Land Tax Assessment Act 2002

 

Land Tax Assessment Act 2002

Contents

Part 1 — Preliminary

1.Short title2

2.Commencement2

3.Relationship with other Acts2

4.Terms used2

Part 2 — Land tax liability and assessment

Division 1 — Liability to land tax

5.Taxable land3

6.Time for payment of land tax3

7.Liability to pay land tax3

8.Certain persons and bodies taken to be owners of land4

9.Liability of agents or trustees4

9A.Owners to notify Commissioner of errors or omissions in assessment notices5

Division 2 — Assessment of land tax

10.Assessing land tax6

11.Two or more lots owned by one person, tax payable on7

12.Land owned jointly, tax payable on7

13.Calculating taxable value of part of a lot8

14.Newly subdivided private residential property, tax payable on8

15.Newly subdivided primary production business land, tax payable on10

15A.Newly subdivided dwelling park land, tax payable on12

16.Non‑strata home units, assessing tax on13

Part 3 — Exemptions, concessions and rebates

Division 1 — General provisions

17.Exempt land16

18.Whole and partial exemptions16

19.Applying for exemption or concession17

20.Commissioner’s power to exempt land17

Division 2 — Private residential property

21.Residences owned by individuals, exemptions for19

22.Residence owned by executor etc., exemption for if beneficiary in will exercising right to reside19

23A.Residence owned by executor etc., exemption for if beneficiary in will has right to future ownership and is resident20

23.Continued exemption after death of resident21

24.Construction of private residence, one year exemption for22

24A.Construction of private residence, 2 year exemption for23

25.Refurbishment of private residence, one year exemption for24

25A.Refurbishment of private residence, 2 year exemption for25

26.Residence of disabled person held in trust, exemption for26

26A.Residence of disabled person owned by relative, exemption for27

27.Moving between 2 private residences, application of exemption29

27A.Construction or refurbishment of second private residence, 2 year exemption for30

28.Inner city residential property, rebate for32

Division 3 — Land used for primary production business

Subdivision 1 — Terms used

29.Terms used34

30A.What is primary production35

30B.When land is used for primary production business36

Subdivision 2 — Primary production business exemption

30C.Exemption for rural land37

30D.Exemption for non‑rural land37

30E.Exemption under section 30D after death of family owner or person related to family owner38

30F.Notice to Commissioner about changes to exempt land38

Subdivision 3 — Family owners of land and persons related to family owners of land

