Home buyer concession scheme (from 1 July 2019)
Who is eligible
To be eligible for the HBCS the following criteria must be met:
- All buyers of the home or land must be individuals of at least 18 years old.
- The income* of all buyers, including their partners (if any), in the previous financial year to the transaction date must not be greater than the relevant income threshold below.
- All buyers including their partners (if any) must not have owned (legal or equitable interest) any other property in the last 5 years.** A partner includes your spouse, civil union partner or de facto partner.
- At least one buyer must live in the home continuously for at least one year, starting within 12 months of the date of completion (settlement date) or the date that a certificate of occupancy has been issued.***
* From 1 July 2024, assessed taxable income. Before 1 July 2024 or if there is no assessed taxable income, the income threshold applies to total gross income.
** Before 1 July 2024, the period was 2 years. There are limited exceptions to this requirement, including court orders and agreements, family violence orders or injunctions made under the Family Law Act 1975 (Cwlth). These orders or agreements must be made before the transaction date.
*** The Commissioner for ACT Revenue can exempt you from the residence requirements upon written application, in full or in part, but only in very specific circumstances.
Eligible properties
All properties in the ACT are eligible for this scheme. It applies to vacant residential land and both new and established homes, anywhere in the ACT and at any price. From 1 July 2021, a concession cap has been implemented for the amount of tax that will be waived under the HBCS.
Prior property interest
To be eligible for the HBCS, all buyers (including their domestic partners (if any) must not have owned (legal or equitable interest) any other property (anywhere – including overseas) in the past 5 years prior to the transaction date.
If you have owned property elsewhere in Australia or overseas in the previous 5 years prior to the transaction date, you are not eligible for the HBCS. An equitable interest refers to an interest you may own in property indirectly by being a beneficiary of a trust. A common example is that you are the beneficiary of a bare trust or a fixed trust. If you have disposed of this interest in the trust less than 5 years prior to the transaction date, you are not eligible for HBCS.
For example: Jane and Adam owned a house in Banks, they settled the sale on 30 June 2022. On 30 December 2024, Jane and Adam entered a contract to purchase a new property in Reid. On the transaction date of 30 December 2024, Jane and Adam had held a legal interest in property within the previous 5 years of the transaction date, that being the property they owned in Banks. Jane and Adam are not eligible for HBCS, as they failed the property ownership criterion.
There are exemptions to the property requirement. For example, if the court orders you to relinquish your interest in a property, such as part of a property order following a relationship breakdown, this will be an exempt interest. Noting that voluntary transfers prior to a court order are insufficient to meet the exemption nor would the sale of property to your former partner.
You are recommended to carefully read the instrument to see if you meet exemption criteria, and/or seek independent financial or legal advice on your proposed transaction to check your eligibility for the HBCS.
Income thresholds
To be eligible for the HBCS, the income of all home buyers and their partners (if any) over the full financial year before the transaction date* must be less than or equal to the thresholds below.
- From 1 July 2024, income refers to assessed taxable income.
- Before 1 July 2024 or if there is no assessed taxable income, the income threshold applies to total gross income.
Your assessed taxable income will be located on the Notice of Assessment issued by the Australian Taxation Office for the financial year. Generally, your taxable income is your income minus deductions.
Your total gross income is the sum of all earnings, including earnings other than employment income such as interest, dividends, fringe benefits, foreign income, payouts etc. Gross income is your total income from all sources and does not include any deductions. The income for a self-employed person is their business’s trading profit, not the business’s turnover. A person is self-employed if they are a sole trader, not if they are a director, shareholder and/or employee of their company. Your partner’s income must be included, even if they won't be owner of the home.
* The transaction date refers to the date that a liability for duty occurs. Often the first time a liability arises is the date of exchange where you sign and exchange contracts for the purchase of the property and pay the deposit. The transaction date is rarely the date you settle the purchase of the property.
