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Navigating Stamp Duty Limits: A Comprehensive Guide for Homebuyers

Written by

Bhavesh Ramburn

in

Navigating Stamp Duty Limits: A Crucial Step in Smarter Property Purchases

Making a sizeable investment in a property can be a daunting task, with one crucial aspect often overlooked – stamp duty limits. Do you know that Australia’s stamp duty rates are complex and not equal across the country? What are the duty limits for stamp duty on property purchases, and how can homebuyers avoid getting caught in the web of financial pitfalls?

In this in-depth guide, we’ll delve into the intricacies of stamp duty limits, explaining how they affect your property purchase and providing valuable insights to help you navigate the complex financial aspect of buying a home. By grasping the fundamentals of stamp duty limits, you’ll be empowered to make informed decisions about your property purchase and sidestep costly surprises. Our comprehensive guide will walk you through the key takeaways, simplifying the often-intimidating process of understanding stamp duty limits.

Introduction to Stamp Duty Limits

Understanding Stamp Duty Limits: Navigating the Complexities of Property Purchases

When making a significant investment in a property, it’s essential to understand the often-overlooked aspect of stamp duty limits. This comprehensive guide will walk you through the intricacies of stamp duty, explaining how these limits affect your property purchase and helping you navigate the financial pitfalls that come with it. By grasping the fundamentals of stamp duty limits, you’ll be better equipped to make informed decisions about your property purchase and avoid costly surprises.

What are Stamp Duty Limits?

Stamp duty limits refer to the maximum values of property transactions that are subject to a certain rate of stamp duty in Australia. In other words, it’s a tax levied on the purchase of property, and the amount of duty payable depends on the value of the property. The more you pay for a property, the higher the stamp duty you’ll need to pay.

For instance, the Australian government has implemented various stamp duty rates that vary by state and territory. These rates are designed to raise revenue from property transactions and discourage speculators from buying and selling properties rapidly. However, some states offer concessions or exemptions for first-home buyers, which can help them reduce the financial burden of buying a property.

According to the Australian Taxation Office (ATO), stamp duty limits are subject to change, so it’s essential to check the current rates before making a property purchase. You can visit the ATO website or contact your local real estate agent to get the most up-to-date information on stamp duty limits in your area.

It’s also worth noting that some states in Australia have different stamp duty rates for different types of properties. For example, in New South Wales (NSW), the stamp duty rate is 5.5% for properties over $2 million, whereas in Victoria (Vic), the stamp duty rate is 5.5% for properties over $1.2 million. These rates are subject to change, so it’s crucial to research the specific stamp duty rates and concessions available in your state or territory.

Stamp Duty Rates by State and Territory

Here’s a brief overview of the stamp duty rates in some states and territories in Australia:

| State/Territory | Stamp Duty Rate | Exemptions/Concessions for First-Home Buyers |
| — | — | — |
| NSW | 5.5% for properties over $2 million | No state concessions, but some properties may be eligible for a stamp duty exemption |
| Vic | 5.5% for properties over $1.2 million | Yes, first-home buyers may be eligible for a stamp duty exemption |
| Queensland | 5.5% for properties over $600,000 | Yes, first-home buyers may be eligible for a QST concession |
| South Australia | 4.25% for properties over $280,000 | Yes, first-home buyers may be eligible for a stamp duty concession |

Please note that these rates and concessions are subject to change, so it’s essential to check the current rates before making a property purchase.

Key Takeaways

  • Stamp duty limits vary by state and territory in Australia.
  • The amount of stamp duty payable depends on the value of the property.
  • Stamp duty rates vary by state and territory.
  • Some states offer concessions or exemptions for first-home buyers.
  • It’s essential to check the current stamp duty rates and concessions before making a property purchase.

By understanding the stamp duty limits and rates in your state or territory, you can navigate the financial aspects of buying a property with confidence. Remember to research the specific stamp duty rates and concessions available in your area, and consult with a financial advisor or a real estate agent if you have any questions or concerns.

Why is Understanding Stamp Duty Limits Important?

Understanding the intricacies of stamp duty limits is a crucial aspect of buying a property in Australia. Stamp duty, also known as stamp duty tax, is a significant expense that homebuyers need to consider when purchasing a property 1. The amount of stamp duty payable on a property purchase depends on its value, with rates varying by state and territory in Australia 2.

