21What is the consideration for the transfer of dutiable property?

21 What is the consideration for the transfer of dutiable property? (1) The consideration for the transfer of dutiable property is taken to include the amount or value of all encumbrances, whether certain or contingent, subject to which the dutiable property is transferred. S. 21(2) repealed by No. 36/2005 s. 7, new s. 21(2) inserted by No. 28/2017 s. 4(1), amended by No. 22/2018 s. 17. (2) The consideration for a transfer of dutiable property is to be adjusted under subsection (3) or (4) only for the following purposes— (a) calculating duty under section 57J; S. 21(2)(b) amended by No. 18/2023 s. 11(a). (b) applying an exemption or concession under section 57JA; S. 21(2)(c) inserted by No. 18/2023 s. 11(b). (c) applying an exemption or concession under section 60, if the dutiable value of the property is not more than the maximum amount specified in section 57J. S. 21(2A) inserted by No. 22/2021 s. 5. (2A) Despite subsection (2) but subject to subsection (2B), the consideration for a transfer of dutiable property is also to be adjusted under subsection (3) or (4) if— (a) the adjustment would result in the consideration being not more than $1 000 000; and (b) the transfer meets all the requirements to receive a concessional rate of duty under section 57J other than the requirement that the dutiable value of the dutiable property is not more than $550 000; and (c) the contract for purchase of the dutiable property is entered into on or after 1 July 2021 but before 1 July 2023. S. 21(2B) inserted by No. 22/2021 s. 5. (2B) Subsection (2A) does not apply if the Commissioner determines that the contract for purchase of the dutiable property replaces a previous contract for the purchase of the same property entered into before 1 July 2021. S. 21(3) amended by No. 28/2017 s. 4(2). (3) The consideration for the transfer of land on the sale of that land is to be adjusted to exclude any amount paid or payable in respect of the construction of a building to be constructed on that land on or after the date on which the contract of sale was entered into. S. 21(4) amended by Nos 31/2008 s. 3(1)(a), 28/2017 s. 4(3). (4) The consideration for the transfer of land that is a lot on a plan of subdivision within the meaning of the **Subdivision Act 1988** on a sale of that lot is to be adjusted to exclude an amount, attributable to that lot, in respect of refurbishment of that lot carried out on or after the date on which the contract of sale was entered into and before the date of the transfer if— S. 21(4)(a) amended by No. 79/2001 s. 6(a). (a) the transferor was a first registered proprietor within the meaning of the **Transfer of Land Act 1958** of that lot; and S. 21(4)(b) amended by No. 79/2001 s. 6(b). (b) the sale of that lot to the transferee is the first sale of the lot after registration of the plan of subdivision; and S. 21(4)(c) amended by No. 31/2008 s. 3(1)(b). (c) the transferee has not entered into a contract for refurbishment of the lot, other than in respect of the refurbishment referred to above. S. 21(4)(d) repealed by No. 31/2008 s. 3(1)(c). S. 21(4A) inserted by No. 31/2008 s. 3(2). (4A) Subsection (3) or (4) does not apply unless the transfer, when presented to or lodged with the Commissioner, is accompanied by— (a) a copy of the building permit, or building approval or permit; and (b) a copy of the contract with the transferee for the construction or refurbishment; and S. 21(4A)(c) amended by Nos 37/2009 s. 3, 28/2017 s. 18(1). (c) information in the approved form given by the transferor as to (but not limited to) whether or not the transferor has entered into any agreement with the transferee in respect of works (other than construction or refurbishment) to be undertaken in relation to the land or the lot before the transfer; and S. 21(4A)(d) amended by No. 28/2017 s. 18(1). (d) if the Commissioner requires, information in the approved form given by the transferee declaring that the transferee has not entered any contract, other than the contract referred to in paragraph (b), for the construction of the building or refurbishment of the lot; and S. 21(4A)(e) amended by No. 28/2017 s. 18(1). (e) if the Commissioner requires, information in the approved form given by the person that issued the building permit or building approval or permit. Note to s. 21(4A) inserted by No. 28/2017 s. 18(2). S. 21(4B) inserted by No. 26/2015 s. 18. (4B) Subsection (3) or (4) does not apply when determining the duty chargeable at the rate set out in section 18A or 28A. ***refurbishment*** means building work for which a building permit has been issued under the **Building Act 1993**, being work for the conversion of an existing building for which such a permit or approval is required. S. 21AA inserted by No. 45/2024 s. 3. 21AA Consideration for the transfer of dutiable property—adjustment for construction costs (1) Despite section 21(2), the consideration for a transfer of dutiable property is to be adjusted under section 21(3) or (4) if— (a) the dutiable property is residential property consisting of a single dwelling; and (b) the residential property is a lot in a strata subdivision that has common property; and S. 21AA(1)(c) amended by No. 24/2025 s. 6. (c) the contract for the purchase of the dutiable property is entered into on or after 21 October 2024 and before 21 October 2026. (2) Subsection (1) does not apply if the Commissioner determines that the contract for purchase of the dutiable property replaces a previous contract for the purchase of the same property entered into before 21 October 2024. ***lot*** has the meaning given by section 3(1) of the **Subdivision Act 1985**; ***strata subdivision*** has the meaning given by section 4(1) of the **Transfer of Land Act 1958**. S. 21A inserted by No. 31/2008 s. 4.