30G.References to individuals, family members and nominated individuals39

30H.Family owner of land40

30I.Persons related to family owner who is an individual40

30J.Persons related to family corporation41

30K.Persons related to trustee of family trust42

30.Persons related to trustee of a family unit trust scheme42

Division 4 — Crown land and other land used for public purposes

31.Land owned by Crown, public authority etc., exemption for43

32.Land owned by religious bodies, exemption for44

33.Land owned by educational institutions, exemption for45

34.Land used for public or religious hospitals, exemption for47

35.Mining tenements, exemption for47

36.Land used for various public purposes, exemption for47

37.Land owned by public charitable or benevolent institutions, exemption for48

38AA.What is a relevant body48

38AB.Application for a beneficial body determination49

38AC.Beneficial body determination50

38.Land owned by non‑profit associations, exemption or concession for52

38A.Land used as aged care facility, exemption for53

39.Land used for retirement villages: exemption for53

Division 4A — Land used for non‑permanent residences

39A.Land to which s. 39B applies54

39B.Dwelling park land: concession and exemption for56

Division 5 — Other exemptions and concessions

40.Land owned by veteran’s surviving partner or mother, exemption for57

41.Land under conservation covenant, exemption for57

42A.Land under biodiversity conservation covenant, exemption for58

42.Land vacated for sale by mortgagee, one year exemption for58

43A.Newly subdivided land, concession for59

Part 4 — Miscellaneous

43.Occupier etc. of land to give information61

45.Contracts ineffective to alter incidence of land tax61

45A.Minor interests of joint owners, Commissioner may disregard62

45B.Effect of determination under s. 45A63

46.Regulations64

47.Transitional provisions65

Schedule 1 — Transitional and validation provisions

Division 1 — Provision for Revenue Laws Amendment Act 2006

1.Application of s. 24A, 25A and 27A66

Division 2 — Provision for Revenue Laws Amendment (Taxation) Act 2009

2.Regulations for cl. 666

Division 3 — Provisions for the Taxation Legislation Amendment Act (No. 2) 2015

3.Terms used66

4.Previously exempt land: section 3767

5.Beneficial body determination: application may be made68

Division 4 — Provisions for Taxation Legislation Amendment Act 2015

Subdivision 1 — Preliminary

6.Term used: amending Act68

Subdivision 2 — Provisions about primary production

7.Application of section 15 during transitional period68

8.Application of section 20 to previous assessment years69

9.Application of section 30D to land held in trust for assessment year 2014/1569

Subdivision 3 — Provisions about exemptions and rural business land

10.Terms used70

11.Validation of previous assessments71

12.Land tax decisions made or pending71

13.Application of modified rural business land provisions during the 2012 to 2014 assessment period72

14.Validation of rural business land assessments72

15.Reassessment73

Division 5 — Provisions for Land Tax Assessment Amendment Act 2018

16.Terms used73

17.Validation of previous assessments74

18.Land tax decisions made or pending74

19.Reassessment75

Glossary

1.Terms used76

2.Lots and parcels of land83

3.Subdivided land85

6.Taxable value86

Notes

Compilation table89

Defined terms

 

Land Tax Assessment Act 2002

An Act relating to the assessment and collection of tax upon land.

Part 1 Preliminary

1.Short title

This Act may be cited as the Land Tax Assessment Act 2002 1.

2.Commencement

This Act comes into operation on the day on which the Taxation Administration Act 2003 comes into operation 1.

3.Relationship with other Acts

The Taxation Administration Act 2003 and the Land Tax Act 2002 are to be read with this Act as if they formed a single Act.

4.Terms used

The Glossaries at the end of this Act and the Taxation Administration Act 2003 respectively define or affect the meaning of some of the words and expressions used in this Act, and also affect the operation of other provisions.

Part 2Land tax liability and assessment

Division 1Liability to land tax

5.Taxable land

Land tax is payable, in accordance with the land tax Acts, for each financial year for all land in the State except land that is exempt under section 17.

6.Time for payment of land tax

(1)Land tax payable on an original assessment is due for payment on the 49th day after the date of the assessment notice.

(2)Land tax payable on a reassessment is due for payment on the date specified in the assessment notice in accordance with the Taxation Administration Act 2003.

7.Liability to pay land tax

(1)Land tax payable on land for an assessment year is payable by the person who is or was the owner of the land at midnight on 30 June in the previous financial year.

(2)However, if a person or a taxable authority is taken under section 8 to be the owner of the land at that time, the land tax is payable by the person or the taxable authority respectively.

[(3)deleted]

(4)Joint owners of land are jointly and severally liable for land tax payable on the land regardless of each of the joint owner’s respective interests in, or use of, the land.

(5)A person or taxable authority who is liable to pay land tax is also liable to pay any additional taxes, interest, penalties or charges payable under a land tax Act in relation to the land tax.

[Section 7 amended by No. 5 of 2018 s. 4.]

8.Certain persons and bodies taken to be owners of land

(1)A person is taken to be the owner of land for the purposes of section 7 if the person —

(a)is entitled to the land under any lease or licence from the Crown with or without the right of acquiring the fee simple; or

(b)is entitled to use the land for business, commercial, professional or trade purposes under an agreement or arrangement with the Crown, with an agency or instrumentality of the Crown or with a local government or public statutory authority.

(1A)Subsection (1)(b) does not apply if the agreement or arrangement under which the person is entitled to use the land is with a taxable authority.

(2)If a taxable authority has land vested in it by or under an enactment otherwise than as owner, the taxable authority is taken to be the owner of the land for the purposes of section 7.

(3)If an agreement has been made for the sale of land, whether or not the agreement is completed by transfer or conveyance, and whether or not it was made before or after this Act commenced, then for the purpose of ascertaining who is liable to pay land tax on the land —

(a)the vendor is taken to be the owner of the land until the purchaser obtains possession of the land; and

(b)the purchaser is taken to become the owner of the land when the purchaser obtains possession.

[Section 8 amended by No. 5 of 2018 s. 5.]

9.Liability of agents or trustees

(1)An agent of an owner of taxable land, or a trustee in whom the legal estate of taxable land is vested (whether solely or jointly with other trustees), is liable for the taxes payable on the land as if the agent or trustee were the beneficial owner of the land.

