Foreign persons purchasing real property in NSW may be liable to Revenue NSW for “Surcharge Purchaser Duty” which is an additional 8% on top of any normal transfer duties applicable to the transaction.
If you are an Australian Citizen you are not liable for Surcharge Duty.
Further, you are also exempt from Surcharge Duty if you have lived in Australia for 200 out of the last 365 days preceding the Contract Date and:
- you’re an Australian permanent resident
- you’re a New Zealand citizen with a subclass 444 visa, or
- you hold a partner (provisional) visa (subclass 309 or 820).
Further, if you fit into one of the above mentioned categories however you have not lived in Australia for 200 out of the last 365 days preceding the Contract Date then you may still be exempt from the Surcharge Duty provided you can establish:
- You will be moving into the Property being purchased (i.e. it will be your principal place of residence); AND
- You will be living in the property for at least 200 consecutive days following the Contract Date.
If you are a foreign person purchasing property in NSW and unsure as to whether you are liable for Surcharge Duty please contact our Property Team today on 4627 3333 for specialist advice.
This article was published on 20/09/22 and the information is valid only to the date of publishing. This article should be considered merely general and non-specific on the subject matter and is not and should not be considered or relied on as legal, advice. Meehans Solicitors is not responsible in the event this information is relied upon by the reader in the absence of specific legal advice.