Commercial Stamp Duty by State: What You'll Pay in 2026
Stamp duty on commercial and industrial property is one of the largest single-line costs in any acquisition, and it is worked out differently from a residential transfer in ways that cost buyers real money. There are no first-home concessions, no off-the-plan relief in most states, and landholder duty can apply to entity-level deals even where no land formally changes hands.
Commercial buyers pay the same headline duty rates as residential buyers in most states. The gap sits in what a commercial purchaser cannot claim, first-home relief, off-the-plan concessions and owner-occupier exemptions, and in the entity-level landholder duty regime that only bites at scale. Rates, landholder thresholds, GST treatment and reform timetables also differ across the five largest state markets: New South Wales, Victoria, Queensland, Western Australia and South Australia, each taken in turn below.
How Commercial Stamp Duty Works
Stamp duty (formally transfer duty) is a state tax calculated on the greater of the purchase price or the market value of the property. In every state the purchaser pays, and the duty must be settled within a set period after settlement, typically 30 to 90 days depending on the jurisdiction.
Three things set a commercial transfer apart from a residential one:
- No owner-occupier concessions. First home exemptions, principal-place-of-residence concessions and off-the-plan relief are generally unavailable to commercial buyers, whether the asset is a strata suite, retail strip, warehouse or office.
- GST interaction. If the sale is not a going-concern supply (see the GST section below), stamp duty is calculated on the GST-inclusive price. A $2 million sale plus GST therefore attracts duty on $2.2 million, adding roughly $11,000 in NSW.
- Landholder duty. Acquiring shares or units in an entity that holds Australian land above the state-specific threshold can trigger duty as if the underlying land had been bought directly. This catches many mid-market commercial transactions structured through trusts or companies.
1 New South Wales
Commercial transfer duty in NSW is administered by Revenue NSW, using the same general rate brackets that apply to residential transfers. Premium duty (7% flat) applies only to residential property above $3,505,000, so high-value commercial acquisitions are not caught by the premium rate.
Duty Rate Brackets (Commercial & Industrial)
| Dutiable Value | Duty |
|---|---|
| $0-$16,000 | $1.25 per $100 |
| $16,001-$35,000 | $200 + $1.50 per $100 over $16,000 |
| $35,001-$93,000 | $485 + $1.75 per $100 over $35,000 |
| $93,001-$351,000 | $1,500 + $3.50 per $100 over $93,000 |
| $351,001-$1,168,000 | $10,530 + $4.50 per $100 over $351,000 |
| Over $1,168,000 | $47,295 + $5.50 per $100 over $1,168,000 |
Worked Example
A $2,500,000 Sydney retail freehold attracts approximately $120,555 in transfer duty ($47,295 + $5.50 per $100 on the amount over $1,168,000).
Landholder Duty
NSW applies landholder duty where the entity holds NSW land with an unencumbered value of $2,000,000 or more, and an acquirer takes a significant interest (generally 50% or more for a private unit trust or company; 90% or more for a widely held landholder). The rate mirrors the transfer duty scale on the proportionate land value. It is not a flat rate.
Foreign Purchaser Surcharge
The 8% surcharge applies to residential land only. Commercial and industrial acquisitions by foreign persons do not attract the surcharge in NSW, though Foreign Investment Review Board (FIRB) approval and application fees still apply above the relevant thresholds.
2 Victoria
Victoria charges transfer duty through the State Revenue Office (SRO). The rate table below applies to commercial and industrial property. Victoria runs separate, slightly different brackets for principal-place-of-residence transfers that do not concern a commercial buyer.
Duty Rate Brackets (Commercial & Industrial)
| Dutiable Value | Duty |
|---|---|
| $0-$25,000 | 1.4% of dutiable value |
| $25,001-$130,000 | $350 + 2.4% over $25,000 |
| $130,001-$960,000 | $2,870 + 6% over $130,000 |
| $960,001-$2,000,000 | 5.5% flat of dutiable value |
| Over $2,000,000 | $110,000 + 6.5% over $2,000,000 |
Commercial and Industrial Property Tax (CIPT) Reform
From 1 July 2024, Victoria began moving from one-off stamp duty to a recurring Commercial and Industrial Property Tax (CIPT) on commercial and industrial land. The final payment of transfer duty on a commercial or industrial property is the trigger that moves that parcel permanently into the CIPT regime. After 10 years, an annual 1% CIPT applies on the unimproved land value, and transfer duty is no longer charged on subsequent transactions of that parcel.
