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Chapters

  1. Overview
  2. Change in beneficial ownership of dutiable property
  3. Change in beneficial ownership of dutiable property - Regulation
  4. Change in beneficial ownership - Grant of an Option
  5. Acknowledgement of trust
  6. Off the plan transactions
  7. Breakup of marriages and de facto relationships
  8. Transfer of certain business property between family members
  9. Surcharge purchaser duty Australian-based developer
  10. Tax avoidance schemes
  11. Other changes to the Taxation Administration Act 1996
  12. Land Tax
  13. First Home Owner Grant
  14. Other legislative changes

8. Transfer of certain business property between family members

Section 274 of the Duties Act 1997

Prior to the State Revenue and Fines Legislation Amendment (Miscellaneous) Act 2022, the exemption from duty on primary production land transfers between family members only applied if the transferee was an individual.

From 19 May 2022, Section 274 of the Duties Act 1997 extends the exemption so that it also applies when the transferee is not an individual but is acting in the capacity of:

  • An executor of a deceased estate
  • A proprietary limited company
  • A trustee of a:
    • Bare trust or
    • Self-managed superannuation fund or
    • Discretionary trust or
    • Private unit trust scheme

In that case, the family member must, instead of being the transferee, be the person directing the transferee.

In addition, if the transferee is a proprietary limited company or a trustee of a discretionary trust or of a private unit trust scheme, the family member directing the transferee must maintain the person’s minimum 25% interest in the transferee for three years after the transfer for the exemption to apply.

If the family member directing the transferee ceases to maintain a minimum 25% interest in the transferee at any time before 3 years from the transfer of land, they must lodge the transaction for reassessment via eDuties within 14 days of the interest reducing.

What are the evidentiary and identification requirements?

This information has been updated on our website and includes a link to the client identification requirements for this transaction type.

What forms do I need?

A new form has been created for this transaction type, and there have been minor changes to the Purchaser/transferee declaration forms. The new and/or updated forms must be used for transactions entered into on or after 19 May 2022.

This transaction type must be lodged via eDuties using application type “Assessment – intergenerational rural transfers (where the transferor and/or transferee is a company or trustee) – section 274”.

Where can I find more information?