In WA, what is the state tax payable on the transfer of property commonly known as?

Q: What is the correct answer to: In WA, what is the state tax payable on the transfer of property commonly known as?

The correct answer is Transfer duty. Option B is correct because the state tax on property transfers in WA is officially called 'transfer duty'. It was formerly known as stamp duty but the terminology was updated. It is administered by the Office of State Revenue on a sliding scale based on dutiable value.

Q: What background knowledge is needed for this Finance Taxation question?

Transfer duty in WA is governed by the Duties Act 2008. It is calculated on the greater of the purchase price or the market value of the property. Rates are progressive, with higher rates for higher-value properties. Concessions are available for first home buyers and other eligible purchasers.

Q: What is a good way to remember the answer to this Finance Taxation question?

WA calls it 'transfer duty', not stamp duty. It's the state tax paid when property ownership transfers. Administered by Office of State Revenue. Remember: WA modernised the name — transfer duty, not stamp duty. Use the current official term in exams.

Q: What exam tip applies to this Finance Taxation question?

Use 'transfer duty' in WA contexts. While 'stamp duty' is still understood, transfer duty is the official term.

Q: How does this Finance Taxation concept apply in Australian real estate practice?

A buyer purchases a Leederville property for $650,000. The settlement agent calculates the transfer duty payable using the progressive scale under the Duties Act 2008 and arranges payment to the Office of State Revenue as part of the settlement process.

Question

Finance TaxationWAEASY

In WA, what is the state tax payable on the transfer of property commonly known as?

Answer Options

A

Stamp duty

B

Transfer duty

C

Capital gains tax

D

Land acquisition tax