Income threshold for transactions from 1 July 2024 |
|---|
| Number of dependent children | Total income threshold |
|---|---|
| 0 | $250,000 |
| 1 | $254,600 |
| 2 | $259,200 |
| 3 | $263,800 |
| 4 | $268,400 |
| 5 or more | $273,000 |
| Number of dependent children | Total gross income threshold |
|---|---|
| 0 | $170,000 |
| 1 | $173,330 |
| 2 | $176,660 |
| 3 | $179,990 |
| 4 | $183,320 |
| 5 or more | $186,650 |
| Number of dependent children | Total gross income threshold |
|---|---|
| 0 | $160,000 |
| 1 | $163,330 |
| 2 | $166,660 |
| 3 | $169,990 |
| 4 | $173,320 |
| 5 or more | $176,650 |
Concession cap
From 1 July 2021, the amount of the home buyer concession is capped.
| Year | Maximum concession amount |
|---|---|
| 2024-25 | $34,270 |
| 2023-24 | $34,504 |
| 2022-23 | $34,790 |
| 2021-22 | $35,910 |
Thresholds
The concessional duty for HBC is based on the thresholds below for transactions between:
On or after 1 July 2024
| Property value | Duty payable |
|---|---|
| Less than or equal to $1,000,000 | $0 |
| More than $1,000,000 but less than $1,455,000 | $6.40 for every $100, or part of $100, by which the dutiable value exceeds $1,000,000 |
| $1,455,000 or more | a flat rate of $4.54 per $100 applied to the total dutiable value, less an amount of $34 270 |
| Property value | Duty payable |
|---|---|
| Less than or equal to $1,000,000 | $0 |
| More than $1,000,000 but less than $1,455,000 | $6.40 for every $100, or part of $100, by which the dutiable value exceeds $1,000,000 |
| $1,455,000 or more | a flat rate of $4.54 per $100 applied to the total dutiable value, less an amount of $34 504 |
| Property value | Duty payable |
|---|---|
| Less than or equal to $1,000,000 | $0 |
| More than $1,000,000 but less than $1,455,000 | $6.40 for every $100, or part of $100, by which the dutiable value exceeds $1,000,000 |
| $1,455,000 or more | a flat rate of $4.54 per $100 applied to the total dutiable value, less an amount of $34 790 |
| Property value | Duty payable |
|---|---|
| Less than or equal to $1,000,000 | $0 |
| More than $1,000,000 but less than $1,455,000 | $6.40 for every $100, or part of $100, by which the dutiable value exceeds $1,000,000 |
| $1,455,000 or more | a flat rate of $4.54 per $100 applied to the total dutiable value, less an amount of $35 910 |
| Property type | Duty payable |
|---|---|
| Home | $0 |
| Vacant land | $0 |
| Property type | Duty payable |
|---|---|
| Home | $0 |
| Vacant land | $0 |
Residency requirements
At least one buyer must live in the home continuously for at least a year. They must commence residence within one year of either the settlement date (for an eligible home) or the date that a certificate of occupancy has been issued (for vacant land).
The Commissioner for ACT Revenue can exempt you from the residency requirements, in full or in part, but only if:
- you cannot live in the home as your principal place of residence from the residence start date for at least 1 year because of an unforeseen circumstance, such as a health-related issue; and
- you request an exemption in writing no later than 18 months after:
- the settlement date (for an eligible home); or
- the date you receive the Certificate of Occupancy and Use once construction of the new home is finished (for vacant land).
If you do not meet the residency requirements, you will be liable to pay full conveyance duty in relation to the transaction unless an exemption is granted. Penalty tax or interest may also apply if the requirements are not met.
If you have any concerns about your residency, you should contact us as early as possible.
Family Violence
If you or your child have experienced family violence from a domestic partner you may be subject to different eligibility requirements under the HBCS.
If you have evidence through a family violence order or injunction before the date of the transaction and within the last 5 years, you are able to have held other property in the last 5 years. You would still need to meet the income test but taxable income would not include that for the domestic partner related to the family violence. Additionally, the domestic partner related to the family violence cannot occupy or reside in the property during the residency period.
If you do not have evidence that includes a family violence order or injunction you may still be eligible for a waiver (partial or full) from duty if you have held other property in the last 5 years. Income testing (amended) and other HBCS requirements including the cap on the amount of benefit would apply. However, you will still be required to provide evidence of the family violence. A statutory declaration made by the you (the applicant) will not be sufficient.
