Purchasing property in the Australian Capital Territory typically involves conveyance duty—commonly called stamp duty—which may represent one of the largest upfront costs buyers face. A $900,000 home in Canberra could attract approximately $25,000 in conveyance duty for owner-occupiers, while investors might pay closer to $35,000 for the same property. For property developers and investors, understanding these costs is generally considered essential for accurate feasibility modelling and project budgeting.
The ACT operates Australia’s most progressive stamp duty reform program, with lower effective rates than most states and—uniquely among major jurisdictions—no foreign purchaser surcharge. From 1 July 2025, the Home Buyer Concession Scheme threshold increased to $1,020,000, providing full stamp duty exemption for eligible buyers at this price point. This comprehensive guide covers current ACT conveyance duty rates for 2025-26, the Home Buyer Concession Scheme (which replaced the First Home Owner Grant), pensioner and disability concessions, the off-the-plan exemption, and the territory’s 20-year tax reform journey. Whether you’re purchasing your first home, investing in residential property, or developing a new project, this guide aims to provide the calculator-ready information you may need.
Current ACT Conveyance Duty Rates (2025-26)
ACT conveyance duty operates under the Duties Act 1999 with rates that differ significantly between owner-occupiers and investors. Unlike NSW or SA, which apply the same rates regardless of intended use, the ACT rewards owner-occupiers with substantially lower duty rates—reflecting the territory’s ongoing tax reform philosophy.
Owner-Occupier Rates (From 1 July 2025)
The following rates apply to buyers who commit to occupying the property as their principal place of residence for at least 12 continuous months:
| Dutiable Value | Marginal Rate | Notes |
|---|---|---|
| $0 – $260,000 | $0.28 per $100 | Reduced from $0.40 in 2024-25 |
| $260,001 – $300,000 | $0.49 per $100 | — |
| $300,001 – $500,000 | $3.40 per $100 + base | Progressive marginal system |
| $500,001 – $750,000 | Graduated rates | — |
| $750,001 – $1,000,000 | Graduated rates | — |
| $1,000,001 – $1,455,000 | Graduated rates | — |
| Over $1,455,000 | $4.54 per $100 (flat) | Less $35,238 adjustment |
For properties exceeding $1,455,000, the calculation switches from marginal to flat rate: multiply the total dutiable value by $4.54 per $100, then subtract $35,238.
Investor and Non-Owner-Occupier Rates
Investors and buyers who won’t occupy the property as their principal residence face materially higher rates:
| Dutiable Value | Marginal Rate |
|---|---|
| $0 – $200,000 | $1.20 per $100 |
| $200,001 – $300,000 | $2.20 per $100 + base |
| $300,001 – $500,000 | $3.40 per $100 + base |
| $500,001 – $750,000 | Graduated rates |
| $750,001 – $1,000,000 | Graduated rates |
| $1,000,001 – $1,455,000 | Graduated rates |
| Over $1,455,000 | $4.54 per $100 (flat) |
Above $1,455,000, both owner-occupiers and investors pay the same 4.54% flat rate. However, owner-occupiers receive a $35,238 deduction from the calculated duty, while investors do not—creating a fixed $35,238 difference regardless of property value.
How to Calculate Your Conveyance Duty
Understanding how to calculate ACT conveyance duty may help you verify quotes and plan your budget more accurately. The ACT uses a marginal rate system up to $1,455,000, then switches to a flat rate method.
Example 1: $650,000 owner-occupied property
Using the ACT Revenue Office calculator:
- Duty calculated through progressive marginal brackets
- Approximate total duty: $14,500–$15,500
Example 2: $900,000 owner-occupied property
- Progressive calculation through all applicable brackets
- Approximate total duty: $25,000–$26,000
Example 3: $900,000 investment property
- Higher investor rates apply throughout
- Approximate total duty: $34,000–$36,000
Difference: An investor pays approximately $9,000–$10,000 more than an owner-occupier at this price point.