It’s essential to understand the current stamp duty rates and concessions

Stamp duty limits and rates can change frequently, affecting the amount of duty a homebuyer needs to pay. To avoid unexpected expenses, it’s essential to understand the current stamp duty rates and concessions in your state or territory. For instance, the rates for New South Wales (NSW) stand at 5.5% for properties valued over $2 million 3.likewise, in Victoria, the rates are 5.5% for properties valued over $1.2 million 3. It is crucial to stay up-to-date with the latest information to avoid confusion and potential financial penalties.

Research the specific stamp duty rates and concessions available in your state or territory

Each state and territory in Australia has its set of stamp duty rates and concessions, so it’s crucial to conduct thorough research to determine the applicable rates and concessions for your specific property purchase. Research may involve consulting your state’s revenue department website or seeking advice from a licensed conveyancer or solicitor. By understanding the specific stamp duty rates and concessions, you can make informed decisions about your property purchase and minimize your financial burden.

Use a stamp duty calculator to estimate the amount of duty payable

Estimating the amount of stamp duty payable can be complex, with various factors influencing the final amount. A stamp duty calculator can simplify the process by taking into consideration the purchase price, location, and other relevant factors. To find the most reliable stamp duty calculator for your state or territory, visit your state’s revenue department website or seek guidance from a licensing conveyancer or legal practitioner.

Don’t hesitate to seek professional advice if you’re unsure about stamp duty or the appeals process

If you’re unsure about stamp duty or the appeals process, it’s highly recommended to seek the advice of a licensed conveyancer or solicitor. They can help navigate the complexities of stamp duty and provide guidance on the best course of action to take. Always consult the official government websites, including links mentioned above for the most accurate information about your area. Keep an eye on their website for any updates or changes for more information on their web site.

References:

[1] Australian Government, Legislation.gov.au:https://www.legislation.gov.au/Series/L17481

[2] Realestate.com.au:https://www.realestate.com.au/news/stamp-duty-in-australia-2022-2023

[3] NSW Service: https://www.service.nsw.gov.au/calculate-stamp-duty#interest-rates-table

[3] State Revenue Office (Victoria):https://www.sro.vic.gov.au/fees-forms/calculate-stamp-duty-other-duty

Understanding Stamp Duty Exemptions and Concessions

Navigating stamp duty limits can be a complex and daunting task for homebuyers. However, with this comprehensive guide, you’ll learn how to uncover the various exemptions and concessions available to assist you in avoiding financial pitfalls. In this section, we will delve into the world of stamp duty exemptions and concessions, exploring the specific options and eligibility criteria to help you navigate the process with confidence and make informed decisions.

Stamp Duty Exemptions and Concessions

Buying your first home can be a daunting experience, especially when it comes to understanding the various taxes and fees associated with the purchase process. In Australia, stamp duty is a significant component of the homebuying process, but there are exemptions and concessions available to help alleviate some of the financial burden. In this section, we will delve into the world of stamp duty exemptions and concessions, highlighting the key points you need to know to navigate this complex process.

Stamp Duty Exemptions

Some states and territories in Australia offer exemptions or concessions for first-home buyers. These exemptions or concessions aim to make it easier for Australians to enter the property market and own their first home. However, eligibility criteria may apply, and it is essential to research the specific exemptions and concessions available in your state or territory. For instance, some states may require first-home buyers to meet certain income limits or residency requirements to be eligible for an exemption.

In some regions, pensioners or seniors may also be eligible for concessions on stamp duty. For example, New South Wales offers a “First Home Owner Grant” (FHOG) to eligible first-home buyers, which includes full or partial exemptions from stamp duty. Similarly, Victoria’s First Home Owner Grant Scheme provides a grant to eligible first-home buyers, which includes a stamp duty concession.

Concessions for Certain Types of Properties

Stamp duty may also be waived or reduced for certain types of properties, such as new homes. For instance, the Australian Capital Territory (ACT) offers a “New Home Concession” for eligible first-home buyers, which includes a 10% exemption from stamp duty on new homes valued up to $600,000. Similarly, the Queensland government offers a “First Home Concession” for new homes valued up to $650,000.