This is a material change for commercial investors in Victoria. A buyer purchasing a property that has already transitioned (that is, acquired by the current vendor on or after 1 July 2024) pays no transfer duty at all and instead inherits the CIPT liability.
Landholder Duty
Victoria applies landholder duty where an entity holds Victorian land with an unencumbered value of $1,000,000 or more. The trigger interest is 50% for private landholders and 90% for listed entities. A trust acquisition surcharge of 50% applies to residential trust interests but does not apply to pure commercial landholders.
Windfall Gains Tax
Separate from duty, Victoria imposes a Windfall Gains Tax where a planning decision (rezoning) lifts land value by more than $100,000. The rate is 50% on the uplift above $500,000, with a graduated rate between $100,000 and $500,000. This is a development and rezoning cost rather than a transfer cost, but any commercial investor looking at a site with rezoning potential has to price it in.
3 Queensland
Queensland transfer duty is administered by the Queensland Revenue Office (QRO). Commercial acquisitions use the same general rate brackets as residential, without the owner-occupier concessions.
Duty Rate Brackets (Commercial & Industrial)
| Dutiable Value | Duty |
|---|---|
| $0-$5,000 | Nil |
| $5,001-$75,000 | $1.50 per $100 over $5,000 |
| $75,001-$540,000 | $1,050 + $3.50 per $100 over $75,000 |
| $540,001-$1,000,000 | $17,325 + $4.50 per $100 over $540,000 |
| Over $1,000,000 | $38,025 + $5.75 per $100 over $1,000,000 |
Landholder Duty
Queensland applies landholder duty where a private landholder holds Queensland land with an unencumbered value of $2,000,000 or more. The 50% significant-interest threshold matches NSW. Queensland is one of only two states (alongside WA) that apply AFAD on landholder acquisitions by foreign persons where the underlying land is residential. Commercial land stays out of scope.
AFAD and Commercial Property
The Additional Foreign Acquirer Duty of 8% applies only to residential land. Commercial, industrial and primary production land acquisitions by foreign purchasers in Queensland are not caught by AFAD. FIRB approval requirements still apply.
4 Western Australia
WA applies transfer duty through the Office of State Revenue, using a separate general rate schedule for non-residential property and a residential schedule with concessions for owner-occupiers. The general rates below apply to commercial and industrial purchases.
Duty Rate Brackets (General Schedule, Commercial)
| Dutiable Value | Duty |
|---|---|
| $0-$80,000 | $1.90 per $100 |
| $80,001-$100,000 | $1,520 + $2.85 per $100 over $80,000 |
| $100,001-$250,000 | $2,090 + $3.80 per $100 over $100,000 |
| $250,001-$500,000 | $7,790 + $4.75 per $100 over $250,000 |
| Over $500,000 | $19,665 + $5.15 per $100 over $500,000 |
Landholder Duty
WA applies landholder duty where an entity holds WA land with an unencumbered value of $2,000,000 or more, and an acquirer takes 50% or more (private) or 90% or more (listed). WA's rules also capture chattels on the land, plant, equipment and goods used in the enterprise, which can push up the dutiable amount on an industrial acquisition.
Foreign Purchaser Surcharge
WA's 7% foreign purchaser surcharge applies only to residential land. Commercial and industrial transactions sit outside it, subject to FIRB approval.
5 South Australia
South Australia phased out stamp duty on most non-residential real property transfers from 1 July 2018. Standalone commercial and industrial freehold purchases in SA no longer attract transfer duty, provided the qualifying non-residential real property was contracted on or after that date.
What Still Attracts Duty in SA
- Residential property transfers continue to attract duty under the standard SA schedule.
- Mixed-use property is apportioned: the residential portion attracts duty; the qualifying non-residential portion does not.
- Landholder acquisitions (entity-level) can still attract duty where the underlying land is residential or includes residential land.
Landholder Duty
SA retains landholder duty for entity-level acquisitions where the entity holds South Australian land valued at $1,000,000 or more, with the 50% / 90% interest thresholds consistent with other states. Where the underlying land is purely non-residential, the 2018 reform generally extends, so no duty applies to the dutiable component.
