Section 145 of the Principal Act is repealed and the following section is substituted:

145.     Extent mortgage is enforceable

(1)  A mortgage or mortgage package on which duty is imposed under this Act or a corresponding Act is enforceable only to the extent of the amount secured by the mortgage or mortgage package in respect of which duty has been paid under this Act or a corresponding Act.

(2)  Subsection (1) does not apply if the property affected by the mortgage package is partly in and partly outside Tasmania if –

(a) duty has been paid on the total advances under the mortgage or mortgage package when the mortgage duty paid is taken with the duty paid under a corresponding Act; and

(b) the proportion of that property in Tasmania used to determine mortgage liability –

(i) is based on a referrable point as referred to in section 149(4) for the dutiable proportion of the mortgage; and

(ii) is not incorrect by more than 5%.