Example 4: $1,600,000 owner-occupied property
- Flat rate applies: $1,600,000 × $4.54 per $100 = $72,640
- Less adjustment: $72,640 – $35,238 = $37,402
Quick Reference: Conveyance Duty at Common Price Points
| Purchase Price | Owner-Occupier Duty | Investor Duty | Home Buyer Concession |
|---|---|---|---|
| $500,000 | ~$8,400 | ~$11,400 | $0 (exempt) |
| $600,000 | ~$12,000 | ~$17,000 | $0 (exempt) |
| $700,000 | ~$16,500 | ~$23,000 | $0 (exempt) |
| $800,000 | ~$20,500 | ~$28,500 | $0 (exempt) |
| $900,000 | ~$25,500 | ~$35,000 | $0 (exempt) |
| $1,000,000 | ~$31,000 | ~$41,500 | $0 (exempt) |
| $1,020,000 | ~$32,000 | ~$42,500 | $0 (exempt—threshold) |
| $1,100,000 | ~$35,500 | ~$47,000 | ~$5,120 (partial) |
| $1,250,000 | ~$42,000 | ~$54,500 | ~$14,720 (partial) |
| $1,455,000 | ~$50,000 | ~$66,000 | ~$27,840 (full duty) |
| $1,600,000 | ~$37,400 | ~$72,640 | Full duty |
| $2,000,000 | ~$55,600 | ~$90,800 | Full duty |
Note: Amounts are approximate. Home Buyer Concession assumes full eligibility for contracts from 1 July 2025. Use the official calculator for precise figures.
For accurate calculations, the ACT Revenue Office provides an online calculator that factors in all current thresholds and rates.
Commercial Property Duty: Almost Fully Abolished
The ACT has progressively eliminated stamp duty on commercial property purchases since 2012. From 1 July 2025, the tax-free threshold reached $2 million:
| Commercial Property Value | Duty Payable |
|---|---|
| $0 – $2,000,000 | $0 (nil) |
| Over $2,000,000 | 5% flat rate on total value |
This represents Australia’s most generous commercial stamp duty treatment. For context, the threshold has increased incrementally: $1,500,000 (2018) → $1,600,000 (2021) → $1,900,000 (2024-25) → $2,000,000 (2025-26).
Example: A $1.8 million commercial property purchase in the ACT attracts $0 conveyance duty. The same property in NSW would incur approximately $80,000 in stamp duty.
For property developers considering commercial or mixed-use projects in Canberra, this represents a significant acquisition cost advantage. Feasly’s feasibility software allows you to model these savings across different jurisdictions.
Home Buyer Concession Scheme (Replaced First Home Owner Grant)
The ACT discontinued the First Home Owner Grant on 1 July 2019, replacing it with the Home Buyer Concession Scheme (HBCS). Rather than a cash grant, eligible buyers receive stamp duty exemptions or reductions—potentially worth significantly more than the previous $7,000 FHOG.
Current Thresholds (From 1 July 2025)
| Property Value | Duty Payable | Maximum Concession |
|---|---|---|
| ≤$1,020,000 | $0 (full exemption) | ~$32,000 saved |
| $1,020,001 – $1,455,000 | $6.40 per $100 over $1,020,000 | Sliding scale |
| ≥$1,455,000 | Standard owner-occupier rates | $35,238 deducted |
The maximum concession of $35,238 applies to properties at or above $1,455,000—the concession is deducted from the calculated duty.
Income Thresholds (From 1 July 2024)
The HBCS includes an income test using assessed taxable income (not gross income)—a significant change from July 2024:
| Dependent Children | Maximum Household Income |
|---|---|
| 0 | $250,000 |
| 1 | $254,600 |
| 2 | $259,200 |
| 3 | $263,800 |
| 4 | $268,400 |
| 5+ | $273,000 |
These are Australia’s most generous home buyer income thresholds—significantly higher than NSW ($350,000 gross for FHBAS), Victoria (no income test), or Queensland (no income test).
Important change from July 2024: The income test now uses assessed taxable income rather than gross income. This may benefit buyers with significant deductions, as salary sacrificing, investment losses, and other deductions reduce assessed taxable income.
