Stamp Duty

Discussion in 'The Buying & Selling Process' started by macdub, 25th Jun, 2016.

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  1. macdub

    macdub Well-Known Member

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    Hi All,

    A quick question from noob/DIY investor. When do I have to pay the stamp duty on established property in VIC? Is it after settlement?

    Once my offer is accepted, all I pay is 10% deposit initially and then remaining amount and stamp duty at settlement. Is this correct?

    Thanks
     
    macdub, 25th Jun, 2016
    #1
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    before settlement
     
    Terry_w, 25th Jun, 2016
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  3. House

    House Well-Known Member

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    Is it true it can be up to 30 days after?

    Also, I think in Vic SD is referred to as Land Transfer Duty.
     
    House, 25th Jun, 2016
    #3
  4. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    In NSW it can and probably similar in VIC, but if there will be a mortgage on the land the mortgagee won't settle unless it is paid.
     
    Terry_w, 25th Jun, 2016
    #4
  5. Simon Moore

    Simon Moore Residential & Commercial Mortgage Broker Business Member

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    It is, but everyone still calls it stamp duty down south :)


    Ask your conveyancer/solicitor, but normally they want the cheque a few days before settlement, it's not actually done till after settlement in VIC (I have attended settlements on some more complicated deals). At settlement, the bank confirms that all funds are available to complete with the conveyancer/solicitor, the conveyancer (or normally one of their minions) then toddles off and actually pays it, generally on the day.
     
    Simon Moore, 26th Jun, 2016
    #5
  6. Greyghost

    Greyghost Well-Known Member

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    I've had funds paid to sro via loan drawdown hitting the loan accounts days after settlement.
    In theory it should be paid before settlement or cheque drawn at settlement.
     
    Greyghost, 27th Jun, 2016
    #6
    Simon Moore likes this.