All Topics / Legal & Accounting / STAMP DUTY

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  • Profile photo of dangermouse99dangermouse99
    Participant
    @dangermouse99
    Join Date: 2004
    Post Count: 88
    July 23, 2013 - 12:08 pm

    Hello All.

    My friend has split from his defacto and he is trying to sort out his PPOR. Both names are on the title and she is going to sign a binding agreement to release her name from the title and he will inherit the house and all the debt, there is no equity to split up, just debt. He is going to rent out the house and cabin as he cant afford to keep it any other way so not a bad idea when otherwise he culd have lost the property and probably lost to owning a house ever again. The question I have is when he changes the mortage from their name to his will he have to pay stamp duty? He is getting conflicting advice.

    Any help would be greatly appreciated.

    Cheers

    DM

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069
    July 23, 2013 - 11:10 pm

    Has he sought advice from a solicitor? 

    What state is it in?

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of GrantMckGrantMck
    Member
    @grantmck
    Join Date: 2013
    Post Count: 36
    July 24, 2013 - 2:25 am

    HI,

    I agree with Jamie, seek legal advice and dependent on the State the house is in there may be different outcomes, but I would also suggest calling the State Revenue Office and ask them directly.

    Cheers Grant

    Profile photo of dangermouse99dangermouse99
    Participant
    @dangermouse99
    Join Date: 2004
    Post Count: 88
    July 24, 2013 - 12:08 pm

    Thanks guys, I should have mentioned it is NSW. Bankwest his current provider said he will have to, but his accountant wasnt so sure and suggested he seek more advice through a solictor, but I thought i would also ask on here as I value alot of expert opinion that resides on here.

    Cheers

    DM

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213
    July 24, 2013 - 12:12 pm

    Mortgage duty has been abolished in NSW for personal borrowers.

    There is an exemption from stamp duty on the transfer of land in NSW upon relationship breakdowns, but certain conditions need to be met. He should seek legal and tax advice as I was talking to an accountant this morning whose client did something similar and stuffed things up.

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://www.Structuring.com.au
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au

Viewing 5 posts - 1 through 5 (of 5 total)

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