state budget

The Victorian Treasurer has handed down the state’s Budget for 2018/19. The budget includes the following revenue measures:

First home buyer stamp duty exemption

For property settlements from 1 July 2018, Australian Defence Force personnel will be exempt from the first home buyer stamp duty exemption/concession residence requirement. This personnel will no longer be required to reside in their home for 12 months to benefit from the exemption/concession, in recognition of the operational requirements of their job.

Land transfer duty exemption threshold

For settlements from 1 July 2018, the young farmer stamp duty exemption threshold will be increased from $300,000 to $600,000. This means young farmers aged under 35, buying their first farmland, will receive a full stamp duty exemption on farm purchases valued up to $600,000 with a concession applying to purchases valued between $600,000 and $750,000. This aligns the young farmer land transfer duty concession thresholds with those for first home buyers.

Payroll tax rate reduction

From 1 July 2018, the payroll tax rate for regional businesses will be reduced from 3.65% to 2.425%. This will apply to regionally-based businesses with payrolls that comprise at least 85% wages associated with regional employees.

Source: Victorian Budget paper No 3, p 114, 1 May 2018.