For more information and assistance with claiming a waiver, please contact Duties@act.gov.au. Please supply the following information with a waiver request:
- Details of your family circumstances and any evidence that you can provide to evidence that you have experienced family violence within the past 5 years
- Contract for Sale
- Transfer form or new crown lease
- Evidence of assessed taxable income (income tax returns)
- Birth certificate for the youngest child (this will determine the income threshold)
(Note, under this waiver method you would not claim the HBCS via the concession code, as above. Instead, an assessment of duty would be made and, if you are eligible, a (full or part) waiver will be provided.)
How to claim?
If you are eligible to claim the Home Buyer Concession Scheme with reference to the family violence provisions you will need to insert the concession code FVC24 on the Buyer Verification Declaration before you register the title transfer with Access Canberra. Or concession code FV24D if you are seeking to defer your duty.
You will be required to provide evidence of either the family violence orders or injunction under sections 68B or section 114 of the Family Law Act 1975 (Cwlth) to support your claim.
If you do not have evidence of the family violence orders or injunctions than your application may be considered under the waiver process outlined above.
If you do not claim the HBCS concession code number on the Buyer Verification Declaration before you register your transfer, you can submit a late claim using the Application for concession, exemption or correction of duty after registration of title form. When we receive your claim, we will issue you a notice of reassessment with the concession applied.
Questionnaire
To assist you in determining your eligibility and to find out what documents you will need to keep, you can complete the following questionnaire.
The questionnaire is intended to use by you as a guide only, to help you better understand whether you may be eligible for any ACT Government home buyer assistance schemes.
If the eligibility assessment result states that you may be eligible, this is indicative only and should not be relied on as confirmation of eligibility or approval.
Users should use their own skill and judgement in using the eligibility assessment tool and carefully evaluate the accuracy, currency, completeness and relevant of the information it provides.
All concessions and exemption applications at the ACT Revenue Office are self assessed. You are obligated to ensure that all the eligibility criteria have been met (or will be met) before applying for any concession or exemption code in the Buyer Verification Declaration.
You should undertake your own inquiries into the eligibility requirements. This may include obtaining information from this website, legislation, or independent professional advice.
How to claim?
If you're eligible, to claim the concession you will need to reference the concession code number on the Buyer Verification Declaration before you register the title transfer with Access Canberra. For transactions on or after 1 July 2024 the concession code number is HBC24. You do not need to give us any other documents at this time.
If you do not claim the HBCS concession code number on the Buyer Verification Declaration before you register your transfer, you can submit a late claim using the Application for concession, exemption or correction of duty after registration of title form. When we receive your claim, we will issue you a notice of reassessment with the concession applied.
If you wish to apply for a duty deferral you must do so when you lodge the Buyer Verification Declaration. Please note that duty deferrals cannot be applied for in retrospect, after the property transfer is registered with Land Titles, per section 75AB (2) of the Duties Act 1999. For transactions on or after 1 July 2024 the concession code is HB24D and should be entered on the Buyer Verification Declaration before you lodge for registration at Access Canberra.
You do not need to give us any other documents currently.
What happens next?
We'll issue you a Notice of Assessment for duty with the concession applied. You do not have to take any further action, unless your circumstances change, in which case you will need to notify our office.
After you’ve received your assessment, we may contact you to verify your eligibility for the concession. For example, we may require you to give us copies of any documents that support your eligibility, or we may ask you to prove your residency at the home. You need to keep copies of your supporting documents for at least five years after the transaction date.
We review claims and conduct investigations into the HBCS on an ongoing basis.
Reference Material
Further information on the HBC can be located using the information below:
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2024 DI2024-175.
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2023 (No 2) DI2023-288.
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2023 DI2023-163.
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2022 DI2022-157.
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2021 DI2021-172.
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2019 (No 3) DI2019-271.
- Taxation Administration (Amounts Payable—Home Buyer Concession Scheme) Determination 2019 (No 2) DI2019-137.
- ACT Revenue Office, Revenue Circular GEN011.2, Principal Place of Residence.