Land Use Victoria - Guide to submitting a paper transaction using PEXA (section 104)

[JonTeh]

Currently in Victoria, more than 99% of dealings are able to be lodged electronically – but there are some exceptions (e.g. folios ineligible for electronic lodgement, NICO transfer, MCP) where paper lodgement is still required. Due to the current restrictions in place as a result of COVID-19 (Coronavirus), to support Victorian members, Land Use Victoria and PEXA have worked together to build a solution to facilitate lodgement of scanned paper dealings via PEXA. This is in lieu of submitting documents outside of electronic scope for physical lodgement at the Victorian Land Registry.

It’s important to note that while PEXA delivers the document(s) to the Land Registry, it has no involvement in the lodgement process as part of this solution. This remains the responsibility of the Land Registry and is subject to its criteria. Provided the dealing meets the eligibility criteria, it will be assessed in line with the standard lodging criteria and timeframe for that intended transaction/dealing.

Functionality overview

• All Victorian paper lodgements will be able to be lodged through the PEXA platform using one residual document: RECORD – NOTICE – Transfer of Land Act – Section 104.
• Land Use Victoria will manually examine the lodgement and bill the relevant party outside the PEXA process.
• A financial settlement may also be orchestrated.
• All dutiable transfers must still obtain an assessment of duty from the SRO, post settlement as per the normal paper settlement practice. The lodgement in PEXA must not occur unless the transaction is finalised (or paid for manual assessments) in DOL.
• The Subscriber can then use this residual document to submit their documents to VLRS.

More information on how to complete this residual document, including screenshots, can be found below.

Eligibility Criteria (From Customer Information Bulletin 200)

To lodge this transaction type you must meet the eligibility criteria outlined below: 

• Be a subscriber to PEXA with an active PEXA enabled LUV customer code.
• Have a LUV customer code (same code as above) which is Direct Debit enabled and have selected ‘Direct Debit’ as the payment option.
  • How to setup direct debit with LUV:

          1. Navigate to https://www.land.vic.gov.au/land-registration/for-professionals/lodging-in-paper

    2. Scrol down to How to pay
    3. Click the link 'Direct Debit request form'
    4. Complete the form and email it to advice.enquiries@victorianlrs.com.au
• Have an attached scanned transaction that is eligible for paper-based lodgement (see https://www.propertyandlandtitles.vic.gov.au/forms-guides-and-fees/electronic-lodgment/key-documenta...) [For example, if the attachment contains a dealing that could be normally lodged through PEXA (for example a mortgage or a transfer without a valid exception), then it would not be considered as a dealing valid to be lodged through this process]. Note: Memorandum of Common Provisions and paper based administrative notices can be accepted through this process.
• To produce a readable copy, the quality of attached documents is critical. Dealings or instruments of poor quality will not be accepted.
• Have attached a ‘Request to accept paper lodgement’ form available at here for any mandated Instruments that must otherwise be lodged electronically using an Electronic Lodgement Network (ELN).
• Have attached a Lodging Summary Form (please find it under the Lodging at Land Use Victoria > Lodging Requirements tab). It is important to complete this form to confirm lodgement order, reconcile fees and include a contact email address for correspondence. 
• The single applicant in the generic dealing must be a transacting party of the attached paper transactions represented by the lodging subscriber.
• The controlling party of the Certificate of Title must choose to receive an Electronic Certificate of Title

If the dealing does not meet the above criteria, then it will be refused lodgement and the subscriber will receive a notice setting out the reason for refusal.

