| - | General | |
| - | Acquisition of Real Estate and Business Property | |
| - | Motor Vehicle Certificate of Registration | |
| - | Leases | |
| - | General Insurance | |
| - | Mortgages and Loans Agreements |
Stamp duty is payable on various instruments or transactions as follows:
| - | Acquisition of Real Estate and Business Property; | ||
| - | Acquisition of shares in a Land-holding Corporation or Unit Trust; | ||
| - | Grants of leases of land where valuable consideration in addition to or without rent is given for the lease; | ||
| - | General Insurance Policies and Life Insurance Policies; | ||
| - | Deeds constituting extingushing or varying in any way a trust; and | ||
| - | Motor Vehicle Certificates of Registration (issues and transfers). |
For a general summary of these duties, refer to the brochures:
| - | Territory Taxes - Information for Business | |
| - | Stamp duty on business property and rights | |
| - | Stamp duty and fishing licences | |
| - | Stamp duty and motor vehicles |
What information must
be lodged when submitting a document for assessment?
When submitting a document for assessment of duty you must complete a
Stamp Duty Lodgement Form providing your
contact details and a description of the document. Territory Revenue Office
has also issued a Stamp Duty Lodgement Guide
that details the information required by the Commissioner of Territory
Revenue to assess most types of documents/transactions. It is important
that this information is provided when the documents are lodged as the
duty is payable within 60 days after the document is executed (signed).
When must documents
and statements be lodged for assessment and duty paid?
Dutiable documents and statements must generally be lodged for assessment
and the duty paid within 60 days of execution of the document or 60 days
after the occurrence of the transaction that gave rise to the requirement
to create the statement. However, extensions apply to eligible conditional
agreements. For further information on lodgement and payment requirements and extensions
for eligible conditional contracts, refer to Commissioner's Guideline
CG-SD-001 Document lodgement and payment
periods and Commissioner's Guideline CG-SD-002
Eligible conditional agreements - extension of time to lodge instrument
and pay duty.
When paying by cheque,
who should I make the cheque out to? Cheques are to be made payable to the Receiver of Territory Monies.
What payment options are there?
What if I can't lodge
the original document for assessment within the required time? Territory Revenue Office acknowledges that it is not always possible
to lodge the original document for assessment. In such instances, you
should lodge a copy of the document for assessment and payment. Embossing
of the duty paid can be transferred to the original instrument when
it becomes available.
How long will it take to assess the stamp duty payable on my documents? TRO's Service Charter states that we will issue stamp duty assessments for 90 per cent of all documents within five business days of receipt of all relevant information.
What can I do if I need an urent assessment? Where this requirement is met, the matter will be considered and, if appropriate, progressed as quickly as possible. As each case will depend on its individual circumstances, TRO will provide an indication of when the assessment will be available for collection after the email or letter, together with the other required information, have been considered.
In circumstances where an assessment is required urgently by a regular lodging party, that person should provide an email or letter to TRO that:
1.
advises the reason(s) for urgency and failure to lodge the instrument earlier;
2.
includes an undertaking that the stamp duty will be paid immediately after an assessment is issued; and
3.
is accompanied by a completed F-SD-001: Stamp Duty Lodgement Form and all relevant information and supporting documentation required by TRO to assess the instrument(s).
TRO has a Stamp Duty Lodgement Guide (I-SD-001) which sets out the standard information generally required by TRO to assist in the prompt and accurate assessment of dutiable instruments.
What is dutiable property?
