Interactive Timeline
The 10-Year CIPT Transition Timeline
Visualise the full lifecycle of a commercial or industrial property under the CIPT reform — from entry transaction through to annual tax.
Scenario Calculator
When Does CIPT Start for Your Property?
Select the year your property entered (or will enter) the reform:
Entry Year
2024
Final stamp duty paid
Transition Ends
2034
10 years from entry
First CIPT
2034
1% of site value p.a.
Step by Step
Key Milestones in the CIPT Lifecycle
Reform Commences
The Commercial and Industrial Property Tax Reform Act 2024 takes effect. Properties can begin entering the reform via qualifying entry transactions.
Entry Transaction
A qualifying dutiable transaction occurs. Stamp duty is paid for the last time on this property. The 10-year transition period clock starts from this date. The SRO issues a property clearance certificate.
Transition Period
No CIPT is payable during the 10-year transition period. Subsequent transfers of the property are generally exempt from stamp duty. The TCV Transition Loan may be drawn down during this period to fund the final stamp duty payment.
Duty-Free Transfers
Once a property enters the reform, subsequent transfers are generally exempt from stamp duty — provided the property retains a qualifying use. Non-standard dealings (e.g. transfers to associated persons for inadequate consideration) may still attract duty.
CIPT Commences
Annual CIPT of 1% of the property's site (unimproved) value becomes payable. For Build-to-Rent properties, the rate is 0.5%. CIPT is assessed by the SRO and is payable in arrears.
CIPT Assessment
The SRO issues an annual CIPT assessment based on the Valuer-General's site value. Taxpayers have 60 days to pay. Objections must be lodged within 60 days of the assessment. The site value used is the value at 1 January of the assessment year.
Key Rules of the Transition Period
10-Year Clock
The transition period runs for exactly 10 years from the entry date. It is not reset by subsequent transactions, subdivisions, or changes of ownership.
Duty Exemption
Subsequent transfers of a property that has entered the reform are generally exempt from stamp duty, provided the property retains a qualifying use.
Change of Use
If a property ceases to have a qualifying use during the transition period, stamp duty becomes payable on the next transfer at the standard rate. The property may re-enter the reform on a later qualifying transaction.
CIPT Rate
The standard CIPT rate is 1% of the property's site (unimproved) value. For Build-to-Rent properties, the rate is 0.5% for a period of 30 years from the BTR commencement date.
Site Value
CIPT is calculated on the site (unimproved) value as determined by the Valuer-General of Victoria at 1 January of the assessment year — not the capital improved value or the purchase price.
Clearance Certificate
The SRO issues a property clearance certificate confirming the property has entered the reform. This certificate is essential for conveyancing and should be obtained as part of due diligence.
Earliest Possible CIPT Commencement Dates
| Entry Year | Transition Ends | CIPT Commences |
|---|---|---|
| 2024 | 2034 | 2034 |
| 2025 | 2035 | 2035 |
| 2026 | 2036 | 2036 |
| 2027 | 2037 | 2037 |
| 2028 | 2038 | 2038 |
| 2029 | 2039 | 2039 |
| 2030 | 2040 | 2040 |
Subdivision Does Not Reset the Clock
Where a parent lot that has entered the reform is subdivided into child lots, each child lot inherits the parent lot's entry date. The 10-year transition period runs from the parent lot's original entry date, not from the date of subdivision. A purchaser of a child lot should always check the entry date of the parent lot.