List of taxes and fees for house purchase in Melbourne, Australia

With the improvement of people's living standards, more and more people plan to immigrate to Australia, so what taxes should be paid to buy a house in Melbourne? Next, let's take a look at the tax list of buying a house in Melbourne, Australia. Welcome to reading.

1. What taxes do I have to pay to buy a house in Melbourne?

1, land tax

Land tax needs to be paid every year. According to Australian policy, all properties in Australia are subject to land tax except the Northern Territory. However, the collection of land tax is a local tax, and the standard and use of the collection are determined by the local government. It is worth noting that the share of land tax collection, even within a week, is different every year, because there will be a threshold, and only the part that exceeds the threshold will be taxed. The threshold is determined according to the tax revenue of the previous year.

2. stamp duty

Everyone is familiar with stamp duty, and at present, the Australian government's restrictions on foreigners buying houses are mainly achieved by raising stamp duty. In Australia, the standard of stamp duty varies from state to state, ranging from 1.4%-5.5%. Before the New Deal, foreigners charged 4% more stamp duty for buying a house, and 8% more stamp duty after the New Deal.

3. Local taxes

The main purpose of municipal tax is the cost of urban management, which mainly includes the maintenance of public facilities and the treatment of urban garbage and sewage. In addition, Australian municipal taxes will also include water charges. Because of the shortage of water resources in Australia, residents can drink water directly after treatment, and this fee will also be included in the municipal tax, but the actual water consumption fee needs to be paid separately.

4. Attorney's fees

In the process of buying a house in Australia, lawyers need to participate in the whole process. Lawyers will review the unreasonable places in the contract for buyers, and will also help buyers to go through the corresponding purchase procedures, while sellers need to pay them a certain fee, generally within 600- 1000 Australian dollars.

5. Real estate transfer registration fee

The registration fee for house transfer is different in different states in Australia, and the buyer needs to pay it to the government at one time when handling the transfer formalities.

2. How much tax should I pay for buying a house in Melbourne?

Among the taxes to be paid for buying a house in Australia, most of the tax standards are determined by the local authorities, while Victoria, where Melbourne is located, has a relatively high tax collection standard for buying a house due to factors such as better economic development, more social welfare and the concentration of foreigners who buy a house, as follows:

1, stamp duty

In July this year, several provinces in Australia have raised the stamp duty on foreigners' house purchases, with Victoria having the highest increase. According to Victoria's policy, foreign buyers who buy a house in Melbourne will pay a stamp duty of 7%+5.5% 12.5 if they buy an existing apartment in Melbourne, and it will change according to the specific house price. When buying an auction apartment in Melbourne, the price is much looser, and only 7%+0.5% stamp duty can be used to attack about 7.5%.

2. Government rent

At present, the standard of land tax in Melbourne is 5%, but the threshold of land tax is different every year, so the specific fees paid are also changing. For example, the land threshold this year is A $200,000, so the land tax for a property worth A $250,000 is: (250,000-200,000) * 5% = A $2,500. For foreigners who want to buy a house in Melbourne, you can search the starting point of Melbourne land tax in recent years and roughly interpret it. After all, the annual change in the threshold will not be too outrageous.

3, municipal management fees

As I said before, municipal taxes in Australia are collected by local governments themselves, and each region is different. In Melbourne, the collection standard of municipal tax is about 1000 Australian dollars per year.