2007-08 State Budget - Land tax
Land tax relief will be provided from 1 July 2007
A new initiative has been introduced to cap the annual increase in the relevant unimproved value for the 2007-08, 2008-09 and 2009-10 financial years at 50% of the previous year's relevant unimproved value. The cap will apply to all freehold parcels of land that had a relevant unimproved value as at the previous 30 June. However, capping will not apply to subdivided land that qualifies for the 40% discount on unimproved value.
Tax free threshold for resident individual land tax payers will be increased from $500,000 to $600,000. Currently, resident individuals are generally liable for land tax if the total relevant unimproved value of the freehold land owned by that person as at 30 June is equal to or greater than $500,000. For 30 June 2007, this threshold will increase to $600,000.
|
2006-07 |
2007-08 |
||
| $0 - $499,999 | $0 | $0 - $599,999 | $0 |
| $500,000 - $749,999 | $500 + rate 0.70% | $600,000 - $749,999 | $1,200 + rate 0.70% |
| $750,000 - $1,249,999 | $2,250 + rate 1.45% | $750,000 - $1,249,999 | $2,250 + rate 1.45% |
| $1,250,000 - $1,999,999 | $9,500 + rate 1.50% | $1,250,000 - $1,999,999 | $9,500 + rate 1.50% |
| $2,000,000 - $2,999,999 | $20,750 + rate 1.675% | $2,000,000 - $2,999,999 | $20,750 + rate 1.675% |
| $3,000,000 and above | Rate 1.25% on taxable value | $3,000,000 and above | Rate 1.25% on taxable value |
Tax free threshold for company, trustee or absentee land owners will be increased from $300,000 to $350,000. Currently, company, trustee or absentee land owners are generally liable for land tax if the total relevant unimproved value of the freehold land owned as at 30 June is equal to or greater than $300,000. For 30 June 2007, this threshold will increase to $350,000.
|
2006-07 |
2007-08 |
||
| $0 - $299,999 | $0 | $0 - $349,999 | $0 |
| $300,000 – $749,999 | $1,500 + rate 1.50% | $350,000 - $749,999 | $2,250 + rate 1.50% |
| $750,000 - $1,249,999 | $8,250 + rate 1.65% | $750,000 - $1,249,999 | $8,250 + rate 1.65% |
| $1,250,000 - $1,999,999 | $16,500 + rate 1.8% | $1,250,000 - $1,999,999 | $16,500 + rate 1.8% |
| $2,000,000 and above | Rate 1.5% on taxable value | $2,000,000 and above | Rate 1.5% on taxable value |