FAQs

• How much will this lodgement cost? The PEXA fees are $42.79 or $57.20 (with financial settlement) and while the lodgement fee for the dealing carrying the attachment (the TLA Section 104 doc) will be $0.00, lodgement fees for the actual scanned dealing(s) will be calculated based upon the scanned dealings in the attachments, then billed (and collected via Direct Debit) directly by LUV outside of the PEXA workspace.
• How do I pay the LUV fees? Via direct debit. Ensure your LUV customer code attached to your PEXA registration is enabled for Direct Debit with LUV. You can find your LUV customer code in the lodgement instructions for this document. Ensure this is setup prior to lodging the Section 104 document.
• Can I complete Water lodgements? No, Water Act Lodgements cannot currently be lodged via the 104
• Who can lodge this document? Typically, the lodging party will lodge via PEXA or any party to the lodgement that participants are comfortable with to lodge the documents.
• Can I settle financially in the same workspace? Yes, unless a dealing set is dutiable. All dutiable transfers must still obtain an assessment of duty from the SRO, post settlement as per the normal paper settlement practice. The lodgement in PEXA must not occur unless the transaction is finalised (or paid for manual assessments) in DOL. We recommend that you do not settle financially in the workspace when lodging a transfer.
• Will this document register automatically? No, if the Generic dealing meets the eligibility criteria the transaction will be assessed via the normal lodging criteria for that intended transaction/dealing. The document status within PEXA will show ‘Withdrawn’, the lodging party can then expect to receive a lodgement summary from Land Use Victoria within 2 business days to the email address noted within your attached lodgement.

• My lodgement was refused. What does this mean for my fee and re-lodgement? While PEXA transmits the document(s) to the Land Registry, it has no involvement in the lodgement process. This remains the responsibility of the Land Registry and its criteria. The PEXA fee charged covers the delivery of the document(s). If lodgement is refused, the fee will not be refunded as PEXA has completed its delivery of the document(s). Re-submission of document(s) requires errors to be amended in preparation and another transmission from PEXA to the Land Registry, which will incur the set PEXA fee for delivery.

Before lodging this document ensure:

1. You have a direct debit setup with Land Use Victoria, this is separate to your PEXA direct debit. (See above for instructions)

2. If the title(s) you are transacting on require a nomination, ensure you have nominated your title(s) to 'paper instrument' prior to lodging the s104. (Instructions below)

3. Attached PDF to the s104 is not ‘security protected’. 

Create a RECORD – NOTICE – Transfer of Land Act – Section 104

1. Create a Workspace with the following settings:
   
   • To Deal with an Interest; or
   • Incoming Mortgagee (for financial institutions)

                                       

              ***IMPORTANT*** 
You must open the workspace using only ONE of  the below two titles:

• 12207/425 must be used for any instrument type that can be lodged electronically using SPEAR, including plans of subdivision, other plans under the Subdivision Act 1988 and other applications that involve a plan of survey. For more eligible instrument types, please refer to their website (https://www.spear.land.vic.gov.au/spear/pages/about/what-is-spear/spear-dealing-types.shtml)
• 12198/325 must be used for all other instrument types.
  

• Financial Settlement required? No, unless funds are required to be exchanged at the time of lodgement. All dutiable transfers must still obtain an assessment of duty from the SRO, post settlement as per the normal paper settlement practice. The lodgement in PEXA must not occur unless the transaction is finalised (or paid for manual assessments) in DOL. 
  • We recommend that you do not settle financially in the workspace when lodging a transfer.

• Complete the other fields as required.
  
  
1. See above for Role type
2. Manage parties. (Representative Subscribers Only)
• Create one party you are lodging on behalf of. This party will be the Applicant in the document (regardless if you had selected To Deal with an Interest or Incoming Mortgagee). Only one applicant is required.
• The Party will require a DOB and Address if individual or ABN/ACN and address if organisation
3. Create RECORD – NOTICE – Transfer of Land Act – Section 104 Residual Document.
1. Navigate to the Document screen.
2. Select Create Document > Other Documents.
3. Start typing the name of the document (e.g. Section 104)
4. Select RECORD – NOTICE – Transfer of Land Act – Section 104 from the list and click Proceed.
5. Select the extent of land as ‘Whole’
6. Select your party as the Applicant
7. Additional Information – the lodging party must make the following certification and enter: The certifier certifies that the copy instrument submitted is a true copy of the original.
8. Complete the form and Save it when you're done.
4. Upload and Attach File to the document. Please ensure:

1. The complete paper lodgement is in one PDF (Max size of attachment 100MB)
2. The attached PDF is not ‘security protected’. 
3. Attach file as: Supporting Document

How to Upload and attach your paper lodgement file:

1. Navigate to the Files screen.
2. Click Upload File and select the file you'd like to upload.
3. Click Upload when done.
4. On the Files screen, from the Actions column, select Attach next to the file you want to attach to the instrument.
5. Click Attach.
6. Edit the Lodgement Instructions:
7. From the Actions column, select Edit next to the Lodgement Instructions.
8. Check the details and then click Save.
9. View, Sign, and Lodge the documents:
   We recommend that you view the documents before you sign and submit it for lodgement. 