(2)However, the agent or trustee is not personally liable for the taxes to any greater extent than to the amount of any funds or securities for money of the principal or beneficiary, that the agent or trustee holds, or of which the agent or trustee has the controlling power, after receiving an assessment notice for the taxes.

(3)If an agent or trustee is required to pay, and has paid, an amount of taxes on behalf of the principal or the beneficiary, the agent or trustee is entitled —

(a)to recover an equal amount from the principal or beneficiary; or

(b)to retain an equal amount from any money that the agent or trustee receives in that capacity for the principal or beneficiary.

(4)The agent or trustee is answerable for the doing of anything under a land tax Act that would be required to be done by the owner.

(5)The agent or trustee is subject to the same penalties or liability for any neglect, refusal, or default in respect of a land tax Act as the principal or beneficiary would be.

(6)In this section —

taxes means land tax, or any penalties, interest or other amount payable in connection with land tax under a land tax Act.

9A.Owners to notify Commissioner of errors or omissions in assessment notices

(1)A person identified as being liable to pay land tax by a land tax assessment notice must notify the Commissioner of any material error or omission in the notice, that is relevant to the assessment, in relation to —

(a)any land owned by the person, whether or not the land is specified in the assessment notice; or

(b)the ownership of any land specified in the assessment notice; or

(c)any concessions or exemptions allowed, claimed or claimable in respect of land; or

(d)any prescribed matters.

(2)Notice of the error or omission must be given to the Commissioner —

(a)on or before the date specified in the assessment notice as the due date for payment of the land tax; or

(b)if no such date is specified — within 21 days after the date of the assessment notice.

(3)In a prosecution of a person for an offence against subsection (1) it is a defence if the person proves that the person —

(a)did not know; and

(b)could not reasonably be expected to have known,

that the notice to which the prosecution relates contained any material error or omission.

Penalty: $5 000.

[Section 9A inserted by No. 12 of 2005 s. 4.]

Division 2Assessment of land tax

10.Assessing land tax

Unless this Act provides otherwise, the amount of land tax payable for taxable land for an assessment year is the amount calculated by applying the rate fixed in relation to the land under the Land Tax Act 2002 to the amount equal to the taxable value of the land for the assessment year.

[Section 10 inserted by No. 19 of 2009 s. 4.]

11.Two or more lots owned by one person, tax payable on

(1)If a person owns 2 or more lots or parcels of taxable land, land tax is payable on the aggregated taxable value of all the taxable land owned by the person.

(2)However, if a trustee owns 2 or more lots or parcels of taxable land held, in severalty, in trust for different persons, then the land tax payable for each lot or parcel is assessed separately unless another provision of this Act specifically requires the land tax to be assessed on the lots or parcels jointly.

(3)If a trustee owns taxable land held in trust for another person and is also the beneficial owner of other land, the land tax payable on the land held in trust is assessed separately from the land tax payable on the land held beneficially, unless for any reason the land tax payable on the trust land and the beneficially held land is liable to be jointly assessed independently of this subsection.

[Section 11 amended by No. 19 of 2009 s. 13.]

12.Land owned jointly, tax payable on

(1)The land tax payable on land owned jointly by 2 or more persons is assessed as if the land were owned by one person.

(2)When determining the extent (if any) to which the land is exempt or subject to a concession, the following matters are to be taken into account —

(a)each joint owner’s use of the land by virtue of which the land is exempt or subject to a concession (whether or not the use is common to any of the other joint owners);

(b)each joint owner’s interest in the land by virtue of which the land is exempt or subject to a concession (whether or not the interest is common to any of the other joint owners).

(3)The assessment for the land is to be kept separate and distinct from an assessment for any land that is owned —

(a)by any one of the joint owners individually; or

(b)by any of them as a joint owner with any other person.

(4)The owners of non‑strata home units whose liability is assessed under section 16 are taken not to be joint owners for the purposes of this section.

13.Calculating taxable value of part of a lot

(1)Where, under section 8(1)(b), a person is taken to be the owner of a portion of a lot, then a reference in a land tax Act, other than in clause 6, to the taxable value of the land is a reference to the amount, as determined by the Valuer‑General, that bears the same proportion to the taxable value of the lot as the portion of the lot bears to the total potential lettable area of the lot as defined in subsection (2).

(2)The total potential lettable area of a lot is the total area of the lot that is capable of being let, as determined by the Valuer‑General on the assumption that none of the land is used for an exempt purpose and having regard to the lease conditions of the portion of the lot for which a value is required.

