Tasmanian first home buyers will pay no stamp duty on houses up to $750,000. Photo: Michelle Kroll.
The new Tasmanian State Government has delivered on an election promise by eliminating stamp duty for first home buyers in the state and has launched a new stamp duty calculator to show Tasmanian home buyers how much they can save.
After being sworn in to parliament on 8 April following a divisive election campaign and somewhat inconclusive result, the new minority government led by Premier Jeremy Rockliff introduced legislation to reduce the stamp duty burden, particularly for first home buyers.
First home buyers previously received a 50 per cent discount on their stamp duty, but the government promised to remove their stamp duty altogether if elected.
The Premier described the legislation as a critical component of his government’s 100-day plan to deliver its 2030 Strong Plan for Tasmania’s Future.
“Stamp duty remains one of the biggest costs that home buyers are hit with when buying a home, for first home buyers even more so,” the Premier said.
“This is why we are going to make it easier for young Tasmanians to own their first home by stamping out stamp duty.
“In doing so we will make it easier for around 1500 Tasmanian families a year to find their way into secure home ownership via huge savings of up to $28,945.”
The online calculator asks prospective home buyers to enter the price of the home, their postcode, whether they are first home buyers buying a house or an apartment, and their name and contact details, after which an estimate on how much they could save is provided.
Treasurer Michael Ferguson said that under the new plan, eligible Tasmanians buying their first home wouldn’t have to pay a cent of stamp duty for a home valued up to $750,000.
“I can recall the sense of stability and satisfaction that my first home afforded me, and I want to deliver that same sense of security to more Tasmanians statewide,” he said.
“This policy will be retrospective to the 18th of February, subject to the passage of legislation, and represents a massive doubling of the existing stamp duty discount of 50 per cent.
“Our ‘Stamping Out Stamp Duty Plan’ is for existing houses, units and apartments, and will begin immediately for two years until 30 June 2026, and will then be reviewed subject to prevailing market and economic conditions,” he added.
Mr Ferguson said that over the past decade the state had seen an unprecedented period of economic and population growth which had impacted the housing market.
“It has seen house prices continue to climb – and push what is considered the Great Australian Dream of home ownership out of reach for young Tasmanians,” he said.
“Already, our stamp duty discounts have helped 8000 young Tasmanians into their first home in the past six years, and now we’ll be helping thousands more.”
The online calculator is available here.
