Revenue NSW’s compliance team is protecting the integrity of the NSW Government’s first-home buyers program, with $9.44 million recovered following highly-targeted investigations to stop the small minority of applicants attempting to rort the system.
In its first year, 33,365 first-home buyers in the expanded program have paid no stamp duty, or discounted stamp duty, when buying their first home. The program’s expanded thresholds mean that first-home buyers purchasing for under $1 million pay either no, or discounted, stamp duty.
Under the program’s rules, a first-home buyer must move into the property within a year and live there continuously for a full year.
In 2023/24, 718 targeted investigations were launched, resulting in 422 individuals paying back some or all of their stamp duty discount. This represents fewer than 1.3% of all successful applications to the program.
“We’re very proud of our compliance team and the excellent work they do,” said Chief Commissioner of State Revenue, Scott Johnston.
“Revenue NSW’s compliance programs are essential to maintaining the integrity of our programs.
“Our team works tirelessly to make sure the first-home buyers program is accessible to everyone who needs it, and that people who aren’t eligible don’t try to game the system.”
Investigations into non-compliance are not randomly selected and only occur where Revenue NSW’s sophisticated data matching program makes an initial flag.
Data is absorbed from a diverse range of sources, including the NSW Government Rental Bonds Board, along with Commonwealth Government agencies, such as the Department of Home Affairs and the Australian Taxation Office.
Some investigations also begin after a referral from tenants in properties. For example, this could happen after a tenant is asked to keep a utility bill in the owner’s name, raising their suspicions.
Those in Revenue NSW’s compliance team have decades of collective experience and come from a range of backgrounds from the public and private sector, specialising in support and investigations.
“Revenue NSW’s compliance team is working hard to make sure that only those eligible for the scheme are able to use it,” said Minister for Finance, Courtney Houssos.
“We want as many people as possible to access the scheme – but they have to stick to the rules. It keeps the program fair and accessible for everyone.”
