Property purchase tax calculator
Estimate transfer duties, stamp duty, or purchase taxes on property transactions.
Calculator propertyLogic updated January 2026
This calculator estimates the property purchase tax (often called stamp duty or transfer duty) payable on a property purchase. It supports two modes: a flat rate applied to the entire purchase price, or a progressive bracketed schedule where each tier's rate applies only to the portion of the price within that tier — the same way income tax brackets work.
How this is calculated
Formula
Flat: tax = purchasePrice × (taxRatePercent / 100). Tiered: tax = Σ (portion in tier × tier rate / 100)Step-by-step
- If a flat rate is supplied, multiply the full purchase price by the rate to get the tax payable
- If brackets are supplied, sort them ascending by threshold
- For each bracket, calculate the portion of the price between the bracket's threshold and the next bracket's threshold (or the full price if it's the top bracket)
- Multiply that portion by the bracket's rate to get the bracket's contribution
- Sum the contributions across all brackets the price reaches into to get total tax
- If the price falls below a bracket's threshold, that bracket contributes nothing
- Rounding mode
- ROUND_HALF_UP
- Precision
- 20-digit internal precision (Decimal.js), rounded to 2 decimal places for display
- Logic last reviewed
Assumptions & limitations
What this calculator assumes
- Flat rate is applied to the full purchase price when no brackets are provided
- Tiered brackets are progressive — each tier's rate applies to the portion of the price within that tier
- No jurisdiction-specific concessions, surcharges, or exemptions are modelled
- Tax is assumed payable at settlement in full
- Brackets are sorted ascending by threshold before computation
What this calculator doesn’t account for
- Does not include first-home-buyer concessions, exemptions, or rebates
- Does not include investor or foreign-buyer surcharges
- Does not model off-the-plan, vacant land, or new-build discounts
- Does not include other settlement costs (title transfer fees, mortgage registration, conveyancing)
- Does not model split contracts or part-purchase arrangements
Worked example
A buyer purchases a property for $600,000 in a jurisdiction with progressive brackets: 1% on the first $200,000, 3% on $200,000–$500,000, 5% on amounts above $500,000.
| Input | Value |
|---|---|
| Purchase price | $600,000 |
| Bracket 1 | $0–$200,000 at 1% |
| Bracket 2 | $200,000–$500,000 at 3% |
| Bracket 3 | $500,000+ at 5% |
Total purchase tax: $16,000
$0–$200,000 at 1% = $2,000. $200,000–$500,000 at 3% = $9,000. $500,000–$600,000 at 5% = $5,000. Total = $16,000. Note this is roughly 2.7% of the purchase price overall, even though the top marginal rate is 5% — that's the progressive structure: only the slice above $500,000 pays the top rate.
Frequently asked questions
What is stamp duty?
Stamp duty (also called transfer duty, conveyance duty, or purchase tax depending on jurisdiction) is a tax charged on property transfers. It's typically paid by the buyer at settlement and calculated as a percentage of the purchase price, often using progressive brackets so larger purchases pay higher effective rates. Rates and concessions vary widely between jurisdictions.
How is stamp duty calculated?
Most jurisdictions use either a flat rate (price × rate) or progressive brackets where each tier of the price is taxed at a different rate. Some jurisdictions add fixed dollar amounts at certain thresholds. This calculator handles flat and progressive bracket models — enter your jurisdiction's brackets to model the exact structure.
Do first-home buyers get exemptions?
Many jurisdictions offer concessions or full exemptions for first-home buyers, often capped at a price threshold. This calculator doesn't model jurisdiction-specific concessions, so first-home buyers should check their local rules — the actual amount payable may be substantially lower than this calculator's flat or progressive estimate.
Can stamp duty be added to the mortgage?
Some lenders allow you to capitalise stamp duty into the loan (effectively borrowing for it), but this typically increases your loan-to-value ratio and may trigger lenders mortgage insurance. The cleaner approach is to budget for stamp duty as a cash settlement cost on top of your deposit. Use this calculator to size that cash component before you start the property search.
Why are tiered rates progressive?
Progressive brackets mean only the portion of the price within each tier pays that tier's rate, not the whole price. So a $600,000 purchase in a market with a 5% top tier might pay an effective rate of 2–3%, not 5%. This avoids cliff effects where a single dollar above a threshold would dramatically increase the tax — and it's why headline marginal rates can look high even when the effective burden is moderate.
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