The three steps
- Dutiable value. In NSW and Victoria this is the higher of the price you agree to pay and the market value. Victoria says it includes GST where GST is payable, and Queensland uses the GST-inclusive purchase price, plus the value of any chattels in the transaction.
- Ordinary duty. Apply the state's sliding scale to the whole dutiable value.
- Surcharge. Multiply the foreign person's share of the dutiable value by the surcharge rate, then add the two amounts.
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The scales used here
NSW (2026-27 transfer duty scale, contract dates in the year from 1 July 2026):
| Dutiable value | Duty |
|---|---|
| $387,001 to $1,290,000 | $11,602 plus $4.50 per $100 over $387,000 |
| Over $1,290,000 | $52,237 plus $5.50 per $100 over $1,290,000 |
Victoria (general rates, contracts on or after 1 July 2021):
| Dutiable value | Duty |
|---|---|
| $130,000 to $960,000 | $2,870 plus 6% of the value over $130,000 |
| $960,000 to $2,000,000 | 5.5% of the dutiable value |
Queensland (general scale, without a home concession):
| Dutiable value | Duty |
|---|---|
| $75,000 to $540,000 | $1,050 plus $3.50 per $100 over $75,000 |
| $540,000 to $1,000,000 | $17,325 plus $4.50 per $100 over $540,000 |
| Over $1,000,000 | $38,025 plus $5.75 per $100 over $1,000,000 |
Lower bands apply to cheaper properties, and NSW charges extra premium duty above $3,870,000. Victoria's rate for values over $2,000,000 is higher again. Those cases are outside the examples here.
Worked examples
These assume one foreign buyer, who buys the whole property at its market value, with no concession or exemption.
| Price | State | Ordinary duty | Surcharge | Total |
|---|---|---|---|---|
| $500,000 | NSW | $16,687 | $45,000 | $61,687 |
| $500,000 | Victoria | $25,070 | $40,000 | $65,070 |
| $500,000 | Queensland | $15,925 | $40,000 | $55,925 |
| $750,000 | NSW | $27,937 | $67,500 | $95,437 |
| $750,000 | Victoria | $40,070 | $60,000 | $100,070 |
| $750,000 | Queensland | $26,775 | $60,000 | $86,775 |
| $1,000,000 | NSW | $39,187 | $90,000 | $129,187 |
| $1,000,000 | Victoria | $55,000 | $80,000 | $135,000 |
| $1,000,000 | Queensland | $38,025 | $80,000 | $118,025 |
| $1,500,000 | NSW | $63,787 | $135,000 | $198,787 |
| $1,500,000 | Victoria | $82,500 | $120,000 | $202,500 |
| $1,500,000 | Queensland | $66,775 | $120,000 | $186,775 |
The working for $750,000:
- NSW. $11,602 + 4.5% x ($750,000 - $387,000) = $11,602 + $16,335 = $27,937. Surcharge: 9% x $750,000 = $67,500. Total: $95,437.
- Victoria. $2,870 + 6% x ($750,000 - $130,000) = $2,870 + $37,200 = $40,070. Additional duty: 8% x $750,000 = $60,000. Total: $100,070.
- Queensland. $17,325 + $4.50 x (($750,000 - $540,000) / $100) = $17,325 + $9,450 = $26,775. Additional duty: 8% x $750,000 = $60,000. Total: $86,775.
The $1 million NSW figures ($90,000 and $39,187) match Revenue NSW's own example on its surcharge page. Queensland's own example is a $980,000 house: $37,125 transfer duty and $78,400 AFAD, a total of $115,525.
Buying with someone else
Ordinary duty is calculated on the whole property. The surcharge applies only to the foreign person's share.
- NSW. Two people buy a $1 million home 50/50 and one is foreign. Transfer duty is $39,187 on the whole price. Surcharge is 9% x $500,000 = $45,000. Total: $84,187.
- Victoria. The SRO's example has three equal owners paying $600,000 in total, and one is foreign. Her share is $200,000, so additional duty is 8% x $200,000 = $16,000.
- Queensland. QRO's example has a couple buying an $800,000 apartment in equal shares, and one is foreign. Transfer duty is $29,025 and additional duty is 8% x $400,000 = $32,000. Total: $61,025.
