Are you thinking about transferring a property you own into your Self Managed Super Fund (SMSF)? NSW offers fixed transfer duty (formerly stamp duty) when strict rules are met. In many cases the fixed duty is $750. This can save thousands compared with standard duty scales.
When the SMSF Transfer Duty Concession Applies (Section 62A)
Under section 62A of the Duties Act 1997 (NSW), a fixed duty of $750 can apply to a transfer of dutiable property from an SMSF member to the trustee of the SMSF, if eligibility rules are satisfied. Key points:
- The transfer must be for the benefit of the transferring member only, or the asset must be segregated so that no other member has an interest in it or its sale proceeds.
- The fund must be a complying superannuation fund.
- Evidentiary documents and statutory declarations are required.
SMSF Borrowing and Bare Trustee Custodian (Section 62B)
If the fund is borrowing to acquire the property under an LRBA and uses a custodian/bare trustee, the declaration of trust made by the custodian attracts fixed duty of $750 for transactions on or after 1 February 2024 (previously $500). Revenue NSW also sets concessional duty on certain declarations included in the sale contract.
What Properties Are Commonly Eligible?
Many clients use these concessions for business real property transferred to or acquired by an SMSF, provided the benefit and segregation rules are met and all evidentiary requirements are lodged correctly. We can assess your situation and confirm eligibility before you act.
Evidence Revenue NSW Requires
Expect to provide:
- Executed transfer and supporting affidavits/statutory declarations.
- Trust deeds and any declaration of trust if a custodian is used.
- Proof the fund is or will be complying within the required timeframe.
Our team prepares and lodges the Revenue NSW evidentiary pack for sections 62, 62A, and 62B to reduce processing delays.
Why This Matters: The Cost Difference
Standard transfer duty scales update each 1 July and can run into tens of thousands of dollars on Sydney-priced assets. The fixed $750 concession is often a major saving when available. Use the Revenue NSW calculator to estimate standard duty, then compare with the fixed rate to see potential savings.
Avoid Pitfalls That Trigger Full Duty
- Pooling risk: do not pool the property or its proceeds with other members’ accounts if the concession relies on segregation.
- Wrong paperwork: incomplete or incorrect declarations can void concessions.
- Timing: amounts and nominal duty rates increased from 1 February 2024. Make sure your documents reflect current figures.
Talk to an SMSF Stamp Duty Lawyer
Make the most of the SMSF $750 transfer duty concessions. We will confirm eligibility, prepare all Revenue NSW documents, and lodge your application correctly the first time.
For more information, or to make an appointment at our Bexley North office (or at one of our serviced offices in Sydney CBD, North Sydney), please contact:
Phone: (02) 9150 6991
Email: ad***@**********om.au