Dutiable property is defined in section 4 of the Stamp Duty Act
as:
-
Land including a lease, a mining tenement, information
relating to the tenement and fixtures attached to the land (eg buildings)
comprised in a lease or a mining tenement (as from 1 July 2008 mining tenement
includes rights to explore for resources such as a Exploration Licence or
Exploration Retention Licence under the Mining Act);
-
Goodwill of a business undertaking carried on or
to be carried on in the Territory, or in the Territory and elsewhere;
-
Statutory business licences (eg. fishing, liquor,
broadcasting licences, etc.);
-
Intellectual property rights including:
- a right to use a business name, trading name or trade mark;
- a right to use a thing, system or process that is the subject
of a patent, a registered design or a copyright;
- a right to use information or technical knowledge; and
- a patent, a registered design or a copyright;
-
An option to purchase dutiable property or an interest
in dutiable property;
-
Chattels but only when acquired with other dutiable
property, other than -
- goods, wares or merchandise that are stock-in-trade;
- materials held for manufacture;
- goods under manufacture;
- livestock;
- any motor vehicle in respect of which a motor vehicle certificate
of registration is or will be issued;
- cash, money in an account at call; or
- negotiable instruments, and money on deposit with any person;
and
-
An estate or interest (which may be a partnership
interest) in dutiable property.
I am purchasing a
business in the Northern Territory. Do I have to pay stamp duty?
The purchase of certain business property and rights are subject to
stamp duty. For more details, refer to brochure I-SD-002
Stamp Duty and business and property rights.
What is the rate of
duty? Escalating rate applies up to $525 000 of the dutiable value of the
property (ie. the greater of the consideration paid or the unencumbered
value of the property). Where the dutiable value is $525 000.00 or more,
the rate of duty is 4.95% of that value. For an estimate of the duty
payable, click
here for a calculator.
How long do I have
to pay the duty on a contract for the sale of land? Duty is required to be paid within 60 days after the contract is executed
(signed) whether the contract is conditional or unconditional otherwise
late payment penalties apply. However, an extension of time to lodge
and pay applies to eligible conditional agreements. For further
details to Commissioner's Guideline CG-SD-002
Eligible conditional agreements - extension of time to lodge instrument
and pay duty.
Are there any concessions
for home buyers? Yes. For more information, click here.
Is stamp duty payable
on property settlements resulting from the breakdown of a marriage?
No, providing the parties have entered into an agreement that has been
registered with the Family Court or, the Court has made an order for
the transfer of the property. However, the transfer must still be lodged
with Territory Revenue Office for stamping. A copy of the approved agreement
or order should also be provided to support the exemption.
Is stamp duty payable
on property settlements resulting from the breakdown of a de facto relationship?
No, an exemption is provided under the De
facto Relationships Act. However, the transfer must still be
lodged with Territory Revenue Office for stamping. An application F-SD-006
Exemption – Settlement of property de facto relationship must
be lodged in support of the exemption.
Are transfers of
property between family members liable to duty? Generally yes, but exemptions apply in the following limited circumstances:
F-SD-005 Exemption
from stamp duty for conveyance of family farm.
Are there any concessions
for pensioners? Yes – there are concessions for home buyers including a Senior, Pensioner and
Carer Concession specifically for eligible pensioners.
For more information, click here.
Is stamp duty payable
on a motor vehicle certificate of registration? Yes. If the transaction is between parties that are at arms-length,
duty is payable at the rate of $3.00 per $100 or part thereof of the
purchase price of the vehicle (including accessories), otherwise, duty
is payable on the market value of the vehicle (including accessories).
For more detailed information refer to the
Stamp Duty and Motor Vehicles brochure or the Application for Exemption - Stamp Duty on a Motor Vehicle.
Are there any concessions
for pensioners? No concessions are available for pensioners except for a person who
is entitled to a special rate of pension (TPI pensioner) under section
24(4) of the Veterans’
Entitlement Act 1986 (Cwlth) or an Extreme Disablement Adjustment
(EDA) pension under section 24(2) of that Act providing the vehicle
is for personal use. To claim the exemption, you must complete the Application for Exemption - Stamp Duty on a Motor Vehicle and present it to the Motor Vehicle Registry at the time you apply for the registration or transfer.
Is stamp duty payable
on transfer resulting from the breakdown of a marriage? No, providing the parties have entered into an agreement that has been
registered with the Family Court or, the Court has made an order for
the transfer of the property. To claim the exemption, you must complete
the Application for Exemption - Stamp Duty on a Motor Vehicle and present it with the
supporting evidence detailed therein to the Motor Vehicle Registry at
the time you apply for the registration or transfer.
