Saturday, 19 January 2013

Land TAX all State courtesy of www.investoraccountingnetwork.com.au



Land TAX all State courtesy of www.investoraccountingnetwork.com.au

Please see attached for the recently updated 2012-13 Land Tax information for all states of Australia.


The attachment provides information regarding registration processes and dates as well as the current Land Tax rates for Individuals, Companies, Trustees and Absentees.

If you have not yet registered for Land Tax and are required to, please contact out office on the number below to arrange to have the process started.

If you have any queries at all, please do not hesitate to call.

Kind Regards,

 Madeleine Walsh Client Relationship Manager | Investor Accounting Network
   Office: 02 9011 6687 | Fax: (02) 8079 6865 | Email: admin@investoraccountingnetwork.com.au | Office Address: Unit 8B, 26 Balook Drive, Beresfield, 2322 | Postal: PO Box 285, Maitland, NSW, 2320



  • Attention all property owners:
    If you or any entity owned by you own any property that is not your principal place of residence, you may be liable to pay land tax.
    As a property owner, whether directly or through an entity such as a discretionary trust, it is important to be aware of your obligations and ensure that you are registered for land tax purposes if required. Each state and territory has different rules surrounding land tax and it depends on where each property is situated as to which state laws apply. For your reference we have compiled the following list of registration requirements, rates and thresholds applicable in each state and territory.
    Points to note:
    •   Your principal place of residence is generally exempt from land tax
    •   Each state is assessed separately based on land held within that state
    •   Land tax is levied based on the Valuer General determined unimproved value of the
      land this is generally the value listed on your council rates notice.
    •   If holding property in a trust or through a corporate trustee, the entity must be registered in
      its own right.
      We would suggest that should you or an entity owned by you hold property in a state that does not offer automatic registration for land tax upon the purchase of land (e.g. NSW, ACT) you and/or your business entity should register for land tax even if the land holding does not exceed the applicable thresholds. This will ensure that should future increases in the value of your property or subsequent property purchases (for NSW and ACT properties you will need to add these to your registration as there is no automatic system) push you above the threshold, land tax will automatically calculate. If you are not registered and exceed the threshold without realising, you have the potential of a fee of many thousands being levied unexpectedly at a future date. If you are registered and continue under the threshold, there are no fees involved.
      If you wish to register for land tax and would like assistance in doing so we would be happy to assist you. Our standard charges for attending to your land tax registration start from $159 per registration (i.e. per entity).
    LAND TAX RATES AND THRESHOLDS BY STATE:
    New South Wales:
    •   Land tax is calculated based on the value of property held as at 31 December each year
    •   You must register for land tax by 31 March.
      Individual & Company Rates:
      Trustees and Absentees:
      Australian Capital Territory:
    •   Individuals: Land tax is calculated within 30 days of buying a residential property that is rented or becomes rented
    •   Trusts: Land tax is calculated within 30 days of buying even if the property won’t be rented
    •   You must register for Land Tax within 30 days of buying even if the property won’t be
      rented
    •   Calculations are based on the unimproved value of land over the last three years. Individuals, Companies, Trustees and Absentees rates:
    Taxable Value
    Rate of Tax
    $0 - $406,000
    NIL
    $406,000- $2,482,000
    $100 plus 1.6% of the value above $406,000
    $2,482,000 and over
    2.0% of the value over $2,482,000
    Taxable Value
    Rate of Tax
    $1 - $2,482,000
    1.6% of the value above $1
