First home buyer or pensioner? You may be eligible for a duty concession

Are you a first home buyer? Or a pensioner? You may be eligible for a duty concession.

First home buyers

​​​​​​​​​​​​There is a 100% exemption on transfer duty for first home buyers of an established home when the purchase price is $750,000 or less (for property purchases between 18 February 2024 and 30 June 2026).

​To be eligible for this exemption all of the purchasers/transferees:

• must purchase an established home (not a new home) in Tasmania that does not exceed;
  • ​$400 000 or less between 7 February 2018 and 15 March 2021 (inclusive) - 50% concession; or
  • $500 000 or less between 16 March 2021 and 31 December 2021 (inclusive) - 50% concession; or
    
  • $600 000 or less between 1 January 2022 and 30 June 2024 (inclusive) - 50% concession;​ or
  • $750 000 or less between 18 February 2024 and 30 June 2026 (inclusive) - 100% exemption.
  • 
    
• must be a natural person (not a company or a trust); and
  
• must be at least 18 years of age*; and
  
• must be an Australian citizen or permanent resident - or if there is more than one applicant, at least one of them must meet this criteria; and
  
• must not have previously owned a home (or have a spouse/partner who owned a home) in Australia; and
• must not have received a First Home Owner Grant in any state or territory of Australia or the Duty Concession before (or have a spouse/partner who has); and
• must fully complete the application form and lodge with all relevant supporting documentation; and
• must ensure each person holding a relevant interest in the property is listed on the application form.

Residential requirements

In addition to the above requirements, eligible transferees must occupy the home as their principal place of residence for a continuous period of 6 months commencing within 12 months of purchasing the property*.

To comply with the requirement of a principal place of residence, the property must be the place at which you usually eat and sleep – leaving personal belongings at a vacant residence is not sufficient to meet this condition. The duty concession may be applied in anticipation of this requirement being met.

* The Commissioner has a discretion to vary this requirement in some circumstances.​

For more information and requirements, you can view the State Revenue Office website here.

Pensioners downsizing to a new home

​​​​​​​​​​​​​​​​​​This concession provides a 50 per cent reduction of property transfer duty for eligible pensioners who sell their former home in Tasmania and downsize by buying another home in Tasmania.

The dutiable value of the new home must be less than that of the former home. The new home must have a dutiable value of:​

• $400 000 or less up until 15 March 2021;​ or
• $500 000 or less for homes purchased from 16 March 2021 up until and including 31 December 2021; or
• $600 000 or less for homes from 1 January 2022 up until and including 30 June 2025.
  
  

The concession is available where:

• the transfer associated with the sale of the former home completes between 10 February 2018 and 30 June 2025 (inclusive); and
• the transfer associated with the purchase of the new home completes within six months (either before or after) the transfer (selling date) of the former home.

NOTE: YOU WILL NOT BE ELIGIBLE FOR THIS CONCESSION IF THE SALE OF THE FORMER HOME COMPLETES ON OR AFTER 1 JULY 2025.

To be eligible for this duty concession, at least one of the purchasers/transferees:

• must be aged 60 years or over and: ​
  

• • • hold a Pensioner Concession Card; or
      
    • receive a DVA special rate pension; or
      
    • hold a Commonwealth Seniors Health Card; and
      
• must have occupied the former home as their principal place of residence for at least six months immediately before the eligible transaction*; and
• intends to live in the new home for at least six months, commencing within twelve months of the
  eligible transaction*; and
• must ensure the ownership of the home is in the same name/s the former home*; and
• t​he eligible pensioner (or spouse) must not own a home anywhere within Australia at the time of the eligible transaction (other than the former home); and​
• the eligible pensioner (or spouse) must not have previously received this duty concession.

* The Commissioner has a discretion to vary this requirement in some circumstances.​

All material on this site is provided for information purposes only. The contents do not constitute legal advice, are not intended to be a substitute for legal advice and should not be relied upon as such. You should seek legal advice or other professional advice in relation to any particular matters you or your organisation may have. If there are any issues you would like us to advise you on arising from this material, please get in touch.