[Section 13 amended by No. 40 of 2003 s. 4; No. 19 of 2009 s. 5.]

14.Newly subdivided private residential property, tax payable on

(1)Land tax is payable in accordance with this section when private residential property is subdivided if —

(a)the property was exempt or partially exempt from land tax under Part 3 Division 2 for any of the 5 financial years reckoned retrospectively from and including the financial year in which the land was subdivided; and

(b)the area of the property is greater than 2.0234 hectares; and

(c)the subdivision was not carried out only for the purpose of defining an area of land to be taken or resumed under an enactment relating to the compulsory acquisition of land.

(2)Land tax is payable by the subdividing owner of the property on the value of the taxable portion of the property (calculated under subsections (5) and (6)) for each of the 5 financial years reckoned retrospectively from and including the financial year in which the land is subdivided.

(3)The amount of land tax payable for each of those 5 financial years is assessed, at the rate applicable for that year under the Land Tax Act 2002, as if the taxable portion of the property were the only land of the subdividing owner on which land tax was payable for that year.

(4)However, if land tax has already been levied on any part of the taxable portion of the property under another provision of this Act for any of those 5 financial years, then —

(a)if a partial exemption did not apply to that part of the taxable portion for the year under Part 3 Division 2 no land tax is payable under subsection (2) on that part for that year; or

(b)if a partial exemption applied to that part of the taxable portion, or an interest in it, for that year under Part 3 Division 2 land tax is payable for that year under subsection (2) on the part of the property to which the partial exemption applied.

(5)The taxable portion of the property is the portion that remains after subtracting from the whole area of the property the greater of the following areas —

(a)the area of the lot or parcel or portion of land on which the private residence was situated at the time of the subdivision;

(b)2.0234 hectares.

(6)For the purposes of subsection (2), the value of the taxable portion of the property for a financial year is —

(a)if the financial year is 2008/09 or earlier — the amount that bears to the unimproved value of the whole of the property at midnight on 30 June immediately before the financial year the same proportion as the area of the taxable portion bears to the whole area of the property; or

(b)in any other financial year — the amount that bears to the taxable value of the whole of the property for the financial year the same proportion as the area of the taxable portion bears to the whole area of the property.

(7)Nothing in this section affects the liability of any person to pay land tax on the taxable portion of the property for any financial year after that in which the land is subdivided.

(8)Despite section 17(4) of the Taxation Administration Act 2003, the Commissioner must make any reassessment necessary to give effect to this section.

[Section 14 amended by No. 19 of 2009 s. 6; No. 15 of 2015 s. 7.]

15.Newly subdivided primary production business land, tax payable on

(1)Land tax is payable in accordance with this section when land is subdivided if —

(a)the land was exempt from land tax under Part 3 Division 3 for any of the 5 financial years reckoned retrospectively from and including the financial year in which the land was subdivided; and

(b)the subdivision was not carried out only for the purpose of defining an area of land to be taken or resumed under an enactment relating to the compulsory acquisition of land.

(2)The land tax is payable by the subdividing owner of the land on the value of the taxable portion of the land for each of the 5 financial years reckoned retrospectively from and including the financial year in which the land is subdivided.

(3)The taxable portion of the land is the area that remains after subtracting from the whole area of the land —

(a)the area of any part of the land that is exempt, immediately after the subdivision is completed, under Part 3 Division 2 as a result of the subdividing owner’s ownership or use of the land; and

(b)the area of any part of the land that, immediately after the subdivision is completed, consists of a lot of 2.0234 hectares or more that is zoned for rural purposes under a local planning scheme or an improvement scheme.

(4)The amount of land tax payable for each of those 5 financial years is assessed, at the rate applicable for that year under the Land Tax Act 2002, as if the taxable portion of the land were the only land of the subdividing owner on which land tax was payable for that year.

(5)If an amount of land tax has already been charged on any part of the taxable portion of the land under another provision of this Act for any of those 5 financial years, the amount of land tax payable for that year under this section is reduced by the amount already charged.

(6)For the purposes of subsection (2), the value of the taxable portion of the land for a financial year is —

(a)if the financial year is 2008/09 or earlier — the amount that bears to the unimproved value of the whole of the land at midnight on 30 June immediately before the financial year the same proportion as the area of the taxable portion bears to the whole area of the land; or

(b)in any other financial year — the amount that bears to the taxable value of the whole of the land for the financial year the same proportion as the area of the taxable portion bears to the whole area of the land.

