Stamp Duty Exemption Inquiry
A client residing in New South Wales is in the process of purchasing a property with their spouse, who is an Australian citizen. The client is seeking information regarding exemption from the foreign stamp duty surcharge. They hold a partner visa and have lived continuously in Australia for over 200 days during the past year, primarily residing in Newcastle. The client's eligibility for the exemption may be influenced by their residency status during the time on a bridging visa. They have not traveled outside the state during this period.
Questions about this case
These answers have been verified by a lawyer in the LEAP networkAm I exempt from foreign stamp duty surcharge if I hold a partner visa and have satisfied the ordinarily resident requirement, even though I was on a bridging visa for most of the 200 days?
Holding a partner visa and satisfying the 'ordinarily resident' requirement typically indicates eligibility for exemption from the foreign purchaser stamp duty surcharge. Your residency status and the duration of your stay in Australia are key factors. Given your presence in the country for over 200 days, this supports your claim. However, the time spent on a bridging visa may require further examination, as residency status is assessed on an individual basis. Consulting with the relevant state revenue authority or seeking legal advice would be advisable.
What documentation do I need to provide to demonstrate that I have been ordinarily resident in Australia for the purposes of the stamp duty exemption?
To prove that you have been ordinarily resident in Australia for stamp duty exemption, you should gather documentation that supports your claim, including: 1. Evidence of your stay in Australia for over 200 days in the past year, such as travel records or entry and exit stamps. 2. Proof of your primary residence, such as lease agreements or utility bills. 3. Documentation of employment or enrollment in educational institutions within Australia. 4. Financial records indicating local transactions. Ensure that these documents align with the state revenue office's requirements.
Are there any other legal or tax implications I should be aware of when purchasing property in New South Wales as a visa holder?
As a visa holder purchasing property in New South Wales, it is essential to be aware of potential land tax liabilities, especially if the property is an investment. Additionally, investigate whether any government benefits or grants are available to you as a visa holder. Compliance with the Foreign Investment Review Board regulations is crucial, particularly if your residency status changes, as such changes may affect your eligibility for exemptions.
Can changes to my visa or residency status affect my eligibility for exemptions or surcharges in the future?
Yes, modifications to your visa or residency status can impact your eligibility for exemptions or surcharges on stamp duty. If your status changes and you no longer satisfy the 'ordinarily resident' criteria, you may lose your exemption. It is important to maintain consistent residency and adhere to your visa conditions. Future changes, such as acquiring permanent residency, may also influence your exemption status.
