Stamp duty
The Australian Institute of Conveyancers WA Division Inc advises that settlement agents are not allowed to "carry" or "cover" their client's stamp duty as this is a direct breach of the Trust Account requirements of the Settlement Agents Act.
Payment of stamp duty is the responsibility of the purchaser, not their settlement agent and, as such, the purchasers must make alternative arrangements to pay the duty.
"Covering" of a client's stamp duty using other clients' funds from the trust account may result in a Board inquiry and the loss of the settlement agent's licence.
The Office of State Revenue have issued a directive to settlement agents saying that "In house" or Collections By Return stamp duty procedures are not permitted without first having received the stamp duty monies from their client.
If you have any further queries, please contact ACI (WA Division) or the Settlement Agents Supervisory Board.