No Foreign Surcharge
South Australia does not impose a foreign purchaser surcharge on residential or commercial property, though FIRB approval requirements continue to apply.
Landholder Duty: What Commercial Buyers Miss
Landholder duty catches acquirers who buy the entity that holds the land rather than the land itself. This is common in commercial deals structured to transfer a single-asset company or unit trust that owns the property.
The state-by-state thresholds and key triggers:
| State | Land Value Threshold | Significant Interest (Private) | Significant Interest (Listed) |
|---|---|---|---|
| NSW | $2,000,000 | 50% | 90% |
| VIC | $1,000,000 | 50% | 90% |
| QLD | $2,000,000 | 50% | 90% |
| WA | $2,000,000 | 50% | 90% |
| SA | $1,000,000 | 50% | 90% |
Once triggered, the duty is generally calculated on the proportionate land value as if the underlying land had been transferred, at the normal transfer duty rate for that state. There is no "landholder discount" in any jurisdiction.
GST and Stamp Duty Interaction
GST sits alongside stamp duty rather than replacing it, and the interaction can add materially to the cost of a commercial acquisition.
Going-Concern Supply
If the commercial property is sold as a going concern, that is, with the existing tenancy and management arrangements transferring to the purchaser, the sale can qualify as a GST-free supply. The purchaser must be GST-registered and the parties must agree in writing that the sale is of a going concern. Where this structure is used, GST is not added to the purchase price.
Margin Scheme
Where the vendor has held the property since before 1 July 2000 or acquired it outside the GST net, the margin scheme can apply. GST is then calculated only on the margin (sale price minus cost base), not the full sale price. Stamp duty is calculated on the actual purchase price paid, which includes any margin-scheme GST.
Standard Sale (GST-inclusive)
If the transaction is a standard taxable supply, GST of 10% applies to the sale price and stamp duty is then calculated on the GST-inclusive amount. On a $5,000,000 sale, that adds $500,000 to the dutiable value and, in NSW, roughly $27,500 in additional transfer duty.
Structured as a going concern, under the margin scheme or as a standard taxable supply, the same commercial property can carry hundreds of thousands of dollars of difference in acquisition cost on a mid-market deal. Contract structure is a pre-settlement negotiation, not just a tax question.
FIRB and the Foreign Investor Interaction
Foreign persons buying Australian commercial property are generally outside the residential foreign purchaser surcharge regimes but remain subject to Foreign Investment Review Board approval and application fees. Commercial application fees scale by purchase price and can exceed $1 million on the largest transactions. FIRB approval is required before the contract becomes unconditional, and failing to obtain it carries significant penalties.
Vacant commercial land, developed commercial real estate and agricultural land each have different notification thresholds and fee scales. These fees are additive to stamp duty, not an alternative to it.
Cost-of-Acquisition Checklist
A full acquisition cost model covers:
- Transfer duty on the dutiable value (GST-inclusive where applicable).
- Landholder duty if the transaction is structured as an entity acquisition.
- CIPT in Victoria (annual) once the property transitions out of the transfer duty regime.
- GST treatment and its impact on dutiable value.
- FIRB approval fees and timing for foreign acquirers.
- Land tax (ongoing), a separate state tax levied annually on the site value of the land; surcharges apply to foreign landholders in most states.
- Legal and advisory costs: due diligence, contract review, financing and closing costs.
State Revenue Office Calculators
Each state revenue office publishes calculators and current rate tables. Use these official tools for acquisition modelling, because brackets and thresholds change periodically.
- NSW: Revenue NSW, revenue.nsw.gov.au
- VIC: State Revenue Office, sro.vic.gov.au
- QLD: Queensland Revenue Office, qro.qld.gov.au
- WA: Department of Finance, wa.gov.au/organisation/department-of-finance
- SA: RevenueSA, revenuesa.sa.gov.au
Duty rates, landholder thresholds and FIRB fee scales change periodically. Verify current rates with the relevant state revenue office and FIRB before making commitments based on the figures in this guide.
If you are running numbers on a commercial or industrial acquisition across one or more states, we model the total cost of acquisition alongside the yield, WALE and structuring analysis as part of our commercial buyer's advocacy engagement.