Eligibility Requirements
To qualify for the Home Buyer Concession Scheme, you generally must meet all of the following criteria under the eligibility requirements:
Age:
- All buyers must be at least 18 years old
Prior property ownership (tightened from July 2024):
- You must not have owned any property (legal or equitable interest) anywhere in the world in the last 5 years
- This increased from 2 years in July 2024
- Includes property held by your spouse or de facto partner, even if they’re not on the new property’s title
Citizenship:
- All buyers must be individuals (not companies or trusts)
- No specific citizenship requirement for the concession itself
- However, foreign persons may be subject to FIRB approval for the purchase
Residence requirement:
- At least one buyer must live in the property continuously for 12 months
- Occupancy must commence within 12 months of settlement
Combined income test:
- Total assessed taxable income of all buyers AND their domestic partners must be below thresholds
- Partners’ income counts even if they’re not on the title
Important: The Domestic Partner Rule
Eligibility typically depends on the property history AND income of both you and your spouse or de facto partner—even if they’re not named on the property title. If your partner:
- Has owned property anywhere in the world in the last 5 years, OR
- Has income that pushes your combined total above the threshold
…you may be ineligible for the concession.
New from 27 May 2025: Separated spouses can exclude their ex-partner’s income and property interests where there has been irretrievable relationship breakdown.
Family Violence Exemption (From 1 July 2025)
Victims of family violence are now exempt from the 5-year property ownership restriction. Evidence requirements include:
- Family violence orders
- Injunctions
- Competent person declarations
This recognises that victims may have been forced to leave a property in which they held an interest.
Buying with a Non-Eligible Buyer
If you’re eligible for the HBCS but purchasing with someone who doesn’t qualify (such as a parent or partner who previously owned property), you may still receive a partial benefit. The concession typically applies only to your share of the property.
Example: You qualify for HBCS and purchase a $900,000 property 50/50 with your partner who owned property 3 years ago:
- Your share (50%): Exempt from duty ($0)
- Partner’s share (50%): Owner-occupier duty on $450,000 (~$6,500)
- Total duty: approximately $6,500
This remains a significant saving compared to full owner-occupier duty of approximately $25,500 on the whole property.
Comparison with Other States’ First Home Buyer Schemes
| Jurisdiction | Exemption Threshold | Grant Amount | Income Test |
|---|---|---|---|
| ACT | $1,020,000 | No grant (replaced by concession) | $250,000 |
| NSW | $800,000 | $10,000 (new homes only) | None for stamp duty |
| VIC | $600,000 | $10,000 (new homes only) | None |
| QLD | $700,000 (uncapped for new) | $30,000 (new homes only) | None |
| SA | Uncapped (new homes only) | $15,000 (new homes only) | None |
| WA | $500,000 | $10,000 (new homes only) | None |
The ACT’s approach trades a smaller cash grant for a higher exemption threshold and more valuable duty concession—particularly beneficial for Canberra’s relatively high median property prices.
No Foreign Purchaser Stamp Duty Surcharge
Unlike NSW (9%), Victoria (8%), Queensland (8%), South Australia (7%), Western Australia (7%), and Tasmania (8%), the ACT imposes no additional stamp duty on foreign purchasers. Only the ACT and Northern Territory lack this surcharge, making them Australia’s most favourable jurisdictions for overseas buyers.
What This Means in Practice
A foreign person purchasing a $1,500,000 residential property:
| Jurisdiction | Standard Duty | Foreign Surcharge | Total Duty |
|---|---|---|---|
| ACT | ~$50,000 | $0 | ~$50,000 |
| NSW | ~$65,000 | $135,000 (9%) | ~$200,000 |
| VIC | ~$82,500 | $120,000 (8%) | ~$202,500 |
| QLD | ~$67,000 | $120,000 (8%) | ~$187,000 |
| SA | ~$76,000 | $105,000 (7%) | ~$181,000 |
| WA | ~$67,000 | $105,000 (7%) | ~$172,000 |
The ACT duty saving for foreign purchasers can exceed $100,000 compared to other major states.
Foreign Ownership Land Tax Surcharge
While the ACT doesn’t impose a stamp duty surcharge, it does apply a Foreign Ownership Land Tax Surcharge of 0.75% of Average Unimproved Value annually. This is an ongoing land tax rather than a one-off purchase cost.
Key exemptions from the land tax surcharge:
- Principal place of residence: Foreign owners living in the property pay no surcharge
- New Zealand citizens: Exempt with Subclass 444 visa
- Australians posted overseas: Not classified as foreign owners
Who is Considered a “Foreign Person”?
