Queensland home concessions changed for contracts entered into from 1 August 2026. If you're a temporary resident buying a home, first home or vacant land to build a first home, you may no longer qualify for the concession. The result can be standard transfer duty plus 8% additional foreign acquirer duty on a residential land purchase.
This is a contract-date issue, not a settlement-date issue. Before you sign, check the status of every buyer, the property type, the contract date and the way the duty has been calculated.
What changed for Queensland home concessions?
Under the Queensland change, a buyer must generally be an Australian citizen, permanent resident or specified foreign retiree to access a home-related transfer-duty concession for a transaction entered into from 1 August 2026. The change covers the home concession, first-home concession and vacant-land concession for land on which a first home will be built.
Temporary residents will generally not meet the new definition. They may need to pay duty at the ordinary rates instead of a concession rate. If the buyer is also treated as a foreign acquirer, 8% additional foreign acquirer duty may apply to a residential land purchase.
The Queensland Revenue Office says the new rule was included in the 2026-27 State Budget and is supported by amendments to the Duties Act 2001. Its guidance confirms that the relevant date is when the transaction is entered into. A contract signed on or before 31 July 2026 isn't caught by the new eligibility requirement simply because settlement happens later.
That timing point matters. A buyer who signs on 31 July and settles in September is assessed under the earlier eligibility settings. A buyer who signs on 1 August must satisfy the new resident-status test.
Which buyers can still claim a concession?
The new test focuses on the status of the individual transferee at the time the transaction is entered into. The eligible groups are:
- Australian citizens
- Australian permanent residents
- specified foreign retirees covered by the limited legacy-visa exception.
The foreign-retiree exception isn't a general exemption for anyone who has retired overseas. It relates to self-funded foreign retirees holding certain legacy visas, including subclass 405 or 410, who were already exempt from additional foreign acquirer duty. These visas were closed to new applicants after the Australian Government's 2018-19 Budget, so the group is narrow.
A temporary visa holder shouldn't assume that owning a home, working in Queensland or intending to apply for permanent residency is enough. The question is the status that applies when the contract is entered into. A future visa outcome doesn't change the answer for the contract you sign today.
The same check applies to each buyer. If two people buy together and only one is eligible, the eligible buyer may still claim a concession on their interest if the requirements for a mixed or multiple claim are met. The other buyer's interest doesn't automatically receive the concession.
How the duty can change for a home purchase
A home concession reduces the transfer duty otherwise calculated under the ordinary scale. Losing it can increase the duty payable even before any foreign acquirer charge is considered.
For a temporary resident buying residential land, the starting calculation is usually ordinary transfer duty on the dutiable value. The 8% additional foreign acquirer duty can then apply if the buyer is a foreign acquirer under Queensland's rules. The exact amount depends on the transaction, the buyer's interest and the statutory rules in force at the time.
Don't compare only the advertised purchase price with a concession estimate. Ask for a duty calculation that shows:
- the transaction date used
- each buyer's percentage interest
- whether a home, first-home or vacant-land concession has been claimed
- whether the 8% additional foreign acquirer duty has been included
- any mixed or multiple claim being applied.
The Queensland Revenue Office's example shows why a joint purchase needs care. One buyer can be an eligible permanent resident while the other buyer isn't an Australian citizen, permanent resident or specified foreign retiree. The eligible buyer's share may receive the home concession, while the other share is assessed at full rates and may also attract the additional foreign acquirer duty.
The numbers in a conveyancer's estimate can change if the ownership split changes. A 50-50 purchase isn't the same duty problem as a purchase where one buyer takes a small interest. Don't change the names or percentages casually after you receive a quote. Get the revised duty position checked first.
What if you're buying your first home?
The change isn't limited to established homes. A temporary resident can also lose access to the first-home concession, subject to the particular eligibility rules, and to the vacant-land concession for land intended for a first home.
That means a buyer who plans to build should check their status before signing the land contract. The fact that no dwelling exists yet doesn't avoid the resident-status requirement. Nor does a plan to move into the finished home later.
Keep the federal and Queensland questions separate. A state transfer-duty concession is not the same thing as a grant or another home-ownership programme. This article is about Queensland transfer duty only. Don't assume that eligibility for one programme restores a concession that the Queensland duty rules remove.
If you're buying through a trust, the analysis can be different again. The Queensland guidance says that, for a trustee to be eligible for a concession on a transaction from 1 August 2026, all beneficiaries must be Australian citizens, permanent residents or specified foreign retirees at the relevant time. A trust purchase therefore needs a proper review of the deed, the beneficiaries and the form being lodged.
