We bought a house in Victoria recently and got FTHB stamp duty concession. The plan is to move down in 12 months and settle in. We've just moved to Kununurra though and although early days, are loving it. Are there any circumstances under which we could delay moving to our house in Vic if work here was going well for us? Just a thought and may not even be necessary but curious to know.
anyone had stamp duty concession and not moved in?
- Thread starter ellejay
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If you're thinking of not moving in, I'd suggest that this is a very bad decision. The charges and penalties for this are fairly nasty.
If you're not going to move in, come clean with the office of state revenue. Likely you'll have to pay the extra stamp duty, but the concession will still be legitimately available for you the next time.
If you're not going to move in, come clean with the office of state revenue. Likely you'll have to pay the extra stamp duty, but the concession will still be legitimately available for you the next time.
Thanks Peter, I definitely wouldn't be taking any risks or telling lies to the tax office. May not even be relevant and we may be more than happy to leave by the next wet season. I was just wondering if we could delay up to another 6-12 months if needed, but plan is definitely to move in eventually. Interesting that we have option to pay back the stamp though and get it for next purchase as I thought it was only available for first purchase?
I'm not sure of the process or how the legalities of it work, but I have heard of people doing this in the past. An extension may also be an option.
I've noticed that when people call the SRO for advice they get one answer, the next day the get a conflicting answer. Perhaps you need to speak with your conveyancer or solicitor about it.
I've noticed that when people call the SRO for advice they get one answer, the next day the get a conflicting answer. Perhaps you need to speak with your conveyancer or solicitor about it.
Thanks Peter, I'll do that.
Not sure about VIC, but my understanding of it in NSW and ACT is you lose the stamp duty exemption if youve ever purchased before (investments included). FHOG still available, but duty exemptions are not. So you may not get it for your next purchase.
Haha yes, my local SRO has a different answer depending on the day of the week. Your solicitor/a local one is the best person to get advice from.
Cheers,
Redom
Interesting how differently it works for the various states.
WA FHOG requires you to move in within the first 12 months of settlement and reside for a min of 6 months.
You are still eligible if you have an IP but never purchased a PPOR.
FHOG line I find very helpful, accurate and even answer the phones promtly.
WA FHOG requires you to move in within the first 12 months of settlement and reside for a min of 6 months.
You are still eligible if you have an IP but never purchased a PPOR.
FHOG line I find very helpful, accurate and even answer the phones promtly.
wow, didn't realised the states varied so much on this. Will have to do some homework. Cheers.
Great, think I'll try the helpline first. It would be good if we were able to call it an ip, pay back the stamp on this one and then maybe get the concession later on for a ppor purchase. This current one is rented at the moment until we need to move in anyway so could just as easily be left as an ip.
thanks Colin
I have seen clients purchase with FHOG, rent for 10 months and move in and still be ok with OSR.
Not the best way to treat tennants but it is doable.
Not the best way to treat tennants but it is doable.
I think you're correct. The grant itself (which is generally only available for construction these days) is fairly easy to get reapplied. Stamp duty things may be another thing and can vary between states.
Having stamp duty administered by states is a pain.
This happens all the time. They give you 12 months to move in to accommodate tenants and honor leases.
I think you're correct. The grant itself (which is generally only available for construction these days) is fairly easy to get reapplied. Stamp duty things may be another thing and can vary between states.
Having stamp duty administered by states is a pain.
This happens all the time. They give you 12 months to move in to accommodate tenants and honor leases.
Its not a new build so we only got the stamp concession.
It was leased on the basis that we have to move in just before 12 month period has lapsed. The tenants are building so we've agreed 6 month fixed tenancy and periodic after that. Suits them fine as they don't want to commit to anything longer and we can't either. All up front from the start.
Im talking a vacant posession, then tenanted, then 10 months later see ya later tennant I need to move in to fulfill my FHOG requirements. Like I said, not very nice on the outgoing tennant.
Just be aware of how much notice you need to give the tenant to vacate once the lease goes to periodic, I believe in some states it is 90 days.
thanks for that, I'll find out and put it on the calendar. The tenants know when we need to move in, but agree I need to give them formal notice.
I am currently living in my property that has recently been built and wanted to know the state revenue board usual ask for proof of residency?
I used the FHOG on the 1/7/2000 (first day it was available in WA) and never have been asked for proof of residency.
I do know somone who got asked and he provided a utility bill and a bank statement as evidence of residency with no issue.
Believe that you can claim it next time only if you don't move into this property.
If you move in after say 18 months and stay 6 months then buy another O/O you would not be eligible for stamp duty concessions on the next purchase.