Under ACT legislation, a foreign person generally includes:
Individuals who are:
- Not an Australian citizen, AND
- Not a permanent resident of Australia, AND
- Not a New Zealand citizen holding a Special Category (Subclass 444) Visa
Foreign corporations where:
- The corporation is incorporated outside Australia, OR
- Foreign persons hold 50% or more of the issued shares or voting power
Foreign trusts where:
- Foreign persons hold 50% or more of beneficial interests
- For discretionary trusts: foreign persons could potentially benefit under the trust deed
Common Visa Types and Surcharge Status
| Visa Type | Stamp Duty Surcharge | Land Tax Surcharge |
|---|---|---|
| Australian citizen | None | None |
| Permanent resident | None | None |
| NZ citizen (Subclass 444) | None | None |
| Student visa (500) | None | 0.75% annually |
| Temporary work visa (482) | None | 0.75% annually |
| Working holiday (417/462) | None | 0.75% annually |
| Graduate visa (485) | None | 0.75% annually |
The absence of a stamp duty surcharge makes the ACT significantly more accessible for foreign buyers compared to other Australian states, though ongoing land tax costs should be factored into investment calculations.
Pensioner Duty Concession Scheme
The ACT offers comprehensive stamp duty relief for pensioners, with thresholds matching the Home Buyer Concession Scheme from 1 July 2025.
Current Thresholds (From 1 July 2025)
| Property Value | Duty Payable |
|---|---|
| ≤$1,020,000 | $0 (full exemption) |
| $1,020,001 – $1,455,000 | Partial concession (sliding scale) |
| ≥$1,455,000 | Standard rates less $35,238 concession |
Eligibility Requirements
To qualify for the Pensioner Duty Concession Scheme:
- At least one buyer must be receiving:
- Age Pension
- Disability Support Pension (at pensioner age)
- DVA Service Pension, or
- DVA Income Support Supplement
- Property must be your principal place of residence
- Your former home must be sold within one year before or after the new property’s registration
- Only available once per person
Pensioner Duty Deferral Scheme
If you’re eligible for the concession but need additional flexibility, the Pensioner Duty Deferral Scheme allows you to defer any remaining duty payable:
- First payment due within 5 years of settlement
- Full repayment (plus interest) within 10 years
- Interest accrues on the deferred amount
This can assist pensioners who want to purchase before selling their existing home.
Disability Duty Concession Scheme
The ACT provides duty relief for people with disability under the Disability Duty Concession Scheme:
Current Thresholds (From 1 July 2025)
| Property Value | Duty Payable |
|---|---|
| ≤$1,020,000 | $0 (full exemption) |
| $1,020,001 – $1,455,000 | Partial concession |
| ≥$1,455,000 | Maximum $35,238 concession |
Eligibility Requirements
- You must be an NDIS participant with an individual funding package
- Property must be your principal place of residence
- You must not have owned property in the previous 2 years (note: this differs from the 5-year rule for HBCS)
Severe Disability Duty Exemption (New from 1 July 2025)
A complete exemption from conveyance duty is now available for:
- People with severe disability, OR
- Carers of people with severe disability
This exemption applies regardless of property value and doesn’t require purchase through a Special Disability Trust. The property must be used as the principal place of residence.
Off-the-Plan Unit Duty Exemption (2025-26)
The ACT offers a temporary off-the-plan exemption for owner-occupiers purchasing apartments and townhouses:
Current Scheme (1 July 2025 – 30 June 2026)
| Requirement | Details |
|---|---|
| Property type | Unit-titled apartments and townhouses (off-the-plan) |
| Maximum value | $1,020,000 |
| Buyer type | Owner-occupier (must reside for 12 months) |
| Contract period | Exchanged 1 July 2025 – 30 June 2026 |
| Duty payable | $0 |
This exemption is designed to stimulate apartment construction and runs parallel to the Home Buyer Concession Scheme. Eligible buyers could access both concessions, though in practice the HBCS would already provide full exemption at this threshold.
Investor note: Unlike Victoria’s temporary off-the-plan concession (which extends to investors until October 2026), the ACT exemption applies only to owner-occupiers.
Other Exemptions and Concessions
Deceased Estate Transfers
Transfers of property from a deceased estate to beneficiaries are generally fully exempt from conveyance duty when the transfer conforms with:
- The deceased’s Will
- Probate Application, or
- Letters of Administration
A nominal fee may apply for registration purposes.
Relationship Transfers
No duty is payable on residential property transfers:
- Between spouses or domestic partners when resulting in equal ownership
- Under court orders for relationship breakdown (Family Court, Federal Circuit Court)
Intergenerational Rural Transfers
Primary production land transferred to younger-generation family members may be exempt from conveyance duty, supporting farm succession planning.
