The Western Australian State Government has introduced significant relief measures for off-the-plan buyers who have faced construction delays. These new measures provide flexibility in transfer duty payment periods and offer interest relief to affected buyers.

Key Provisions:

• Extended Payment Periods: Recognizing the challenges faced by buyers in delayed developments, the government has extended the transfer duty payment timeframe. Eligible buyers can now apply for a tax payment arrangement to defer payment for up to 12 months, with the possibility of further extensions for ongoing delays beyond their control.
• Reduced Interest Rates: To alleviate the financial burden on affected buyers, the government has reduced the interest rates applied to tax payment arrangements until June 2025. This provides significant relief for buyers who need more time to settle their obligations.
• Late Payment Penalty Remission: In cases where buyers have been unable to meet their transfer duty obligations due to construction delays, the government may consider remission of the late payment penalty tax. This provides additional support to buyers facing financial hardship.
• Retroactive Relief: The new measures are also applicable to existing tax payment arrangements, allowing affected buyers to renegotiate the interest payable.
• Refunds for Failed Transactions: If a transaction does not proceed to settlement and transfer duty has already been paid, buyers can apply for a full refund.

How to Apply:

To avail of these benefits, off-the-plan buyers can apply for a tax payment arrangement or a refund by completing the relevant forms available on the State Government website.

Impact of the Measures:

These measures provide much-needed relief for off-the-plan buyers who have been impacted by construction delays. By extending payment periods, reducing interest rates, and offering potential remission of late payment penalties, the government is demonstrating its commitment to supporting the property market and protecting the interests of consumers. This initiative is expected to alleviate financial stress for many buyers and contribute to a more stable and resilient property market in Western Australia.