South Australian Consolidated Acts South Australian Consolidated Acts11A—Reduction of duty in case of gift of interest in matrimonial home
(1) Where a donor
makes a gift to his spouse of an interest in his matrimonial home (whether or
not subsection (3) of this section applies to the gift), the donor may
claim the benefit of this subsection, and if he does so, the following
principles operate:
(a) the
dutiable value of the gift is as follows:
(i)
where the value of the interest given to the spouse
exceeds $4 000 but does not exceed $6 000, the dutiable value is
$4 000; and
(ii)
where the value of the interest given to the spouse
exceeds $6 000 but does not exceed $8 000, the dutiable value is the
actual value less an amount equal to the difference between $2 000 and
the amount by which the value of the gift exceeds $6 000; and
(b) the
value of all relevant gifts includes, for the purpose of ascertaining the
percentage rate at which gift duty is payable on that gift, the dutiable value
(as distinct from the actual value) of the gift; and
(c) the
value of all relevant gifts includes, for the purpose of ascertaining the
percentage rate at which gift duty is payable on gifts made within eighteen
months before or after the date of the gift, the actual value of the gift.
(2) Where a donor
makes a gift to his spouse of an interest in his matrimonial home (being a
gift to which subsection (3) of this section applies) the donor may claim
the benefit of this subsection, and if he does so, the following principles
operate:
(a) the
dutiable value of the gift is as follows:
(i)
where the gross value of the matrimonial home does not
exceed $40 000, the gift has no dutiable value;
(ii)
where the gross value of the matrimonial home exceeds
$40 000 and no debt is secured by mortgage over the matrimonial home, the
dutiable value of the gift is one-half of the gross value of the
matrimonial home less $20 000;
(iii)
where the gross value of the matrimonial home exceeds
$40 000 and a debt is secured by a mortgage over the matrimonial home,
the dutiable value of the gift is ascertained by reference to the following
formula:
where—
"v" represents the dutiable value of the gift; and
"g" represents the gross value of the matrimonial home; and
"m" represents the outstanding principal of the debt secured over the
matrimonial home; and
(b) the
value of all relevant gifts includes, for the purpose of ascertaining the
percentage rate at which gift duty is payable on that gift (but not on any
other gift), the actual value of the gift; and
(c) the
value of all relevant gifts includes, for the purpose of ascertaining the
percentage rate at which gift duty is payable on other gifts made within
eighteen months before or after the date of the gift, the dutiable value (as
distinct from the actual value) of the gift.
(3) Where a donor
makes a gift to his spouse of an interest in his matrimonial home with the
intention that the matrimonial home should be held by the donor and his spouse
in joint tenancy, or in tenancy in common in equal shares, and—
(a) no
matrimonial home has been held jointly or in common by the donor and his
spouse either on the fourteenth day of July, 1975, or after that date and
before the date of the gift; and
(b) the
gift is made on or after the fourteenth day of July, 1975, but before the
thirty-first day of January, 1977; and
(c) a
return in respect of the gift is lodged under this Act with the Commissioner
before the thirty-first day of January, 1977,
this subsection applies to that gift.
(4) A person is not
entitled to claim the benefit of a provision of this section where he has
previously enjoyed the benefit of that provision, or some other provision of
this section, or of a provision of this Act superseded by this section.
(5) In this
section—
"matrimonial home" of a donor means a dwellinghouse (together with its
curtilage) that constitutes in the opinion of the Commissioner the principal
permanent home at which the donor and his spouse live together as husband and
wife:
"curtilage" in relation to a dwellinghouse means an area of land, determined
by the Commissioner, not exceeding 0.2 hectare in area, on which the
dwellinghouse is situated;
"gross value" in relation to a matrimonial home means the value of the
matrimonial home unencumbered by any mortgage.
(6) Where
the Commissioner is satisfied by such evidence as he may require that two
persons who are not married are living together as husband and wife, the
provisions of this section apply to those persons as if they were married.
(7) Where
the Commissioner is satisfied by such evidence as he may require—
(a) that
a donor has made a gift of cash to his spouse with a view to the acquisition
by the donor and his spouse in joint tenancy, or in tenancy in common in equal
shares, of a matrimonial home; and
(b) that
a matrimonial home has been subsequently so acquired by the donor and his
spouse,
the gift shall be treated for the purposes of this section as a gift of an
interest in a matrimonial home made at the date of acquisition by the donor
and his spouse of the matrimonial home.