The contract-date checks to complete before signing
Use this checklist with your conveyancer or duty adviser before you become bound by the contract.
1. Confirm the document date
Write down the date the contract is entered into, not just the expected settlement date. If the contract is dated on or before 31 July 2026, the new eligibility test doesn't apply to that transaction. If it's entered into from 1 August 2026, work through the new test before claiming a concession.
2. Check every buyer's status
For each transferee, record whether they are an Australian citizen, permanent resident, specified foreign retiree or another type of visa holder. Keep evidence that supports the answer. A visa application in progress isn't the same as a permanent visa grant.
3. Identify the concession being claimed
Is the purchase an established home, a first home or vacant land for a first home? Make sure the concession selected matches the property and the buyer's intended use. A vacant-land claim still needs the resident-status test.
4. Run the foreign-acquirer check
Ask whether any buyer may be a foreign acquirer and whether the 8% additional foreign acquirer duty applies. Don't treat this as a paperwork detail. It can materially change the funds needed at settlement.
5. Check ownership percentages
For joint buyers, test each interest separately. If a mixed or multiple claim is available, the duty calculation should show which share receives the concession and which share doesn't.
6. Review any trust structure
If a trustee is buying, check the trust deed and all relevant beneficiaries. The resident-status test for beneficiaries should be confirmed before the contract is signed, not after the duty form has been lodged.
7. Use the updated Queensland forms and calculator
The Queensland Revenue Office has updated its forms, online systems and calculator to ask about eligibility for each transferee on transactions from 1 August 2026. Save the calculation and the documents supporting your answers.
What happens if a concession was claimed by mistake?
Act quickly. The Queensland guidance says a taxpayer has 28 days to notify the Commissioner using Form D2.4, Reassessment of duty for home concessions, where a claimed concession is not available. Unpaid tax interest and penalties may apply where appropriate.
A mistake is easier to fix when the contract, visa evidence, buyer percentages and duty calculation are already organised. Don't wait until a notice arrives. If your contract was entered into from 1 August 2026 and the concession question was answered incorrectly, ask for the duty position to be reviewed promptly.
Six questions buyers are asking
Does the change apply to a contract signed before 1 August 2026?
No. The new eligibility requirement applies to transactions entered into from 1 August 2026. A contract entered into on or before 31 July 2026 isn't affected by this particular change just because settlement occurs later.
Can a temporary resident still buy a Queensland home?
Yes, the change concerns access to home-related transfer-duty concessions. It doesn't by itself stop a temporary resident from buying property. The buyer must assess the ordinary duty and any additional foreign acquirer duty that may apply.
Does applying for permanent residency make me eligible?
Not by itself. The relevant status is the status held when the transaction is entered into. A pending application shouldn't be treated as a permanent-resident status for the concession test.
Can one eligible buyer claim a concession if the other buyer is temporary?
A mixed or multiple claim may be available where the requirements are met. The eligible buyer's interest and the other buyer's interest need to be tested separately, and the non-eligible interest may be assessed at full rates.
Do the rules cover vacant land?
Yes. The change includes vacant land on which a first home will be built. The absence of a completed dwelling doesn't remove the resident-status requirement.
Is the foreign-retiree exception available to every retired buyer?
No. The exception is limited to specified foreign retirees, including certain self-funded holders of legacy subclass 405 or 410 visas who were already exempt from additional foreign acquirer duty. Check the exact visa category rather than relying on the word retired.
Plan the duty before you sign
Queensland home concessions are now a contract-stage issue for temporary residents and mixed-status buyers. The strongest practical rule is simple: don't sign first and ask about duty later. Confirm the date, buyer status, property type, ownership split and foreign-acquirer position while the contract can still be reviewed.
If you'd like help organising the tax and ownership questions around a proposed purchase, Apply for a Strategy Session. Bring the draft contract, visa evidence, proposed ownership percentages and any duty estimate so the assumptions can be tested.
Andrew Romano is a Chartered Accountant and SMSF Specialist based in Sydney. He works with high-income individuals, business owners and investors on tax planning, structuring and self-managed super funds.
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Disclaimer
This article contains general information only and does not constitute financial, legal or tax advice. It has been prepared without regard to your objectives, financial situation or needs. Tax and superannuation laws change frequently, and the information in this article may not reflect the current law or may become inaccurate over time. Before acting on anything in this article, you should consider its appropriateness to your circumstances and seek advice from a registered tax agent or qualified adviser.