Charitable Organisations
Tax exemptions may be available for properties used for religious, educational, benevolent, or charitable purposes.
Payment Process: ACT’s Unique “Barrier Free Model”
Since September 2017, the ACT has operated a unique payment model where conveyance duty is assessed and paid after settlement, not before. This differs from all other Australian jurisdictions.
How the Barrier Free Model Works
| Step | Timing | Action |
|---|---|---|
| 1 | Before settlement | Conveyancer obtains Buyer Verification Declaration (BVD) code from ACT Revenue |
| 2 | At settlement | BVD code entered into PEXA or lodged with Access Canberra |
| 3 | After settlement | Title registered with Access Canberra |
| 4 | 14 days after registration | Duty payment due |
Key difference: Unlike NSW, Victoria, and other states where duty must be paid before or at settlement, ACT buyers have 14 days after title registration to pay.
Payment Methods
- BPAY: Using the biller code and reference on your assessment
- Electronic Funds Transfer (EFT): Direct transfer to ACT Revenue
Note: No payment plans are available for conveyance duty.
PEXA Integration
ACT’s Barrier Free Model means there is no stamp duty assessment or payment via PEXA. The electronic conveyancing platform handles the transfer, but duty payment is managed separately through ACT Revenue Office after registration.
Late Payment Consequences
Interest rate: 8% plus the 90-day bank bill rate (currently approximately 12.4% annualised), calculated daily and compounded monthly.
Penalty tax:
- 25% of unpaid duty for failure to take reasonable care
- 75% for reckless conduct
- 90% for intentional disregard of the law
Voluntary disclosure before investigation may reduce penalties.
Security: The Commissioner for ACT Revenue holds a charge over land for unpaid taxes, taking priority over mortgages.
Objections and Appeals
If you believe your duty assessment is incorrect:
- Lodge an objection in writing within 60 days of receiving the assessment notice
- The Commissioner must provide a written decision
- External review available through ACT Civil and Administrative Tribunal (ACAT) within 28 days of the objection decision
Interest continues accruing during disputes but is refunded if the appeal succeeds.
Recent and Upcoming Changes
Changes Effective 1 July 2024
| Element | Previous | From July 2024 |
|---|---|---|
| HBCS income threshold | $170,000 | $250,000 |
| Income test basis | Gross income | Assessed taxable income |
| Property ownership period | 2 years | 5 years |
| Per-child income allowance | $3,330 | $4,600 |
| Full exemption threshold | Varied | $1,000,000 |
Changes Effective 1 July 2025
| Element | Previous | From July 2025 |
|---|---|---|
| Full exemption threshold | $1,000,000 | $1,020,000 |
| Maximum concession value | $34,270 | $35,238 |
| Lowest owner-occupier rate | $0.40 per $100 | $0.28 per $100 |
| Commercial duty threshold | $1,900,000 | $2,000,000 |
| Severe Disability Exemption | N/A | NEW—introduced |
Changes Effective 27 May 2025
- Separated spouses can exclude ex-partner’s income and property interests for HBCS eligibility
ACT’s 20-Year Tax Reform Program (2012–2032)
The ACT is the only Australian jurisdiction systematically abolishing stamp duty in favour of land-based taxes. The territory government commenced this reform in 2012, with a 20-year transition period:
Completed milestones:
- Insurance duty: Abolished 1 July 2016 (ACT is the only jurisdiction to fully eliminate this tax)
- Commercial duty on properties ≤$1.5M: Abolished 2018
- Barrier Free conveyancing: Introduced 2017
- Commercial threshold now $2M (2025)
Current stage: Stage Three (2021–2026), with Stage Four commencing 2026-27.
Trade-offs: The reform is revenue-neutral, with stamp duty reductions offset by higher general rates (land tax). A $250 annual health levy was introduced in 2025-26 on all rateable properties.
The ACT government has acknowledged it will retain residential stamp duty “for a considerable time to come” but continues progressively reducing rates each budget.
