on 11-07-2018 09:39 AM
Hi PEXA Community
We are slowly working out how to use PEXA - conveyancing is only a small portion of our business.
We have been instructed to complete a Love & Affection transfer.
DE-FACTO 1 solely on Title.
DE-FACTO 2 solely on Title.
Is this possible through PEXA? Step by Step guide would be helpful!
Thanks in advance!
on 11-07-2018 12:01 PM
This transaction is most certainly supported in PEXA.
SUMMARY - DETAIL STEP BY STEP BELOW
In the jurisdiction of VIC, the Registrar does not permit part tenancy transfer. So the model is 'All OFF, ALL On, meaning all proprietor parties must relinquish their interest and all incoming proprietors, even if they are the parties that relinquished, must now receive their new interest.
To prevent a party who is actually remaining on title being subject to duty, PEXA enables a PoT (vendor) Party to also act a IP (Purchaser party) In this manner the SRO can see the PoT and IP are the same party and will not question the duty amount payable.
For 'Love and Affection' transfers, the PEXA Transfer of Land document allows selection of 'Consideration Type' option of 'Non Monetary.' This affirms to the OSR that the transfer is for $0 consideration.
Please note however, that duty is calculated in the SRO platform, Duties On Line. But as a PEXA user you must ensure that what is entered into PEXA matches with Duties On Line. PEXA passes data to SRO. If there is a mismatch, the SRO will return an error to PEXA.
Please let me @GeorgePolus know how you get on. If you need assistance I will arrange one of our PEXA Virtual or PEXA direct specialist to assist you.