Northern Territory Consolidated Acts Northern Territory Consolidated Acts87. Exemption from duty on conveyance of family farming property to family members, family companies or family trusts
(1) A conveyance of farming property is exempt from stamp duty if the Commissioner is satisfied, on an application for exemption, that:
(a) the main purpose of the conveyance is to pass, or facilitate the passing, of a farming property, or the benefit of a farming property, from one generation of a family to a later generation or between members of the same generation; and
(b) the conveyance is eligible for exemption from stamp duty under this section.
(2) A conveyance of farming property is eligible for exemption from stamp duty if the conveyor is a natural person who does not hold the property as trustee and the property is conveyed to one or more of the following:
(a) a member of the conveyor's family who will not hold the property as trustee;
(b) a company that will not hold the property as trustee if:
(i) all the shareholders are members of the conveyor's family; and
(ii) no shareholder holds or will hold any shares in the company as trustee;
(c) a person who will hold the property as trustee if:
(i) all the beneficiaries of the trust are members of the conveyor's family; and
(ii) the trust deed includes provisions, that cannot be altered, specifying that only members of the conveyor's family may be beneficiaries of the trust and no beneficiary may be the trustee of another trust.
(3) A conveyance of farming property is eligible for exemption from stamp duty if the conveyor is a family company that does not hold the property as trustee (the conveyor company ) and the property is conveyed to one or more of the following:
(a) a member of the same family as the shareholders of the conveyor company who will not hold the property as trustee;
(b) a family company that will not hold the property as trustee (the conveyee company ) if:
(i) the shareholders of the conveyor company and the conveyee company are all members of the same family; and
(ii) no shareholder of the conveyee company holds or will hold any shares in that company as trustee;
(c) a person who will hold the property as trustee if:
(i) the beneficiaries of the trust and the shareholders of the conveyor company are all members of the same family; and
(ii) the trust deed includes provisions, that cannot be altered, specifying that only members of the relevant family may be beneficiaries of the trust and no beneficiary may be the trustee of another trust.
(4) A conveyance of farming property is eligible for exemption from stamp duty if the conveyor is the trustee of a family trust (the conveyor trust ) and the property is conveyed to one or more of the following:
(a) a member of the family for which the conveyor trust is established who will not hold the property as trustee;
(b) a family company that will not hold the property as trustee if:
(i) the shareholders of the company and the beneficiaries of the conveyor trust are all members of the same family; and
(ii) no shareholder holds or will hold any shares in the company as trustee;
(c) a person who will hold the property as trustee of a family trust (the conveyee trust ) if:
(i) the beneficiaries of the conveyor trust and the conveyee trust are all members of the same family; and
(ii) the trust deed includes provisions, that cannot be altered, specifying that only members of the relevant family may be beneficiaries of the conveyee trust and no beneficiary may be the trustee of another trust.
(5) However, a conveyance is not eligible for exemption from stamp duty under this section:
(a) if the Commissioner is satisfied the conveyance arises from a scheme with the principal purpose of taking advantage of the benefit of the exemption from stamp duty; or
(b) if a conveyee does not intend to use the farming property solely or principally for farming purposes; or
(c) if the conveyance also conveys property that is not farming property; or
(d) if any prescribed condition is not complied with; or
(e) if the conveyance occurs within 5 years after the date of an earlier conveyance of the same, or part of the same, farming property for which an exemption was allowed under this section (or a corresponding previous enactment).