Effective 1 January 2025, the New South Wales (NSW) government has implemented increased taxes targeting foreign property investors.

These tax adjustments aim to boost contributions from foreign investors. The additional revenue will be allocated to initiatives aimed at alleviating the housing crisis in NSW, including investments in affordable housing and infrastructure projects.

Key Changes in NSW

1. Foreign Purchaser Duty: increased from 8% to 9% for foreign buyers of residential property. This is in addition to the standard transfer duty.

2. Foreign Owner Land Tax Surcharge: increased from 4% to 5%. This surcharge is assessed annually based on property ownership as of December 31 each year, in addition to regular land tax obligations.

NSW Surcharge Purchaser Duty Calculation

To accurately determine the surcharge purchaser duty along with the standard transfer duty, please utilise the Revenue NSW Surcharge Purchaser Duty Calculator.