Commissioner of State Taxation v Perpetual Corporate Trust Limited

The Commissioner of State Taxation (the appellant) appealed a decision of the Supreme Court of South Australia, which had allowed an appeal by Perpetual Corporate Trust Limited (the respondent) against an assessment of stamp duty and a foreign ownership surcharge. The dispute concerned the interpretation and application of provisions within the Stamp Duties Act 1923 (SA) (SDA), specifically whether the Waymouth Property, used for student accommodation, qualified for stamp duty reductions and exemption from the foreign ownership surcharge.

The primary legal issues before the court were whether the Waymouth Property constituted "qualifying land" for the purposes of section 105A of the SDA, and whether its use as student accommodation fell within the exclusion for "residential purposes" under sections 105A(2)(a) and 72(8) of the SDA. The appellant contended that the property was used for residential purposes and thus ineligible for the stamp duty reduction and potentially subject to the foreign ownership surcharge, while the respondent argued for its classification as qualifying land.

The court reasoned that the Waymouth Property was used for the commercial purpose of providing accommodation to students, which, based on the provided information and RevenueSA's guidance, constituted "qualifying land" for stamp duty purposes. The court found that the accommodation, while residential in nature, was provided on a commercial basis with short-term booking options, differentiating it from long-term residential use. The court concluded that the appellant had not demonstrated that the primary judge erred in finding the land to be qualifying land and not used for "residential purposes" in the exclusionary sense.

Consequently, the appeal was dismissed, upholding the Supreme Court's decision that no stamp duty or foreign ownership surcharge was payable on the transfer of the Waymouth Property.