How concessions and exemptions interact
The three states differ here, and it changes the result.
- Victoria. The additional duty is worked out on the dutiable value before any concession. The SRO's example is a foreign buyer of a $500,000 off-the-plan property with the principal place of residence and off-the-plan concessions: additional duty is still $40,000. If a transfer is exempt from land transfer duty, it is also exempt from the additional duty.
- Queensland. A home or first home concession reduces transfer duty only, and AFAD still applies. For transactions entered into on or after 1 August 2026, these concessions require the buyer to be an Australian citizen, permanent resident or specified foreign retiree, so a foreign buyer pays the general scale in the table above. A transaction exempt from transfer duty is also exempt from AFAD.
- NSW. Revenue NSW says that a foreign person exempt from transfer duty may still have to pay surcharge purchaser duty.
Valuation, rounding and timing
If you pay less than market value, duty is based on market value. Revenue NSW's example has a $300,000 family sale of land worth $450,000, and duty is calculated on $450,000. Queensland's scale charges for each $100, or part of $100, so a price just over a round hundred rounds up for that step. At $540,050 the ordinary duty is $17,325 plus one more $4.50, which is $17,329.50.
Scales change. NSW adjusts its transfer duty thresholds and rates each year with the Consumer Price Index, and says the surcharge rate itself is not adjusted that way. The contract date, not the settlement date, sets the NSW year. The examples here use the scales shown above in October 2026, and a quote should use the scale for the actual contract date.
What the numbers leave out
None of the figures include the FIRB application fee, legal and conveyancing costs, loan costs or later charges such as land tax and the vacancy fee. The total cost guide puts those together.
Keep reading
- Foreign buyer stamp duty in NSW: surcharge purchaser duty explained
- Foreign purchaser additional duty in Victoria: the 8% surcharge explained
- Additional foreign acquirer duty in Queensland: who pays the 8% and when
- The total cost of buying property in Australia as a foreign buyer
- FIRB application fees for 2026-27: worked examples at different prices
- Absentee owner surcharge in Victoria: who is an absentee owner and what it costs
Frequently asked questions
Is the surcharge worked out on the price or the market value?
On the dutiable value, which in NSW and Victoria is the higher of the price and the market value. If you pay $750,000 for a property the revenue office values at $800,000, the surcharge in NSW would be 9% x $800,000 = $72,000.
Do first home or home concessions lower the surcharge?
Not in Victoria or Queensland, where the surcharge is calculated before concessions or ignoring them. Concessions lower ordinary duty only. In Queensland, from 1 August 2026, those concessions are also limited to citizens, permanent residents and specified foreign retirees.
Which states are not covered by these examples?
Western Australia and South Australia charge 7% on residential property, and Tasmania charges 8% on agreements from 1 April 2020. Each has its own ordinary duty scale. See the state surcharge pages for each state.
Does the surcharge change each year?
NSW says its surcharge rate is not indexed to CPI like its transfer duty scale, but rates can change with state budgets, and NSW moved from 8% to 9% for transactions from 1 January 2025. Check the revenue office page for the date of your contract.
Sources
- How to calculate transfer duty, Revenue NSW
- What is surcharge purchaser duty, Revenue NSW
- Past thresholds and rates for transfer duty, Revenue NSW
- Calculating foreign purchaser additional duty, State Revenue Office Victoria
- Land transfer duty (non-principal place of residence) current rates, State Revenue Office Victoria
- Assessing and calculating additional foreign acquirer duty, Queensland Revenue Office
- Transfer duty rates, Queensland Revenue Office
- Home concession, Queensland Revenue Office
- Foreign investor duty surcharge: rates, State Revenue Office Tasmania
- Foreign transfer duty, Western Australian Government
- Foreign ownership surcharge, RevenueSA
Checked 5 October 2026.
firbapproval.com.au is an independent guide. It is not affiliated with, endorsed by or connected to the Foreign Investment Review Board, the Australian Treasury or the Australian Taxation Office. We do not lodge or process applications. Applications are made to the ATO. General information only, not legal, tax, migration or financial advice.