Key Dates for 2026
| Date | Expected Change |
|---|---|
| 1 July 2026 | Stage Four of tax reform commences |
| 1 July 2026 | Off-the-plan exemption expires (unless extended) |
| 2026-27 Budget | Further rate reductions likely |
Stamp Duty Comparison: ACT vs Other States
For developers and investors operating across multiple states, understanding how the ACT compares may be helpful:
| State | Top Marginal Rate | First Home Exemption | Foreign Surcharge |
|---|---|---|---|
| ACT | 4.54% (owner-occ) / 4.54% (investor) | $1,020,000 | None |
| NSW | 5.5% (+ 7% premium over $3.7M) | $800,000 | 9% |
| VIC | 6.5% (over $2M) | $600,000 | 8% |
| QLD | 5.75% | $700,000 (uncapped for new) | 8% |
| SA | 5.5% | Uncapped (new homes only) | 7% |
| WA | 5.15% | $500,000 | 7% |
ACT’s key differentiators:
- No foreign purchaser surcharge—unique among major jurisdictions
- Highest first home buyer threshold at $1,020,000
- Lower owner-occupier rates than investor rates (uncommon structure)
- Commercial property almost duty-free (up to $2M)
- Barrier Free payment model—pay 14 days after settlement, not before
- Progressive tax reform reducing rates annually
Frequently Asked Questions
How much is stamp duty on a $700,000 house in the ACT?
For a $700,000 property in the ACT:
- Owner-occupier: approximately $16,500
- Investor: approximately $23,000
- Home Buyer Concession Scheme eligible: $0 (exempt)
How much is stamp duty on a $900,000 house in the ACT?
For a $900,000 property:
- Owner-occupier: approximately $25,500
- Investor: approximately $35,000
- Home Buyer Concession Scheme eligible: $0 (exempt)
How much is stamp duty on a $1 million house in the ACT?
For a $1,000,000 property:
- Owner-occupier: approximately $31,000
- Investor: approximately $41,500
- Home Buyer Concession Scheme eligible: $0 (exempt—threshold is $1,020,000)
How much is stamp duty on a $1.5 million property in the ACT?
For a $1,500,000 property:
- Owner-occupier: approximately $52,000
- Investor: approximately $68,000
- Home Buyer Concession Scheme eligible: approximately $30,000 (partial concession)
Note: Foreign purchasers pay the same rates—there is no foreign surcharge in the ACT.
Why doesn’t the ACT have a foreign buyer surcharge?
The ACT government has chosen not to implement a foreign purchaser stamp duty surcharge, instead applying an ongoing Foreign Ownership Land Tax Surcharge (0.75% of AUV annually) to foreign owners. This approach collects revenue over time rather than as a one-off purchase cost, and exempts foreign owners who live in the property as their principal residence.
Can I add stamp duty to my mortgage?
Generally, no. Most lenders do not allow stamp duty to be added to your home loan in the ACT. You typically need to pay stamp duty from your own savings, though you have 14 days after title registration to make payment under the Barrier Free model. Some lenders may offer limited stamp duty capitalisation in specific circumstances—speak with your mortgage broker.
When do I pay stamp duty in the ACT?
Unlike other states where duty is paid before or at settlement, ACT uses the “Barrier Free” model where payment is due 14 days after title registration. This typically means 2-3 weeks after settlement. Your conveyancer will provide the assessment and payment details.
Is stamp duty tax deductible in the ACT?
For investment properties, stamp duty generally cannot be claimed as an immediate tax deduction. Instead, it’s typically added to the cost base of the property and may reduce capital gains tax when you eventually sell. For properties held for rental income, the stamp duty forms part of your acquisition costs. Consult with a tax professional for advice specific to your circumstances.
What’s the income limit for the Home Buyer Concession Scheme?
The combined assessed taxable income of all buyers (and their domestic partners) must be below $250,000 (with no dependants). Additional allowances apply for each dependent child, up to $273,000 for 5+ dependants. This is Australia’s highest income threshold for first home buyer assistance.
Do pensioners get a stamp duty concession in the ACT?
Yes. Eligible pensioners can receive a full exemption on properties up to $1,020,000 (from 1 July 2025), with partial concessions up to $1,455,000. You must be receiving Age Pension, Disability Support Pension (at pensioner age), or DVA pension, and the property must be your principal place of residence. A duty deferral scheme is also available for up to 10 years.
What if I’m buying with my partner who’s on a temporary visa?