    $2,482,000 and over
    2.0% of the value above $2,482,000
    Taxable Value
    Marginal Rate
    $0 - $75,000
    0.60%
    $75,001 - $150,000
    0.79%
    $150,001 - $275,000
    0.89%
    $275,001 and above
    1.80%
    Queensland:
    •   Land tax is payable on land owned as at midnight 30 June each year
    •   Registration is automatic
    •   If you are not contacted by 30 June, you will need to contact the Queensland Office of State
      Revenue by 31 July.
      Individual Rates:
    Taxable Value
    Rate of Tax
    $0 - $599,999
    NIL
    $600,000 - $999,999
    $500 plus 1 cent for each $ more than $600,000
    $1,000,000 - $2,999,999
    $4,500 plus 1.65 cents for each $ more than $1,000,000
    $3,000,000 - $4,999,999
    $37,500 plus 1.25 cents for each $ more than $3,000,000
    $5,000,000 and over
    $62,500 plus 1.75 cents for each $ more than $5,000,000
    Companies, Trustees and Absentees:
    Taxable Value
    Rate of Tax
    $0 - $349,999
    NIL
    $350,000 - $2,249,999
    $1,450 plus 1.7 cents for each $ more than $350,000
    $2,250,000 - $4,999,999
    $33,750 plus 1.5 cents for each $ more than $2,250,000
    $5,000,000 and over
    $75,000 plus 2.0 cents for each $ more than $5,000,000
    South Australia:
    •   Land tax is payable on land owned as at 30 June
    •   Registration is automatic.
      Individuals, Companies, Trustees and Absentees rates:
    Taxable Value
    Rate of Tax
    Up to $316,000
    NIL
    $316,001 - $579,000
    $0.50 for every $100 or part of $100 over $316,000
    $579,001 - $842,000
    $1315 plus $1.65 for every $100 or part of $100 over $579,000
    $842,001 - $1,052,000
    $5,654.50 plus $2.40 for every $100 or part of $100 over $842,000
    Over $1,052,000
    $10,694.50 plus $3.70 for every $100 or part of $100 over $1,052,000
    Victoria:
    •   Land tax is payable on land owned as at midnight 31 December
    •   Registrations are automatic.
      Individual Rates:
    Taxable Value
    Rate of Tax
    $0 - $250,000
    NIL
    $250,000 - $600,000
    $275 plus 0.2% of the amount above $250,000
    $600,000 - $1,000,000
    $975 plus 0.5% of the amount above $600,000
    $1,000,000 - $1,800,000
    $2,975 plus 0.8% of the amount above $1,000,000
    $1,800,000 - $3,000,000
    $9,375 plus 1.3% of the amount above $1,800,000
    $3,000,000 and over
    $24,975 plus 2.25% of the amount above $3,000,000
    Companies, Trustees and Absentees:
    Taxable Value
    Rate of Tax
    $0 - $25,000
    NIL
    $25,000 - $250,000
    $82 plus 0.375% of the amount above $25,000
    $250,000 - $600,000
    $926 plus 0.575% of the amount above $250,000
    $600,000 - $1,000,000
    $2,938 plus 0.875% of the amount above $600,000
    $1,000,000 - $1,800,000
    $6,438 plus 1.175% of the amount above $1,000,000
    $1,800,000 - $3,000,000
    $15,838 plus 0.7614% of the amount above $1,800,000
    $3,000,000 and over
    $24,975 plus 2.25% of the amount above $3,000,000
    Tasmania:
    •   Land tax is payable on land owned as at 1 July
    •   Registration is automatic
    •   If a PPR becomes an investment property, you must notify the Commissioner of State
      Revenue within 30 days
      Individuals, Companies, Trustees and Absentees rates:
    Taxable Value
    Rate of Tax
    $0 - $24,999
    NIL
    $25,000 - $349,999
    $50 plus 0.55% of value above $25,000
    $350,000 and above
    $1,837.50 plus 1.5% of value above $350,000
    Western Australia:
    •   Land tax is payable on land owned as at 30 June
    •   Registration is automatic
      Individuals, Companies, Trustees and Absentees rates:
    Taxable Value
    Rate of Tax
    $0 - $300,000
    NIL
    $300,000 - $1,000,000
    0.09 cent for each $ in excess of $300,000
    $1,000,000 - $2,200,000
    $630 plus 0.47 cent for each $ in excess of $1,000,000
    $2,200,000 - $5,500,000
    $6,270 plus 1.22 cents for each $ in excess of $2,200,000
    $5,500,000 - $11,000,000
    $46,530.00 plus 1.46 cents for each $ in excess of $5,500,000
    $11,000,000 and over
    $126,830 plus 2.16 cents for each $ in excess of $11,000,000
    Northern Territory:
    NO LAND TAX IS PAYABLE IN THE NORTHERN TERRITORY.