Blogs

Small Business Stamp Duty Exemption - 27th March 2018

The NSW Government has created a new Small Business Stamp Duty exemption (the exemption) for certain insurances acquired on or after 1 January 2018.

 

Currently all commercial insurance policies attract Stamp Duty which is imposed by the State Government. For eligible small businesses, this means that there is no longer a requirement for this cost to be paid.

 

In order to be eligible for the exemption you must:


  • Be an individual, partnership, company or trust carrying on a business, AND
  • Have an aggregated turnover of less than $2 million.  

 

Aggregated Turnover is your annual turnover plus the annual turnover of the business entities that are your affiliates or are connected with you.


The exemption will apply to the following types of insurance:


  • Commercial vehicle insurance - being motor vehicle insurance for a vehicle used primarily for business purposes,
  • Commercial aviation insurance - being aviation insurance for an aircraft used primarily for business purposes,
  • Occupational indemnity insurance (Including professional indemnity insurance) covering liability arising out of the provision by a person of professional services or other services (other than medical indemnity cover),
  • Product and public liability insurance covering liability for personal injury of property damage occurring in connection with a business or arising out of the products or services of a business.

If you would like further details in regard to these changes, please follow the link to the NSW Government Revenue website:


http://www.revenue.nsw.gov.au/taxes/insurance/exemptions/sbe

 

or contact our office WARATAH + 61 2 4929 5533 | MAITLAND +61 2 4933 6100 especially in regards to whether you meet the definition of a eligible small business. 

Go Back