Australian stamp duty receipts have almost doubled in six years, rising to $34.4 billion in 2024/25 as rising property prices did more of the heavy lifting than housing turnover.
Stamp duty revenue rose 12 per cent over the past financial year, while property sales volumes increased 5 per cent over the same period according to research from Money.com.au conducted by Primara Research using Australian Bureau of Statistics data.
The gap between transaction activity and government revenue has widened across several states, with price growth increasingly driving collections.
Western Australia recorded a 29 per cent rise in stamp duty revenue over three years despite a 3 per cent fall in property sales. South Australia saw revenue increase 19 per cent over the same period, while transactions remained 11 per cent below peak levels.
Based on ABS transfer data, the average stamp duty paid per transaction in 2024/25 was $61,714 nationally.
By state:
- New South Wales: $73,855
- Western Australia: $63,860
- Victoria: $62,355
- Northern Territory: $53,902
- Queensland: $53,268
- South Australia: $45,911
- ACT: $38,399
- Tasmania: $31,852
In New South Wales, a median-priced home at $1.52 million attracts about $65,963 in stamp duty. At $3.04 million, that rises to $149,563 – a 126 per cent increase on a 100 per cent rise in price.
Peter Drennan, Head of Research and Data at Primara Research, said the structure of stamp duty means revenue growth is closely tied to price movements rather than transaction volumes.
“Stamp duty revenue has nearly doubled in six years, and the progressive nature of the tax means governments benefit disproportionately every time prices rise,” he said.
“The issue is buyers aren’t just paying more because prices are higher. They’re being pushed into higher brackets where the effective rate increases, so the tax bill grows faster than the price tag.”
He said the divergence between prices, sales volumes and revenue is now clearly visible across multiple states.
“In Western Australia, revenue is up 29 per cent over three years despite fewer transactions,” he said.
“South Australia is up 19 per cent over the same period, while sales remain well below peak levels.”
Mr Drennan said the structure of the tax is also shaping affordability outcomes in higher-value markets.
“Property is already expensive and difficult to access in Australia, and stamp duty adds a substantial upfront cost on top of that,” he said.
“It also creates a barrier to selling, because anyone looking to downsize or right-size still has to buy somewhere else and pay stamp duty again.”
“That dynamic may be contributing to older Australians staying in homes larger than they need, with implications for the supply of family-sized housing.”
He said the cost burden is also influencing mobility.
“We’re seeing more people choose to renovate rather than move, which works for those who can afford it,” he said.
“But for families trying to move from an apartment to a house, that option isn’t available. The stamp duty bill becomes another barrier on top of the price gap they’re already trying to bridge.”
He also said the progressive structure of the tax amplifies costs in higher-value markets.
“At higher property values, buyers are pushed into higher brackets, which increases the effective rate applied to marginal dollars,” he said.
“In the most expensive markets, many buyers are already at the limit of what’s accessible to them. Stamp duty adds to that pressure, and the progressive structure means it compounds faster than prices do.”
“That is why stamp duty revenue continues to grow faster than property prices, even when transaction volumes are relatively flat.”