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Regional commercial, industrial and extractive industries property concession

Duty savings for eligible regional commercial and industrial property.

Key information

A 50% land transfer (stamp) duty concession applies if you buy eligible commercial, industrial and extractive industries property in regional Victoria.

To be eligible:

  • the property must be located entirely in regional Victoria
  • the transaction must be a transfer of eligible dutiable property, such as buying land or acquiring a land use entitlement
  • the property must be used solely or mainly for a qualifying commercial, industrial or extractive industry purpose.

The qualifying use must:

  • start within 2 years of the buyer becoming entitled to possession, usually at settlement
  • continue for a continuous period of at least 12 months.

Eligible transfers

To receive the concession, the contract, agreement or arrangement must be for the transfer of dutiable property referred to in section 10(1)(a) and (ad) of the Duties Act 2000 (the Act). This includes:

The dutiable property must be entirely located in regional Victoria and the transferee must intend to use it solely or primarily for a qualifying use.

This concession does not apply to:

  • leases that are dutiable under section 10(1)(ab) of the Act
  • relevant acquisitions in landholders that are chargeable with duty under Chapter 3 of the Act.

Qualifying use requirements

The land must be used solely or primarily for a qualifying use for a continuous period of at least 12 months. It is irrelevant who uses the land, as long as the use is a qualifying use.

The qualifying use must commence within 2 years of the transferee becoming entitled to possession. This is normally settlement, but can be earlier by agreement.

Land can satisfy this requirement if it is already used for a qualifying use and following settlement, that use continues for a continuous period of at least 12 months.

We work out qualifying use by the Australian Valuation Property Classification Code (AVPCC) contained in the Valuation Best Practice Specifications Guidelines. Land uses described by the following codes qualify:

  • 210–299 – commercial use such as retail, office spaces and restaurants.
  • 310–399 – industrial use such as factories, warehouses and processing facilities.
  • 400–499 – extractive industries such as mines, quarries, wells and bores.

Example: Vacant land becomes a medical centre

Dr Cini enters into a contract of sale in September 2024 to acquire a vacant commercial site in Bendigo with a dutiable value of $1,000,000. He intends to build a medical centre on the land.

The duty chargeable on the transfer of this property at general rates would be $55,000. As the transaction qualifies for this concession, the duty payable is reduced by 50% to $27,500.

The contract settles in November 2024, and construction of the medical centre finishes in March 2025. In April 2025, Dr Cini begins operating his medical practice. It is still operating from there in May 2026.

Dr Cini satisfies the use requirement because:

  • a medical centre is a qualifying use because it has the AVPCC code 271.3
  • the land is used solely as a medical centre for a continuous period of at least 12 months within the 2-year period immediately after he became entitled to possession of the land.

Varying timeframes and failing to meet the use requirement

If we are satisfied that there is a good reason for failing to meet the use requirement within the specified timeframes, we can:

  • reduce the required period of qualifying use
  • determine that a temporary cessation of qualifying use does not break the continuity of the qualifying use
  • extend the period in which the qualifying use must begin.

An example of when we may exercise this discretion is when a person buys a property intending to develop it for a qualifying use, but encounters planning challenges. We may consider the purchaser’s timeline for development and whether any land development activity for a qualifying use has started, or will start, on the land.

If the qualifying use requirement is not met, you must lodge a written notice with us within 30 days of becoming aware of those circumstances.

Once you have notified us, we will reassess duty on the transfer at the general rates, subject to any other exemption or concession applying.

Regional Victoria

Regional Victoria means the regional councils listed below and the 6 alpine resorts of Mt Baw Baw, Mt Buller, Mt Hotham, Mt Stirling, Falls Creek and Lake Mountain.

  • Alpine Shire Council
  • Ararat Rural City Council
  • Ballarat City Council
  • Bass Coast Shire Council
  • Baw Baw Shire Council
  • Benalla Rural City Council
  • Borough of Queenscliffe
  • Buloke Shire Council
  • Campaspe Shire Council
  • Central Goldfields Shire Council
  • City of Greater Bendigo 
  • Colac Otway Shire Council
  • Corangamite Shire Council
  • East Gippsland Shire Council
  • Gannawarra Shire Council
  • Glenelg Shire Council
  • Golden Plains Shire Council
  • Greater Geelong City Council
  • Greater Shepparton City Council
  • Hepburn Shire Council
  • Hindmarsh Shire Council
  • Horsham Rural City Council
  • Indigo Shire Council
  • Latrobe City Council
  • Loddon Shire Council
  • Macedon Ranges Shire Council
  • Mansfield Shire Council
  • Mildura Rural City Council
  • Mitchell Shire Council
  • Moira Shire Council
  • Moorabool Shire Council
  • Mount Alexander Shire Council
  • Moyne Shire Council
  • Murrindindi Shire Council
  • Northern Grampians Shire Council
  • Pyrenees Shire Council
  • South Gippsland Shire Council
  • Southern Grampians Shire Council
  • Strathbogie Shire Council
  • Surf Coast Shire Council
  • Swan Hill Rural City Council
  • Towong Shire Council
  • Wangaratta Rural City Council
  • Warrnambool City Council
  • Wellington Shire Council
  • West Wimmera Shire Council
  • Wodonga City Council
  • Yarriambiack Shire Council

Apply for the concession

If, under the Duties Act 2000, you are entitled to this duty concession and another concession or an exemption, you must choose which benefit you are seeking to claim.

You must make this choice when you apply for a concession using the Digital Duties Form at the time of lodging the transaction via Duties Online.

Updated: 25 May 2026