Definition of terms—Land tax

A

Averaging of values

When 3 years of unimproved values at 30 June (current and previous 2 years) are available, the averaged value will be used to calculate land tax. Where 3 years of unimproved values at 30 June are not available, the state-wide averaging factor will be used to calculate land tax. Averaging is used to calculate the relevant unimproved value in most cases.

A full definition can be found in section 3AA of the Act.

B

C

Capping/capped value

Capping ensures that the relevant unimproved value of land will be no more than 150% of the relevant unimproved value for the previous financial year.

D

E

F

Freehold land

Freehold land is land that is not leased from the Crown (government).

G

H

I

J

K

L

Land

For land tax purposes, land includes:

• vacant land
• land that is built on
• lots in building unit plans
• lots in group title plans
• lots in a time share scheme
• lots owned by a home unit company.

Liability

A person’s liability is their obligation or debt in accordance with the Act.

Part 4 of the Act discusses a person’s liability for land tax.

M

Moveable dwelling park

A moveable dwelling park is a place where caravan or manufactured home sites can be rented or leased (e.g. caravan parks).

A full definition can be found in section 13(5) of the Act.

N

O

P

Possession date

The possession date for ownership is the date that actual possession of land passes to the new owner. This is usually, though not always, settlement.

This definition can be found in section 3B of the Act.

Primary production

Primary production refers to the business of agriculture, pasturage or dairy farming.

Principal place of residence

A person’s principal place of residence is their home.

Section 3E of the Act describes when land is a principal place of residence.

Q

R

Relevant unimproved value

The relevant unimproved value of land (for a financial year) means the lessor of:

1. the capped value of land for that year
2. the unimproved value of land for that year
3. the averaged unimproved value of land for that year.

Relevant unimproved value is defined in section 3 of the Act.

S

T

Taxable value

Taxable value is the total relevant unimproved value of all land owned—less any exemptions and deductions.

Threshold

The threshold is the total relevant unimproved value of land at which liability for land tax begins.

Thresholds for different types of landowner are discussed in section 9 and Schedules 1 and 2 of the Act.

U

V

Vacant land

A person’s land is vacant land if:

• a residence is to be constructed on the land

and

• when the person acquired the land, there was no building or part of a building on the land.
  

W

X

Y

Z