Revenue NSW's Updated Duties Assessment for Land Purchases Over $20 Million

What Exactly Has Changed?

Starting on 19 September 2024 (fully effective from 8 October 2024) , any sale of land in NSW valued at $20 million or more will need to be assessed for duty through the eDuties portal (ie it will need to be sent to Revenue NSW for assessment).

What Does This Mean for Buyers?

If you’re planning to purchase land in NSW with a price tag of $20 million or more, here’s what you need to know:

1. Potential Delays: Expect stamp duty assessments to take longer than usual, and plan your settlement timeline accordingly. Revenue NSW has advised that it won’t process letters requesting urgent assessments, so the timing will no longer be negotiable. While the precise timeframe for assessments via eDuties hasn’t been specified, it’s clear that delays are to be expected.
2. Additional Documentation: You may be required to provide further supporting documents than you would for a regular property transaction. These might include valuation reports, corporate financials, and more. While it sounds like more paperwork (and it is), the aim here is to have everything in order from the outset to avoid back-and-forth down the line.

Key Takeaways for Your Legal and Property Teams

• To ensure your settlement goes smoothly, it’s crucial that your property lawyer or conveyancer submits documents to Revenue NSW as soon as possible. Many practitioners typically handle stamp duty closer to settlement, but under this new regime, this approach could cause delays. Staying ahead of the new process will be key to avoiding unnecessary stress.

Need help? Jaide Law can guide you through the intricacies of buying high-value land under these new procedures, ensuring everything runs seamlessly. Reach out to us for expert legal assistance tailored to your specific needs!

Disclaimer – We know most of you get this, but just to be clear, the information above is general and doesn’t consider your unique situation. Please don’t rely on it as a substitute for professional advice. We strongly encourage you to seek appropriate guidance for your specific needs.