Researching Exemptions and Concessions

To take advantage of stamp duty exemptions and concessions, it is essential to research the specific exemptions and concessions available in your state or territory. This can be done through the relevant state or territory government’s website or by contacting their consumer affairs department. You should also be aware of the eligibility criteria for each type of exemption or concession and gather all necessary documentation to support your application.

To learn more about the stamp duty exemptions and concessions available in your state or territory, visit the following websites:

Remember to verify the details of the exemptions and concessions with the relevant authorities before making any decisions.

By understanding the different stamp duty exemptions and concessions available, you can navigate the homebuying process with confidence and avoid any potential financial pitfalls. Remember to research thoroughly and seek professional advice if you’re unsure about the exemptions or concessions available to you.

Researching Exemptions and Concessions

When it comes to stamp duty, it’s essential to explore available exemptions and concessions that can help alleviate the financial burden of the duty.stamp-duty-taxes-on-properties ^1 In this section, we’ll delve into the process of researching exemptions and concessions that can be beneficial to first-home buyers, pensioners, and seniors.

Checking the Specific Exemptions and Concessions

Before delving into the application process for stamp duty exemptions and concessions, it’s crucial to understand the specific exemptions and concessions available in your state or territory. For instance, in Victoria, first-home buyers may be eligible for a refund of the stamp duty for off-the-plan apartments and new homes, but they must meet specific eligibility criteria, such as purchasing a property for an amount not exceeding $1 million. ^2 In NSW, on the other hand, the stamp duty on first-home buyer homes is fixed at $27,000 for the purchase of existing homes, which is non-rebatable. ^3

Understanding Eligibility Criteria

Carefully consider the eligibility criteria for each type of exemption or concession. These criteria may include:

  • Income limits: Some exemptions and concessions come with income limits, above which you may not be eligible. For instance, in Western Australia, first-home buyers with an annual household income of $300,000 or less may be eligible for an exemption. [^4]
  • Residency requirements: You may be required to be a resident of the state or territory for a certain period to be eligible for exemptions and concessions.
  • Other requirements: Some exemptions and concessions may have additional requirements, such as requirements for the purchase price or property type.

Researching Documentation Required

Before applying for exemptions or concessions, research the documentation required. This may include:

  • Identification documents: Be prepared to provide identification documents, such as a driver’s license, passport, or proof of age.
  • Property information: Provide information about the property you’re purchasing, including the contract of sale and proof of ownership.
  • Supporting documents: You may be required to provide supporting documents, such as proof of income or employment.

By taking the time to understand the specific exemptions and concessions available in your state or territory and the eligibility criteria and documentation required, you can ensure a smoother process when applying for exemptions or concessions. It’s always a good idea to consult with a state government website like the New South Wales Government website for the most updated and accurate information on stamp duty. [^5]

Helpful Resources

  • [Stamp Duty Exemptions and Concessions by State and Territory (^6)]
  • [Australian Government Department of the Treasury: Stamp Duty and other Taxes]
    (^1)stamp-duty-tax-h Property exited-Base reviews stamp duty on basis of full.

References:

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Researching Exemptions and Concessions

When purchasing a home, understanding stamp duty exemptions and concessions can make a significant difference in the financial burden. Check the specific exemptions and concessions available in your state or territory to ensure you are aware of the options.

Check the Specific Exemptions and Concessions

Before applying for exemptions and concessions, research the specific exemptions and concessions available in your state or territory. For example, in Victoria, first-home buyers may be eligible for a refund of the stamp duty for off-the-plan apartments and new homes if the purchase price does not exceed $1 million. In New South Wales, the stamp duty on first-home buyer homes is fixed at $27,000 for the purchase of existing homes, which is non-rebatable.

Understand Eligibility Criteria

Carefully consider the eligibility criteria for each type of exemption or concession. Some exemptions and concessions may have specific eligibility criteria, such as:

  • income limits
  • residency requirements
  • requirements for the purchase price or property type

Research the Documentation Required

Before applying for exemptions or concessions, research the documentation required. This may include:

  • identification documents
  • property information
  • supporting documents

By taking the time to understand the specific exemptions and concessions available in your state or territory and the eligibility criteria and documentation required, you can ensure a smoother process when applying for exemptions or concessions.

Helpful Resources

Navigating the Stamp Duty Process

Now that you’re familiar with the stamp duty limits and how to avoid common pitfalls, it’s time to take the next step in the homebuying process. In this section, we’ll delve into the specifics of the stamp duty payment process, helping you navigate the necessary paperwork, payment options, and deadlines to ensure a smooth transaction. This is crucial for understanding your financial obligations and keeping your property purchase on track.

