Farm Intergenerational Transfers

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The transfer of family based farm land to a family member may be entitled to stamp duty exemption in the event the transfer is made in accordance with Section 274 Duties Act 1997 (NSW).

The transferor (or the person directing the transfer) of the land must be a family member of the transferee.

The land must be used for primary production before the transfer.

The primary production business must be carried on after the transfer.

Evidence requirements for the exemption application are outlined (together with examples) by 

Revenue NSW per DUT 050 issued June 2021.

The legislation goes into some detail to outline the required transferor categories, as follows:

• Transferor will be the deceased person concerning a deceased estate;

• The Transferor of a Pty Ltd Company will a shareholder of not less than 25% of the shareholding;

• The Transferor of a Bare Trust will be a beneficiary;

• The Transferor of a Discretionary Trust will be a beneficiary with not less than 25% entitlement to capital of the trust in default of appointment;

• The Transferor of a Unit Trust will be a Unit Holder of not less than 25% of the units;

• The Transferor of a Self-Managed Superannuation Fund will be a member.

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