Is stamp duty payable
on property settlements resulting from the breakdown of a de facto relationship?
No. An exemption is provided under the De
facto Relationships Act. To claim the exemption, you must complete
the Application for Exemption - Stamp Duty on a Motor Vehicle and present it with the
supporting evidence detailed therein to the Motor Vehicle Registry at
the time you apply for the registration or transfer.
Are transfers between
family members liable to duty? No, providing the transfer is between spouses (including de facto spouses)
or parent to child and vice versa, and no monetary consideration is
paid (the vehicle is gifted). In all other cases (ie. sibling to sibling
or step-father to step-child) the transfer is liable to stamp duty.
To claim the exemption, you must complete the Application for Exemption - Stamp Duty on a Motor Vehicle and present it to the Motor Vehicle Registry
at the time you apply for the registration or transfer.
Is duty payable on
a transfer from a business name to a sole trader's name? No, providing there is no change in the legal ownership of the vehicle.
When seeking a change in the registration particulars, you must complete
the Application for Exemption - Stamp Duty on a Motor Vehicle and present it to the Motor Vehicle
Registry at the time you apply for the registration or transfer.
Exemption for certain
Organisations and Institutions An exemption applies for organisations such as a: To assist the Motor Vehicle Registry (MVR), Territory Revenue Office
(TRO) issues a Certificate of Exemption confirming the exempt status
of the organisation, which remains in force for a period of five years.
The Certificate should be presented to MVR, either directly or through
the dealer from whom the vehicle was purchased, when applying for the
registration or transfer, together a completed application for exemption
which is on the reverse side of the Stamp Duty Exemptions - Motor Vehicle
Certificates of Registration brochure. To obtain a certificate, an application in writing should be made to
TRO together with supporting evidence of
the organisations exempt status (i.e. a copy of its constitution), annual
report and any other relevant information. If duty has been already
paid, an application for refund can be made to TRO.
(a) public hospital or
(b) public benevolent institution; or
(c) religious institution; or
(d) public education institution; or
(e) council, society, organisation or other body established or carried on exclusively or principally for the promotion of the interests of a school (other than a school carried on for profit);or
(f) non-profit organisation having as its sole or dominant purpose a charitable, benevolent, philanthropic or patriotic purpose.
How is the duty calculated
on a lease? Lease duty on 'rent' was abolished on 1 July 2006. However, the grant of a lease remains liable to duty at the same rate as an acquisition of land where valuable consideration (i.e. a premium) in addition to or without rent is payable for the lease. Duty is calculated on the amount or value of the consideration payable.
Is duty payable on
residential leases? Yes, but only where valuable consideration (i.e. a premium) in addition to or without rent is payable for the lease. However, a lease that is a residence contract under the Retirement Villages Act is exempt from duty.
Is there an exemption
for religious, public benevolent and charitable organisations? No.
How is a stamp duty
refund claimed when an insurance policy is cancelled? If a policy of insurance is cancelled, an insurer may apply in writing
to the Commissioner of Territory Revenue for a refund of the amount
of duty paid, based on the unexpired period of the policy. Where the
insurer has recovered the amount of duty from the policy holder, the
Commissioner will make a refund only if satisfied that the insurer has
made arrangements to refund that amount to the policy holder.
What is meant by
'in the Territory'? Stamp duty is payable on a policy of insurance in respect of property
in the Territory, or a risk that may occur within the Territory. The
phrase 'in the Territory' also includes the coastal waters of the Territory. The
Coastal Waters (Northern Territory Title) Act 1980 vests the same
rights and titles in the sea-bed under the coastal waters of the Territory,
and the space above the sea-bed (including space occupied by water)
in the Territory as if that space were in the limits of the Territory.
What is the rate
of duty on a mortgage or loan agreement? No duty is payable in Northern Territory on mortgages or loan agreements.