Property Tax Reform

On 11 December 2023, the Victorian Government announced the final design of the Commercial and Industrial Property Tax Reform, including details on how the lump-sum stamp duty system will transition to the reform from 1 July 2024.  Eligible purchasers will have the option to take up the transition loan to as an alternative to making an upfront lump sum payment and transition to an annual repayment from the time of purchase.  Treasury Corporation of Victoria will provide these transition loans.

Treasurer's media release: Abolishing Commercial Stamp Duty To Benefit Business.

Further information on the final design of the reform is provided in the information sheet below.

Commercial and Industrial Property Tax Reform – Information Sheet (PDF 301.6 KB)

Commercial and Industrial Property Tax Reform – Information Sheet (WORD 399.05 KB)

Further information on the government-facilitated transition loan is provided below, including an illustrative interest rate. The interest rate is equal to a base rate (based on government borrowing costs) plus a risk margin determined annually by the Treasurer (set at 2.25 per cent for 2024-25).

Commercial and Industrial Property Tax Reform – Transition Loan Design Elements Fact Sheet (PDF 214 KB)

Commercial and Industrial Property Tax Reform – Transition Loan Design Elements Fact Sheet (WORD 147 KB)

Further information on the transition loan, such as the application process and loan terms and conditions, will be published by the Treasury Corporation of Victoria on this website prior to the commencement of the reform on 1 July 2024.