Major reduction in time to pay stamp duty on land transfers
In Victoria, from the 1st of April 2012, stamp duty must be paid to the State Revenue Office within 30 days after the liability arises.
The time period for paying duty and lodging documents has been reduced from 3 months to 30 days (State Taxation Acts Further Amendment Act 2011).
Please note that for transfers of land, the 30 day timeline starts from the date of settlement.
The Victorian State Revenue Office has provided a transitional period from 1 April 2012 to 30 June 2012 which will include the following elements:
No penalty tax will be imposed for late payments of duty during the transitional period (i.e. to 30 June 2012),
No premium interest will be imposed for late payments of duty during the transitional period (i.e. to 30 June 2012), and
Market interest will be imposed on late payments of duty unless the customer (or his or her representative) is able to demonstrate that there were circumstances beyond his or her control that led to the late payment. These situations will be considered on a case-by-case basis. (per Duties Act Bulletin Mar 12 DUT1/12).
Please contact our office on 03 8319 4017 should you wish to discuss this further. You may also follow us on twitter @DKPCo.
The information contained in this news alert is of a general nature and should not be relied upon as a substitute for specific advice.
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