When a piece of property is bought by an individual, the price of that property isn’t the only thing that one has to consider. Stamp duty is an extremely important factor. It is referred to as the tax which is implemented upon the legal documentations or the transfer of those certain documents (property).
Stamp duty is an important amount which differs in every country and might even differ in different states. So, there’s no definite value to describe the stamp duty due to its variance.
Stamp duty calculators have however, been developed to help one understand and know what the stamp duty might be in their state or country. These calculators work by taking into account a number of different factors such as the currency, price of the property and etc.
HOW MUCH IS STAMP DUTY IN SOUTH AUSTRALIA:
A tripping factor for the first time buyers is the realization of the payment of stamp duty which is pretty natural. The buyers are always curious to know the amount of stamp duty because they are eager to plan and sort their budget out.
When it comes to Australia, the stamp duty is a little different than it might be in other countries. How? Here’s all you need to know.
How many states are there in Australia?
Australia contains around 08 states. All of which have been mentioned below,
Queensland, Tasmania, South Australia, North Australia, Victoria, New South Wales, Western Australia, Australian Capital Territory.
Is stamp duty the same in every state?
The answer to this, is simply NO.
Stamp duty, being dependent upon a number of different factors, varies greatly for different states. This is because the prices of properties vary greatly. In one state for example, in New South Wales, the rates of properties are sky-high. And due to this reason, the stamp duty levied is also dependent upon it. Hence, we cannot limit the value of stamp duty to a certain numeral value.
On what purchases, does the Australian government implement stamp duty?
IF you purchase or sale a piece of land, a property, a house, a gift or any of such thing in Australia, you definitely need to check if the government has implemented any kind of stamp duty upon it or not because there are probable chances for the implementation of stamp duty upon these.
STAMP DUTY IN SA – HOW IS IT CALCULATED?
If you are someone residing in South Australia, then you need to know that if you are someone being gifted a property, you are still expected to pay the stamp duty depending upon the price of that certain stamp duty. The method of knowing the stamp duty is simple.
The stamp duty rate in SA is applied as the setby Revenue of SA, to the property’s sale price, and the one higher off the two is selected.
On the other hand, South Australia has many loop holes which make it a little difficult to know on average, the stamp duty that might be levied in this state. There are calculated to be about 09 different steps upon which the stamp duty is charged. According to the stamp duty calculator,
- If you have a property worth $12,000 or less, you are expected to pay an amount of 1%.
- You are expected to pay an amount of 2% with an additional 120, if your property exceeds $12,000 and up till $30,000.
- Moreover, 5.5% is due to be paid over a purchase of about $50,000.
- If your property even exceeds $50,000, then the amount you need to pay is fixed and not in terms of percentage. You then have to pay an amount of $21,330 [All of these calculations have been calculated on calculators.tech].
Policies for Foreign purchasers.
An additional ownership surcharge as told by the Revenue, is implemented if you are a foreigner buying a property in South Australia. However, this is estimated to be around 7% of the charge or price of the property.
The good news for first-time buyers is that the state gives them some sort of flexibility. It is provided through different ways with respect to the property prices. However, the relaxation are surely provided to them which is great.
Who is required to pay the Stamp duty in SA?
So as it had been mentioned above, stamp duty might be payable by the purchaser or even by the seller under different conditions.
Here in South Australia, only the purchaser is required to pay the stamp duty.
Duration in which the stamp duty is required to paid:
In South Australia, stamp duty is not only rechargeable after the settlement. In many cases, one can pay the stamp duty even before the actual settlement which is great. Until and unless the stamp duty is paid, you are not legally considered the owner of the certain property upon which it is levied. Moreover, Penalty taxes are provided as a punishment to the individuals who do not their fees on the right time and before the last dates. The penalty taxes many not be neglected because in that case, the amount doubles as it is already a significant amount.