Since the ACT has no foreign purchaser stamp duty surcharge, both Australian and foreign buyers pay the same duty rates. However, if the foreign partner is not living in the property, they may be subject to the annual Foreign Ownership Land Tax Surcharge (0.75% of AUV). For the Home Buyer Concession Scheme, the partner’s property history and income count toward eligibility regardless of their visa status.
I previously owned property overseas—am I still eligible for the Home Buyer Concession?
No. The HBCS requires that you have not owned any property (legal or equitable interest) anywhere in the world in the last 5 years. This includes overseas property. If you previously owned property in another country within the last 5 years, you typically won’t qualify for the concession in the ACT.
Can I get stamp duty refunded if the sale falls through?
In some circumstances, you may be entitled to a refund or reassessment of conveyance duty if:
- The contract is rescinded (cancelled by mutual agreement)
- The contract is annulled, voided, or terminated
- The transfer doesn’t proceed
You typically need to apply to ACT Revenue Office within specific timeframes. If settlement has already occurred and title has transferred, refunds are generally not available.
How does stamp duty work for company purchases?
When a company purchases property, standard conveyance duty rates apply (investor rates, not owner-occupier rates). There are additional considerations:
- No foreign surcharge in the ACT regardless of company ownership structure
- Corporate structures don’t provide stamp duty advantages
- Landholder duty may apply for acquisitions of interests in entities holding significant ACT land (typically 60% or more interest in a landholder)
What happens if I miss the stamp duty deadline?
If stamp duty isn’t paid within 14 days of title registration, you may face:
- Interest charges: Approximately 12.4% per annum (8% + bank bill rate)
- Penalty tax: 25-90% depending on circumstances
- Charge over property: The Commissioner holds security over the land
Your conveyancer should notify you when payment is due, but it’s worth confirming the deadline after settlement.
Is the off-the-plan exemption available to investors?
No. Unlike Victoria’s temporary off-the-plan concession (which extends to investors), the ACT’s off-the-plan unit duty exemption applies only to owner-occupiers who commit to living in the property for 12 continuous months.
Developer Considerations
For property developers, stamp duty represents a significant project cost that must be accurately factored into feasibility analysis. The ACT’s unique features create both opportunities and considerations.
Acquisition Costs
When modelling site acquisition:
Residential development sites:
- Investor rates apply to development site purchases
- Top marginal rate of 5.5% applies above $1,455,000
- No premium property surcharge exists (unlike NSW)
Commercial development sites:
- Sites valued up to $2,000,000 attract $0 duty
- Above $2M, flat 5% applies to total value
- This represents significant savings compared to other states
Mixed-use developments:
- Apportionment may apply between residential and commercial components
- Commercial component up to $2M may be exempt
Corporate structures:
- Purchasing through a company or trust doesn’t reduce stamp duty
- Landholder duty provisions may apply for large entity acquisitions
- Duty applies regardless of entity type
Foreign investor structures:
- No foreign surcharge on acquisitions—unique advantage
- Foreign investors pay identical rates to domestic buyers
- Ongoing land tax surcharge (0.75% AUV) applies if property not owner-occupied
Buyer Capacity Impact
Stamp duty directly affects your end buyers’ purchasing capacity, which influences project pricing and sales velocity:
First home buyer market (sub-$1,020,000):
- Buyers with HBCS eligibility have no duty burden
- This price bracket captures most first home buyer demand in Canberra
- Marketing can emphasise $0 stamp duty + highest threshold in Australia
Home Buyer Concession zone ($1,020,001–$1,455,000):
- Partial concessions apply on a sliding scale
- Consider pricing strategies around the $1,020,000 threshold
- A $1,019,000 price point delivers full exemption vs $1,021,000 incurring duty
Above concession threshold ($1,455,001+):
- Full owner-occupier rates apply
- Maximum $35,238 concession deducted
- Buyers need duty funds on top of deposit
Investor market:
- Higher investor rates apply throughout
- No off-the-plan concessions (unlike Victoria)
- Factor higher duty burden into pricing expectations
Development Feasibility Modelling
When building your development feasibility model, stamp duty affects multiple line items:
| Feasibility Input | Stamp Duty Impact |
|---|---|
| Site acquisition (residential) | Add duty at investor rates (4.54% flat above $1.455M, no deduction) |
| Site acquisition (commercial) | $0 up to $2M, then 5% flat |
| End buyer capacity | Reduce investor budgets by higher duty amount |
| HBCS eligibility impact | First home buyers exempt up to $1,020,000 |
| Sales period | HBCS-eligible price points may sell faster |
| Target market | Owner-occupier targeting delivers duty advantage |
| Foreign buyer share | No surcharge impact (unique to ACT) |
Feasly’s feasibility software enables developers to model stamp duty impacts on both acquisition costs and end-buyer affordability, helping optimise project pricing and target market positioning.