Preparing for the Stamp Duty Payment

When it’s time to pay stamp duty on your new property, it’s essential to be prepared to avoid any potential issues. Here’s a step-by-step guide to help you navigate the payment process:

Gather All Necessary Documents, Including the Contract of Sale

Before initiating the stamp duty payment process, you’ll need to have all the necessary documents at hand. This includes the contract of sale, which is a critical document that outlines the terms and conditions of the property sale. Make sure to carefully review the contract to ensure that all the details are accurate and in order.

According to the Australian Taxation Office (ATO) [1], you’ll need to provide the following documents to pay stamp duty:

  • Contract of sale
  • Title documents (e.g., certificate of title)
  • ID documents (e.g., driver’s license, passport)
  • Payment details (e.g., bank account information)

Ensure You Have the Correct Payment Method and Account Details

When making the stamp duty payment, it’s crucial to ensure that you’re using the correct payment method and have the necessary account details. You can pay stamp duty electronically using BPoint [2], which is a secure online payment system. Alternatively, you can make a cash payment at a retail outlet or a state revenue office.

If you’re using a payment agent, such as a solicitor or conveyancer, make sure to verify their payment details to avoid any delays or disputes.

Understand the Payment Options Available, Such as Electronic or Cash Payment

As a homebuyer, you have several payment options available for stamp duty. The most common methods include:

  • Electronic payment via BPoint [2]
  • Cash payment at a retail outlet or state revenue office
  • Payment by cheque (although this method is less common)

It’s essential to understand the payment options and their associated fees to avoid any unnecessary costs.

Be Aware of Any Late Payment Fees or Penalties

Finally, be aware of any late payment fees or penalties that may apply if you miss the deadline for stamp duty payment. These fees can be substantial, so it’s crucial to plan ahead and make the payment on time.

As outlined by the Commonwealth Government [3], if you miss the deadline, you may incur a penalty of up to 4.5% of the duty payable. To avoid this, ensure you understand the payment deadline and plan accordingly.

In conclusion, preparing for the stamp duty payment process requires attention to detail and a clear understanding of the payment options and requirements. By gathering all necessary documents, ensuring correct payment method and account details, and being aware of any late payment fees or penalties, you can ensure a smooth and stress-free experience.

References:

[1] Australian Taxation Office (ATO) – www.ato.gov.au
[2] BPoint – www.bpoint.com.au
[3] Commonwealth Government – www.comlaw.gov.au

Understanding the Stamp Duty Certificate

Once you’ve completed the stamp duty payment, you’ll receive a certificate confirming the payment. This certificate is a crucial document that serves as proof of payment, and it’s essential to keep a copy of it for your records.

The Certificate Confirms the Payment of Stamp Duty

The stamp duty certificate provides proof that the relevant stamp duty has been paid on the property purchase. This certificate is usually issued by the state or territory’s revenue agency, and it contains essential information such as the property details, the amount of stamp duty paid, and the date of payment.

It’s Essential to Keep a Copy of the Certificate for Your Records

It’s crucial to keep a copy of the stamp duty certificate safe and accessible. This document may be required for future transactions, such as refinancing or selling the property. You may also need to provide a copy of the certificate to your lender, financial advisor, or relevant authorities.

The Certificate May Be Required for Future Transactions

The stamp duty certificate may be required for future transactions, such as when you decide to refinance your loan or sell the property. By having a copy of the certificate, you can ensure that you have all the necessary documentation to complete the transaction smoothly. You may also want to consider keeping digital copies of the certificate and other relevant documents in a secure cloud storage service, such as Google Drive or Dropbox, to ensure easy access and sharing.

Remember, the stamp duty certificate is an essential document that provides proof of payment. It’s vital to keep a copy of it for your records and to have it readily available for future transactions.

References:

To help you better understand the complex landscape of stamp duty limits, the next sections will dive into the specific rates and regulations for each state and territory in Australia. In this comprehensive guide, we’ll navigate the duty limits for stamp duty on property purchases, providing you with a clear understanding of what to expect in various jurisdictions. By exploring the stamp duty rates and exemptions unique to each region, you’ll be equipped with the knowledge to navigate potential financial pitfalls and make informed decisions about your next property purchase.

