Commonwealth Bank Statement re collection of Stamp Duty
23 May 2003
The Commonwealth Bank, like most lenders, acts as an agent for State Governments in the collection of Stamp Duty. All amounts collected are passed on to the State Governments and are not retained by the Bank.
Stamp duty arrangements and laws differ from State to State and there can, therefore, be differences in the way that stamp duties are assessed and collected.
In cases where borrowers refinance an existing home loan through a broker and take a Colonial branded home loan, the Bank, acting as a government agent on behalf of the respective Office of State Revenue, calculates and collects stamp duty, as required by the States’ Duties Acts. Commonwealth Bank loans are not affected.
As also required by State Governments, we then ask the client to provide a Statutory Declaration and evidence to support their eligibility for a refund of the amount of the stamp duty they can claim. This is the difference between the stamp duty on the existing and new debt.
We act on the client’s behalf and endeavour to process refunds as soon as they are received. We are not aware of any delay in the processing of refunds and we have not been provided with details of the customers discussed in this story. We cannot, therefore, comment on individual cases. However, if there are any customers who feel that their application for a stamp duty refund has been unduly delayed, they should contact the Bank or their mortgage broker immediately so that we can assist them.