What is Transfer Duty? (Terminology) (Government Tax)

This is the tax payable to the Receiver of Revenue (Government) on the registration of transfer of immovable property. The amount of the transfer duty is determined according to the value of the property and the entity which buys the property such as an individual, a company, a trust or a closed corporation. If the purchase price includes VAT that is, when the seller (eg. developer) is a VAT vendor, no transfer duty is payable.

Who are exempted from paying Transfer Duty ?

A spouse who acquired property from their deceased spouse; and in terms of a divorce, the spouse who has been awarded the property does not have to pay transfer duty when transferred into his/her name.