Tax Tip 260: NSW Stamp duty Transfer of Property on the end of a relationship

Discussion in 'Accounting & Tax' started by Terry_w, 13th Dec, 2019.

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  1. Terry_w

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

    18th Jun, 2015
    Australia wide
    An exemption of duty is available for the transfer of property from one spouse to the other when a de facto relationship or marriage ends.

    There does not necessarily need to be a court order for this to happen.

    The property could even be transferred to a child of the parties without duty.

    Note the legislation distinguishes a ‘de facto relationship’ to that of a ‘domestic relationship’. I am not sure what the difference is as neither phrase is defined.

    Subsection (3) even allows transfers of ‘matrimonial property’ to third parties including trustees.

    See Section 68 of the Duties Act (1997) NSW DUTIES ACT 1997 - SECT 68 Exemptions--break-up of marriages and other relationships
  2. Paul@PAS

    [email protected] Tax, Accounting + SMSF + All things Property Tax Business Plus Member

    18th Jun, 2015
    It may also apply to a related entity eg a SMSF, trust : Subsection 3, 3A covers such transfers

The shift to the regions has been quite profound with Millennials and Gen X leading the way. It seems affordability, lifestyle, and working from home have been the key drivers from which these generations have been able to take most advantage.