Stamp duty (transfer duty) is one of the biggest upfront costs of buying property in Australia. The rules differ significantly between Victoria and NSW — different rates, thresholds, concessions and first-home buyer schemes. This guide compares stamp duty in VIC and NSW for 2026, with clear tables and practical examples — answered by Collings Property Advisory.
How Stamp Duty Works in Australia
Stamp duty is a state government tax on the transfer of property. It is calculated on the purchase price or market value of the property (whichever is greater) and must be paid by the buyer at or before settlement. The rate is progressive — higher purchase prices attract higher rates.
Stamp Duty in Victoria 2026
Victoria’s stamp duty (land transfer duty) applies to all residential property purchases. Key rates and thresholds for 2026:
| Purchase Price | Duty Rate | Approximate Duty |
|---|---|---|
| Up to $25,000 | 1.4% | Up to $350 |
| $25,001 – $130,000 | 2.4% | $350 – $2,870 |
| $130,001 – $960,000 | 6% | $2,870 – $55,000 (approx) |
| Over $960,000 | 5.5% | Higher sliding scale |
| Over $2,000,000 | 6.5% | Higher sliding scale |
Example: On a $900,000 property in Victoria, stamp duty is approximately $48,830.
Stamp Duty in NSW 2026
NSW stamp duty (transfer duty) rates for 2026:
| Purchase Price | Duty Rate | Approximate Duty |
|---|---|---|
| Up to $16,000 | 1.25% | Up to $200 |
| $16,001 – $35,000 | 1.5% | Up to $485 |
| $35,001 – $93,000 | 1.75% | Up to $1,499 |
| $93,001 – $351,000 | 3.5% | Up to $10,530 |
| $351,001 – $1,168,000 | 4.5% | Up to $47,295 |
| Over $1,168,000 | 5.5% | Higher sliding scale |
Example: On a $900,000 property in NSW, stamp duty is approximately $35,835.
First-Home Buyer Concessions
| Victoria | NSW | |
|---|---|---|
| Full exemption threshold | Up to $600,000 | Up to $800,000 |
| Concession threshold | $600,001 – $750,000 | $800,001 – $1,000,000 |
| First Home Owner Grant (new builds) | $10,000 | $10,000 |
Key Differences Between VIC and NSW
- NSW has higher full-exemption thresholds for first home buyers ($800k vs $600k in VIC)
- VIC has a higher top rate (6.5% over $2M vs 5.5% in NSW)
- NSW introduced an annual property tax option for first home buyers as an alternative to upfront stamp duty — VIC has not
- Both states charge foreign purchaser additional duty — 8% in VIC, 8% in NSW
How Collings Property Advisory Helps
Understanding your full purchase costs — including stamp duty — is essential for making confident property decisions. Collings Property Advisory ($4,500 + GST fixed fee) includes a full cost-of-acquisition breakdown as part of every buyer advisory engagement, so you know exactly what you’re up for before you commit.
Frequently Asked Questions
Is stamp duty tax deductible?
For owner-occupiers, stamp duty is generally not tax deductible. For investment properties, it is added to the cost base of the property for CGT purposes but not immediately deductible. Seek advice from your accountant for your specific situation.
When do I pay stamp duty?
In VIC, stamp duty is due within 30 days of settlement. In NSW, it is due at settlement. Your conveyancer will manage this process.
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