What duties I need to pay when I inherited a property from my family.
Stamp duty concession on death – NSW
Death duties were abolished in NSW from 31 December 1981, and death duties on the estates of people who died on or before that date are no longer payable. Stamp duty is still payable on transfers of shares in unlisted companies. Commonwealth estate duty has not been imposed since 1 July 1979.
If you have received property from a deceased estate “in accordance with the terms of the will” you will pay transfer duty at a concessional rate of $50.
Beneficiary of the will
“Under the terms of the will ” means you are entitled to the property as the beneficiary (inheriting money or other property) either
- under the terms of the will or
- if the person died without leaving a valid will, under the rules of intestacy.
If a will is contested, the duty chargeable will be determined based on any court orders made. This is because a court order acts as an addition to the will. Any transfer made under the orders is considered to be a transfer in accordance with the terms of the will of the person who has died.
Transfers not in conformity to the will
The beneficiaries of a will often decide to vary their entitlements.
For instance, one beneficiary may decide to gift or sell part of a property they inherit to another beneficiary. When this happens, the normal rate of transfer duty applies to any part of the property receives that varies from the terms of the will.
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