How to calculate transfer duty:
Transfer duty on most dutiable transactions involving land is calculated by applying the transfer duty rate to the dutiable value of the property. There are a number of factors can than increase or reduce transfer duty, such as when:
- Only a part of a property is transferred (e.g. 50%)
- A home concession applies to the transaction, but includes land not for residential purposes
- Several people acquire an interest in property, and some pay the concessional rate of duty
while others pay the full rate (mixed and multiple claims)
- Multiple transactions are part of the same arrangement, which can be assessed as if they
were 1 transaction
- An exemption applies, which could result in you paying no duty at all.
Before you can calculate how much duty you have to pay for a transaction you’ve entered into, you have to determine its dutiable value. When you buy land in Queensland, the dutiable value is usually either the unencumbered value of the property (usually the market value) or the amount you agree to pay (your consideration) for the transaction—whichever is higher.
This means that even if you pay no money for a transaction (e.g. a family member transfers property to you as a gift), the property being transferred still has a dutiable value.
A.L.F. Lawyers will calculate the Transfer Duty that may be payable under your transaction and prepare the necessary concession forms depending on your eligibility.
A.L.F. Lawyers are registered self-assessors to the Office of State Revenue and will advise you on the due dates for payment of any Transfer Duty payable to avoid you incurring any penalty interest being charged.