Worked Example: Development Site Acquisition
A developer is acquiring a $3,000,000 residential development site in Canberra:
- Investor rates apply (flat rate above $1,455,000)
- $3,000,000 × $4.54 per $100 = $136,200
- No deduction applies (investor purchase)
- Total duty: $136,200
This represents approximately 4.5% of the land cost—a material input to the feasibility model.
Worked Example: Commercial Development Site Acquisition
A developer is acquiring a $1,800,000 commercial development site in Canberra:
Total duty: $0 (exempt under commercial threshold)
Compared to NSW where this would attract approximately $80,000 in duty, the ACT offers significant acquisition cost savings for commercial projects.
Marketing to First Home Buyers: ACT’s Unique Position
The $1,020,000 exemption threshold creates significant marketing opportunities:
Benefits to highlight:
- $0 stamp duty up to $1,020,000 (Australia’s highest threshold)
- $250,000 income threshold (Australia’s most generous)
- Concession available on new and established homes (unlike SA/QLD where only new qualifies)
- No requirement for the property to be newly built
What buyers need to know:
- Income test uses assessed taxable income (favours those with deductions)
- 5-year property ownership restriction (stricter than previous 2 years)
- Partner’s history and income count toward eligibility
Comparison with Interstate Projects
For developers operating across multiple states, the ACT has distinct characteristics:
| Factor | ACT | NSW | VIC | QLD |
|---|---|---|---|---|
| FHB exemption threshold | $1,020,000 | $800,000 | $600,000 | $700,000 |
| Investor rates | Higher than owner-occ | Same as owner-occ | Same (mostly) | Same (mostly) |
| Off-the-plan (investors) | None | Deferral only | Yes (until Oct 2026) | None |
| Foreign surcharge | None | 9% | 8% | 8% |
| Commercial property | $0 to $2M | Standard rates | Standard rates | Standard rates |
The ACT’s lack of foreign surcharge, combined with generous first home buyer thresholds and commercial duty exemption, creates compelling positioning for specific buyer profiles and project types.
Official Resources
| Resource | URL |
|---|---|
| Conveyance Duty Overview | revenue.act.gov.au/duties/conveyance-duty |
| Online Duty Calculator | ACT Revenue Calculator |
| Home Buyer Concession Scheme | HBCS Information |
| HBCS Eligibility (from 1 July 2019) | Eligibility Requirements |
| Pensioner Duty Concession | Pensioner Scheme |
| Pensioner Duty Deferral | Deferral Scheme |
| Disability Duty Concession | Disability Scheme |
| Off-the-Plan Exemption | Owner-Occupier Exemption |
| Objecting to Decisions | Objections Process |
| Debt Recovery | Payment Information |
Summary
ACT conveyance duty represents a significant consideration for any property purchase, though the territory’s progressive reform program and generous concessions create notable advantages. Key points to remember:
- Owner-occupier rates range from 0.28% to 4.54% with a $35,238 deduction above $1.455M, while investors pay the same top rate but without the deduction
- Home Buyer Concession Scheme provides full exemption up to $1,020,000 (Australia’s highest threshold) with a $250,000 income test (Australia’s most generous)
- No foreign purchaser stamp duty surcharge—unique among major Australian jurisdictions
- Pensioners and people with disability can access exemptions mirroring first home buyer thresholds
- Commercial property up to $2 million is completely exempt from duty
- Off-the-plan exemption available for owner-occupied units up to $1,020,000 (2025-26)
- Payment is due 14 days after title registration under the Barrier Free model—not at settlement
- The ACT continues 20-year tax reform, with further rate reductions expected annually
For accurate calculations specific to your circumstances, use the official ACT Revenue Office calculator and consult with your solicitor or conveyancer. Rates and thresholds may change—always verify current information before making purchasing decisions.
This guide is for informational purposes only and does not constitute legal, financial, or tax advice. Individual circumstances vary, and you should seek professional advice before making property purchase decisions.