Fewer commercial sales, but prices underpin NSW stamp duty revenue

Jonathan ChancellorAugust 30, 2011

NSW’s non-residential stamp duty revenue has gotten off to a good start in the latest financial year boosted by premium commercial sales.

The latest Office of State Revenue data reveals the overall annual transfer duty tally from commercial sale has gone up despite fewer sales, much as it has for residential property

There was $616 million in commercial stamp duty paid in the last financial year after purchases by 10,881 investors.

In the 2009-10 financial year 12,972 investors paid a slightly lower $597 million in stamp duty.

The July commercial sales volumes were the slowest in recent years, with just 865 commercial property transactions, but investors paid $54 million in stamp duty last month, which was the highest July level since the 2008-09 financial year.

There were 1,078 sales in July 2010, with the peak years in recent times being 2,160 in July 2008 and 2,252 sales in July 2007.

The figures provide an uncertain backdrop to next week’s first O’Farrell government state budget.

Treasurer Mike Baird and Premier Barry O'Farrell have warned of a "tough" budget, due next Tuesday.

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.

Editor's Picks

First look: Carbone targets first home buyers after Amado Windsor redesign
Riverfront living made achievable at The Lennox, Parramatta
Hyecorp doubles-down on Lower North Shore with Celine, Chatswood tower
"More than just a beautiful building": How Sydney House aims to elevate its residents' lifestyle
Dorian Kew reimagines heritage architecture for modern living