Northern Territory Budget revenue measures 2023: taxes on non-land assets to be abolished
On 9 May 2023, the Northern Territory Budget was handed down and as part of the budgetary measures, the Northern Territory Government has announced a range of tax reforms. The reforms are included in the Stamp Duty Amendment Bill 2023 which is a bill to amend the Stamp Duty Act 1978. If passed, and upon assent by the Administrator, the Bill will enact the following revenue measures:
- the abolition of stamp duty on all non-land assets other than chattels that are conveyed with an interest in land;
- the introduction of a new exemption from duty for chattels that are transferred with a lease where that lease has nil or nominal dutiable value and is not conveyed with any other dutiable property;
- the commencement date of the above measures is 9 May 2023;
- the transitional provisions in a new section 116 provide that any transactions relating to non-land assets where the conveyance was first executed before 9 May 2023 will continue to be subject to stamp duty;
- any transactions that were entered into prior to 9 May 2023 that are cancelled and replacement transactions are entered into for substantially the same dutiable property will continue to be subject to stamp duty;
- a conveyance that occurs as a consequence of the exercise of an option contract over non-land assets that was entered into before 9 May 2023 will remain subject to stamp duty.
Get in touch
Senior Associate • Darwin
Clayton Utz communications are intended to provide commentary and general information. They should not be relied upon as legal advice. Formal legal advice should be sought in particular transactions or on matters of interest arising from this communication. Persons listed may not be admitted in all States and Territories.