 Electronic Certificate of Titles

• If a nomination is required for your lodgement and the title(s) is an eCT, please lodge this in a separate workspace, exactly how you would do it when lodging in paper previously.
• If the title is a pCT, you will need to convert the title to an eCT by emailing the Application to convert a paper Certificate of Title to an electronic Certificate of Title CPCT  form on the LUV website to advice.enquiries@victorianlrs.com.au. Once the title is converted to an eCT you can nominate it to the paper lodgement via PEXA also in a separate workspace.
• After your lodgement is received and the document status within PEXA will show ‘withdrawn’, expect the lodgement summary from Land Victoria within 2 business days.

Document Status once lodged

If you have any questions regarding this functionality, please reach out to us or leave a comment below.

Kind regards,
Jonathan

[cstewart]

@JonTeh This is wonderful news.  We experience difficulty every time we try to lodge a S173 paper dealing (over part land eg. unregistered plan in play) as it doesn't meet PEXA requirements.  We have to go to the LTO and experience push back every time... 

Now, it appears that problem is solved so it will make things so much easier in those circumstances.

[JackCave]

Hi JohnTeh,

Hope you are well and keeping safe.

I've been attempting to run some test scenarios with the new process above to see how it all works but I have no ability still to create the generic residual document (only Mortgage, Nomination & Withdrawal of Nomination are available in the document dropdown).

Further to this, in terms of the party details I cannot find a field to input a DOB which is stated below as a requirements for individuals.

Are you able to confirm if the functionality is live and available and also confirm regarding the DOB requirement? Workspace reference for my current test is PEXA204392461.

Best Regards,

Jack

[JonTeh]

Hi @JackCave 

Thanks for the question, good to get it cleared up here.

1. Yes, this functionality is available now, I would speak to your PEXA Account Manager to ensure you have the residual documents switched on

2. As you are representing a financial institution you are restricted to only representing yourself in a workspace. If you create an individual party (ie John Smith) you will be unable to input a DOB as you do not represent this party. For this generic residual document you could always be representing Bankwest, that would not be an issue as the attached documents would be the actual lodgement at the Land Registry, not the information you have input into PEXA for this document.

Hope that helps

[stephec0]

Hi @JonTeh,

Would it be possible for lodging parties to receive lodgment receipts (for proof of payment) via email rather than by mail as per the current process? Given the current COVID conditions we'd like to receive this electronically if possible. This would also be very helpful for us complete a timely reconciliation of our fees account.

Regards,

Corey Stephens

[cstewart]

@stephec0  Great suggestion; I to have problems with the delay in reconciliation.... My accounts department usually has to chase up by general email to the firm, as I have not yet received the mail notification prior to the direct debit taking place.

[JonTeh]

Hi @stephec0 and @cstewart 

Thanks for the suggestion regarding the Lodgement Summary from the Victorian Land Registry.

Currently the Land Registry have an automated process in place to batch print and mail the Lodgement Summary for "usual" PEXA lodgements. Your s104 Lodgements on the other hand will email a Lodgement Summary as this is a manual process.

[cstewart]

Thank you @JonTeh 

An email process is fine, but what email address is chosen by Land Use Victoria.  Currently we have not received any emails for the s104 lodgements I  have completed.

[Keelins]

Hi Jonathan, 

This walk through for paper lodgement was really helpful.  Thanks so much.

Just a quick question, I represent the two proprietors on title and have entered each as a Party.  When completing the transfer notice however, I can only allocate one party to be the applicant when there is actually two.  Does this matter given that the pdf of the paper instrument has both parties listed as the Applicant?

Thanks for your help.

Regards, Keelins

[MeganTenn]

Hi @Keelins,

The Land Registry recently made a change, so only one Applicant/lodging party needs to be added to the Participants screen in the workspace for the purpose of completing the S104 document.  The paper instrument(s) that you attach to the S104 will need all applicable Applicants/lodging parties.

Hope this helps!