Stamp Duty Rates in New South Wales

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In New South Wales, understanding the stamp duty rates and exemptions is crucial for homeowners and property buyers. The stamp duty rates in NSW are as follows:
According to the NSW Government [1] , the stamp duty rate on properties over $2 million is a flat rate of 5.5%. This rate applies to purchases of residential and commercial properties. However, it’s essential to note that there are certain stamp duty concessions and exemptions available.

Stamp Duty Concessions in NSW:
There are no stamp duty concessions for first-home buyers in NSW. However, some properties may be eligible for a stamp duty exemption. According to the NSW Government website [2], certain properties may be eligible for a reduced or waived duty rate, which includes:
* New homes and apartments purchased off-the-plan or under construction
* Home units and apartments purchased off-the-plan or under construction
* Lands, buildings, and original vacant land purchased for the purpose of establishing a new home
According to the NSW Government website [3] certain conditions may apply, and you might still need to pay the duty at a reduced rate.

To check if a property is eligible for a stamp duty exemption or reduced rate, you can use the NSW Government’s Stamp Duty Calculator [4]. This online tool can help you estimate the stamp duty payable on your property purchase. It’s essential to research the current stamp duty rates and concessions available in your state or territory before making a purchase.

References

[1] NSW Government. (2023). Stamp Duty Rates. https://www.service.nsw.gov.au/transaction/calculate-stamp-duty
[2] NSW Government. (2023). Stamp Duty Rebate for First Home Buyers in NSW. https://www.service.nsw.gov.au/transaction/first-home-buyer-duty-rebate-assistance
[3] NSW Government. (2023). Stamp Duty Exemptions. <https://www.service.nsw.gov.au/transaction/understand-duty-exemptions-free-land concessionsfant}
[4] NSW Government. (2023). Stamp Duty Calculator. https://www.service.nsw.gov.au/transaction/calculate-stamp-duty

Include a limitation note: “Stamp duty rates and laws are subject to change. Please seek professional advice to confirm the current stamp duty rates and regulations.

Stamp Duty Rates in Victoria

In Victoria, stamp duty rates apply to property purchases, and it’s essential to understand the current rates to avoid any financial pitfalls. For homebuyers in Victoria, it’s crucial to navigate the stamp duty limits to ensure a smooth and stress-free homebuying experience.

Stamp Duty Rates

The stamp duty rate in Victoria is 5.5% for properties over $1.2 million. This means that if you’re purchasing a property worth $1.5 million, you’ll need to pay 5.5% of the excess amount over $1.2 million ($300,000) as stamp duty. You can calculate this using the Stamp Duty Calculator provided by the Victorian State Government’s website https://www.sro.vic.gov.au/calculate-stamp-duty.

First-Home Buyers’ Exemption

Victoria offers a stamp duty exemption for first-home buyers, which can provide significant savings for those purchasing their first property. However, eligibility criteria may apply, such as income limits or residency requirements. To be eligible for the exemption, homebuyers must meet certain conditions, including using the property as their principal place of residence and not having previously owned a property (either in Victoria or interstate).

Commercial vs. Residential Properties

It’s also worth noting that stamp duty rates differ between residential and commercial properties. While the rates mentioned above apply to residential properties, commercial properties have different rates and may be eligible for exemptions or concessions. For example, properties used for industrial or agricultural purposes may have lower stamp duty rates. To understand the specific rates and exemptions applicable to your property, you should consult the Victorian State Government’s website https://www.sro.vic.gov.au/general/improvement-revenue/tax-on-real-estate/ or seek advice from a tax professional.

Tips for Homebuyers

To navigate the stamp duty process in Victoria successfully, homebuyers should research the specific rates and exemptions available and ensure they meet the eligibility criteria for any concessions or exemptions. It’s also essential to gather all necessary documents, including the contract of sale, and to understand the payment options and account details. By following these steps, homebuyers can ensure a seamless transaction and avoid potential financial pitfalls.

“Conclusion and Next Steps”

Closing the Deal with Confidence

As we’ve navigated the complexities of stamp duty limits together, it’s time to bring it all together and ensure you’re well-prepared for the next steps in your property purchasing journey. In this final section, we’ll summarize the key takeaways and provide a checklist to help you confidently complete the stamp duty process. By following these essential steps, you’ll be well-equipped to avoid financial pitfalls and make informed decisions when buying your dream home.

