It is a great time to purchase Alpine Property

Property Law: 16 March 2021

Now is a great time to purchase an alpine property as there are currently stamp duty savings on both commercial and industrial property and residential property.

Commercial & Industrial Property

There are stamp duty concessions available if you entered into a contract to purchase commercial or industrial alpine property:

• on or after 1 July 2019. The reductions range from 10% to 50%, and/or
• there is a 50% reduction of stamp duty if you enter/ed into a contract on or after 1 January 2020.

You should note that this reduction may also apply if you purchase a residential property in an alpine resort and you lease the property as a holiday rental.

Further information and relevant dates can be found here: Regional commercial, industrial and extractive industries property concession | State Revenue Office (sro.vic.gov.au)

Residential Property

Alpine residential properties also benefit from these savings. There is a 50% stamp duty waiver for new residential properties and a 25% stamp duty waiver for existing residential properties. To be eligible for the waiver your purchase will need to meet the following criteria:

• the purchase must be for residential property;
• the price must be $1 million or less;
• the contract must be signed on or after 25 November 2020 and before 1 July 2021; and
• the property cannot be gifted - adequate money must be paid for it.

More information in relation to these benefits can be found here: Land transfer duty waiver for residential property transactions of up to $1 million | State Revenue Office (sro.vic.gov.au)

Refund of duty already paid

If you have already purchased an alpine property and you did not receive a waiver of stamp duty you should check if you are entitled to one. If you missed out and are entitled to the waiver, there is a process to obtain a refund from the State Revenue Office.