Origin of this document
This document was created by the State Revenue Office of Victoria (SRO). It can also be accessed through the SRO website (see under "Links" below).
Purpose of this document
This document is used to make application for the Principal Place of Residence (PPR) Concession.
Completing this document
This document should be completed in accordance with the instructions attached to it.
Submitting this document
Whoever takes charge of the Transfer of Land and other documents at settlement will also submit your PPR document on your behalf. If you are borrowing for this purchase, the PPR will be submitted by your lender.
Submitting this document through your lender
PPR concession is claimed AFTER settlement
At settlement your lender will collect all documents, and will arrange for the payment of stamp duty to the State Revenue Office. It is at this time that your claim for the Principal Place of Residence Concession is lodged.
Unlike the First Home Owner Grant (FHOG), the PPR cannot be used to offset the stamp duty payable on the purchaser price of the property. Your lender will calculate your stamp duty liability without taking into account the PPR, so you must have enough funds available to cover the full stamp duty liability. When your lender presents the PPR at the State Revenue Office (SRO) after settlement, the SRO will take the PPR concession into account and assess stamp duty at the reduced rate. Your lender will then refund the concession amount to you.
The reason most lenders will not take the PPR into account when deducting stamp duty from the loan amount at settlement is that, unlike the FHOG, the lender cannot obtain the concession prior to settlement. If the PPR has not been completed correctly the SRO will not allow the concession, and the lender will not have sufficient stamp duty funds.
Prepare your PPR early
It is most important that you complete the document in full, deliver it to your lender or mortgage broker with your mortgage documents, and have your lender confirm that it is satisfied with the details you have provided. (It is common for lenders to discover that the names appearing in the mortgage documents differ from the names the borrower has entered in the PPR application - having the lender check the PPR application early can prevent delays in having your PPR processed.)
If your lender will not accept the PPR from you
If your lender or mortgage broker will not accept the PPR prior to settlement you may have to send it to your lawyer/conveyancer, who will deliver it to the lender at settlement. Your lender will then present the PPR to the SRO when it submits the Transfer of Land and Goods Declaration for assessment of stamp duty as described above.
Submitting this document through your lawyer/conveyancer
If you are borrowing funds for settlement see "Submitting this document through your lender" above. If you do not have a lender involved in your purchase your lawyer or conveyancer will receive the Transfer of Land and other documents at settlement, and will arrange for stamping and lodging on your behalf. You must ensure that you have completed your PPR and delivered it to your lawyer/conveyancer well before settlement, so that it can be checked and OK'd. You must also ensure that you have sufficient funds available to cover the full amount of stamp duty, in case the PPR is rejected by the SRO in the first instance.
Submitting this document yourself
If you do not submit your PPR through your lender or lawyer/conveyancer, you may still apply for a refund within 5 years from the date on which your stamp duty was paid. However, this may be problematic as the State Revenue Office will required a photocopy of the stamped Transfer of Land showing the amount and the date the stamp duty was paid, and the Victoria Land Titles Office dealing numbers. This means that you will have to obtain a copy from the Land Titles Office, as neither your lender nor your lawyer/conveyancer will have a copy of the Transfer of Land with all of these details recorded on it.