Businesses affected by changes to stamp duty

Deferred timetable for stamp duty abolition

In the most recent budget, the NSW Government announced that it was deferring the abolition of stamp duty on (1) the transfer of business assets other than land and (2) the transfer of unquoted marketable securities to 1 July 2013.

While this announcement may disappoint anyone looking to acquire a business, it is not the first time the NSW Government has changed the timetable for abolishing stamp duty. In 2006, it was ‘brought forward’ to 1 July 2011. In 2008 it was ‘pushed back’ to 1 July 2012. Now, it has been ‘pushed back’ again to 1 July 2013.

If you have been making your plans or preparing your budget around the abolition of this stamp duty on 1 July 2012, you may need to revisit those plans and revise your budget. Stamp duty is here to stay – for now (and who knows how long in the future).

Author: Ern Phang

Ern Phang is the solicitor director of Phang Legal and has practised law since 1998. He has extensive experience in providing legal assistance to small and medium businesses, developing business policies and procedures, and improving corporate management and governance.