DUTIES ACT 2001 - SECT 246 Exemption—specified foreign retirees

DUTIES ACT 2001 - SECT 246

246 Exemption—specified foreign retirees

(1) AFAD is not imposed on a relevant transaction to the extent of a relevant acquirer’s interest in dutiable property under the transaction if—

(a) the transaction is the transfer, or agreement for transfer, of the property; and

(b) at the time the liability for transfer duty on the transaction arises—

(i) the relevant acquirer is a specified foreign retiree; and

(ii) the property is AFAD residential land; and

(iii) the relevant acquirer’s interest in the property is not held on trust; and

(c) the relevant acquirer will occupy a residence on the land as the acquirer’s principal place of residence—

(i) for a residence on the land at the time the liability for transfer duty on the transaction arises—within 1 year after the day on which the acquirer is entitled to possession of the land under the transaction; or

(ii) otherwise—within 2 years after the day on which the acquirer is entitled to possession of the land under the transaction.

(2) In this section—


"class of visa" means a class of visa under the Migration Act 1958 (Cwlth) , section 31 .


"interest" , of a relevant acquirer in dutiable property under a relevant transaction, means the proportion that the share of the acquirer under the transaction bears to the total of the shares of all acquirers under the transaction.


"relevant acquirer" , of dutiable property, means—

(a) for the transfer, or agreement for the transfer, of dutiable property under a dutiable transaction—a transferee of the property; or

(b) for an agreement for the transfer of dutiable property entered into by an agent on behalf of a principal within the meaning of section 240 (2) (a) —the principal for the property.

"specified foreign retiree" means—

(a) a foreign individual who holds a class of visa referred to as a Subclass 405 (Investor Retirement) visa or Subclass 410 (Retirement) visa; or

(b) a foreign individual—

(i) who applied on or after 8 May 2018 for a class of visa referred to as a Subclass 103 (Parent) visa or Subclass 143 (Contributory Parent) visa; and

(ii) whose last substantive visa, held before making the application, was the class of visa mentioned in paragraph (a) ; and

(iii) whose application has not been decided.

"substantive visa" see the Migration Act 1958 (Cwlth) , section 5 .