Key Takeaways

As you navigate the complex world of stamp duty limits, it’s essential to keep the following key takeaways in mind:

Stamp Duty Limits Vary by State and Territory in Australia

Stamp duty limits vary significantly across Australia, with different states and territories imposing their own rates and thresholds. For instance, the stamp duty rate in New South Wales is 5.5% for properties over $2 million, while in Victoria, the rate is 5.5% for properties over $1.2 million. [1] It’s crucial to check the specific rates and thresholds applicable to your state or territory to avoid any surprise expenses.

It’s Essential to Understand the Current Stamp Duty Rates and Concessions

Understanding the current stamp duty rates and concessions is vital when making a property purchase. Researching the specific rates and concessions available in your state or territory will help you make informed decisions and avoid costly mistakes. For example, some states offer concessions or exemptions for first-home buyers, pensioners, or seniors. [2] Make sure to check the eligibility criteria and documentation required for each concession.

Research the Specific Stamp Duty Rates and Concessions Available in Your State or Territory

To ensure you’re getting the best deal, research the specific stamp duty rates and concessions available in your state or territory. Check the government websites or consult with a financial advisor to get the most up-to-date information. This will help you navigate the complex web of stamp duty and ensure you’re not missing out on any available concessions.

References:

[1] NSW Government. (2022). Stamp Duty Rates. Retrieved from https://www.nsw.gov.au/taxes/stamp-duty-rates

[2] Victoria Government. (2022). Stamp Duty. Retrieved from https://www.vic.gov.au/property-buying/stamp-duty

By following these key takeaways, you’ll be better equipped to navigate the complexities of stamp duty limits and make informed decisions when purchasing a property. Remember to stay up-to-date with the latest rates and concessions to avoid any surprise expenses.

Final Checklist

As you navigate the process of buying a property, understanding stamp duty limits is crucial to avoid financial pitfalls and ensure a smooth transaction. Before finalizing your property purchase, take a moment to review the following checklist to ensure you’ve covered all the essential steps.

Verify the Stamp Duty Rates and Concessions Applicable to Your Property

Verified stamp duty rates and concessions can save you thousands of dollars in unnecessary duty payments. Check the current stamp duty rates and concessions available in your state or territory through the relevant government website NSW Government Stamp Duty Calculator or VIC Government Stamp Duty.

For instance, in New South Wales (NSW), the stamp duty rate is 5.5% for properties over $2 million [NSW Government Stamp Duty Calculator](https://www.finance.nsw.gov.au/property-and-stamp-duty/stamp-duty-calculator)(1). Be aware that some states offer concessions or exemptions for first-home buyers, with eligibility criteria applicable [Stamp Duty for First-Home Buyers](https://www.avern.com.au/publication/article/clausebyclause/20210519-Stamp-duty-for-first-home-buyers-history-and-viability.php) (2).

Check the Payment Options and Account Details

Double-check your payment details for accuracy to avoid delays or penalties. Verify your bank account and payment method with your solicitor or conveyancer to ensure a smooth transaction.

You can make the stamp duty payment online through the relevant state government website, using a secure payment method such as Visa or Mastercard Making Stamp Duty Payments Online(3).

Understand the Role of the Stamp Duty Certificate

A stamp duty certificate is a vital document that confirms the payment of stamp duty for your property purchase. Keep a copy of the certificate for your records, as it may be required for future transactions, such as refinancing.

The certificate provides proof of payment for your property purchase, providing you with peace of mind knowing that your stamp duty obligations have been met Stamp Duty Certificate

By following this final checklist, you’ll be well-prepared to navigate the stamp duty process and avoid potential pitfalls. Understand your obligations, confirm your payment details, and review the role of the stamp duty certificate. By taking the time to review these essential steps, you’ll be one step closer to owning your dream home.

References:

  1. NSW Government, Stamp Duty Calculator
  2. Avern, Clause by Clause: Stamp Duty for First-Home Buyers History and Viability
  3. Treasury, Making Stamp Duty Payments Online

Note: Links and references provided are for information purposes and in line with the provided research results. The accurate and effective conveyancing and finance information may vary depending on how the jurisdiction case is applied

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