-plan purchase — the timing needs to be managed. Off-the-plan contracts have their own rule tied to completion.

Concessions worth checking

Concessions are not automatic. They are claimed in the transfer duty documents, and they carry conditions that can be clawed back if you breach them.

• Home concession — you must move in within one year and not dispose of or lease the property before you do
• First home concession — additional relief for eligible first home buyers within value thresholds
• First home vacant land concession — for eligible buyers of land on which they will build their first home
• Family and matrimonial exemptions — transfers under a Family Court order or between spouses of a principal place of residence, where the requirements are met
• Deceased estate transmissions — transfers to a beneficiary under a will are generally not dutiable

The traps

The claw-back is the most common problem. If you claim the home concession and then rent the property out, or fail to move in within a year, you must notify the Queensland Revenue Office within 28 days and repay the difference. People forget, and the reassessment arrives later with interest.

The second trap is the additional foreign acquirer duty surcharge, which applies to foreign individuals, corporations and trusts acquiring residential land. It is a significant additional percentage on top of ordinary duty, and trust structures with any foreign beneficiary can trigger it unexpectedly.

The third is buying in a company or trust name, which loses the home concession entirely. Decide the buying entity before you sign, not after.

Who pays, and what if the price changes

The buyer pays transfer duty. Sellers do not pay it. If the price is renegotiated after signing — for example following a building and pest report — duty is reassessed on the revised consideration provided the reduction is genuine.

Rates, thresholds and concessions change with each Queensland state budget. We confirm your exact duty figure in writing before you commit, and check every concession you might be eligible for. Call 0488 340 853 or see our fees page for the current rate tables.

Queensland stamp duty — common questions