(7)Nothing in this section affects the liability of any person for land tax on the taxable portion of the land for any financial year after that in which the land is subdivided.

(8)Despite section 17(4) of the Taxation Administration Act 2003, the Commissioner must make any reassessment necessary to give effect to this section.

[Section 15 amended by No. 38 of 2005 s. 15; No. 19 of 2009 s. 7; No. 28 of 2010 s. 33(2); No. 1 of 2015 s. 4.]

15A.Newly subdivided dwelling park land, tax payable on

(1)Land tax is payable in accordance with this section when land is subdivided if —

(a)the land was subject to a concession or exemption under section 39B for any of the 10 financial years reckoned retrospectively from and including the financial year in which the land was subdivided; and

(b)the subdivision was not carried out only for the purpose of defining an area of land to be taken or resumed under an enactment relating to the compulsory acquisition of land.

(2)The land tax is payable by the subdividing owner of the land on the value of the taxable portion of the land for each of the 10 financial years reckoned retrospectively from and including the financial year in which the land is subdivided.

(3)The taxable portion of the land is the area that remains after subtracting from the whole area of the land the area of any part of the land that, immediately after the subdivision is completed, is dwelling park land under section 39A(2) as a result of the subdividing owner’s use of the land.

(4)The amount of land tax payable for each of those 10 financial years is assessed, at the rate applicable for that year under the Land Tax Act 2002, as if the taxable portion of the land were the only land of the subdividing owner on which land tax was payable for that year.

(5)The amount of land tax payable under this section on any part of the taxable portion of the land for any of those 10 financial years is reduced by the amount already charged on that part for that year.

(6)For the purposes of subsection (2), the value of the taxable portion of the land for a financial year is —

(a)if the financial year is 2008/09 or earlier — the amount that bears to the unimproved value of the whole of the land at midnight on 30 June immediately before the financial year the same proportion as the area of the taxable portion bears to the whole area of the land; or

(b)in any other financial year — the amount that bears to the taxable value of the whole of the land for the financial year the same proportion as the area of the taxable portion bears to the whole area of the land.

(7)Nothing in this section affects the liability of any person for land tax on the taxable portion of the land for any financial year after that in which the land is subdivided.

(8)Despite section 17(4) of the Taxation Administration Act 2003, the Commissioner must make any reassessment necessary to give effect to this section.

[Section 15A inserted by No. 10 of 2005 s. 6; amended by No. 19 of 2009 s. 8; No. 27 of 2010 s. 4.]

16.Non‑strata home units, assessing tax on

(1)The Commissioner may assess the amount of land tax payable on land on which a building containing non‑strata home units is situated in accordance with this section if, apart from the building, no other improvements have been effected on the land except —

(a)improvements in the nature of draining, filling, excavation, grading or levelling of the land, retaining walls or other structures or works for that purpose, the removal of rocks, stone or soil, and the clearing of timber, scrub or other vegetation; or

(b)outbuildings, fences, garages or other improvements that are, in each case, designed for the use or enjoyment of the home unit owners.

(2)The Commissioner may make an assessment under this section —

(a)on his or her own initiative; or

(b)on the application of the owners for the time being of the home units.

(3)If land tax has been assessed on the land for the assessment year in which the application is made or during which the Commissioner decides to assess the land tax in accordance with this section, the Commissioner may reassess the land tax payable for that year in accordance with this section.

(4)However, a reassessment under subsection (3) is only to be made in relation to the assessment year referred to in that subsection.

(5)An application —

(a)must be made in the approved form by all the home unit owners jointly; and

(b)if the land is owned by a body corporate, must be accompanied by a statement in the approved form setting out the proportion of the value of the land to be ascribed to each home unit owner for the purpose of calculating the amount of land tax payable by the owner.

(6)A home unit owner who is a registered proprietor of an undivided share in the land is liable to pay land tax on the proportion of the taxable value of the land that bears to the taxable value of the land the same proportion as the owner’s share in the land bears to the land.

(7)A home unit owner who is a shareholder in the body corporate that owns the land is liable to pay land tax on the proportion of the taxable value of the land that bears to the taxable value of the land the same proportion as the proportion of the value of the land ascribed to the owner in the statement under subsection (5)(b) bears to the total interests of all the shareholders in the land.

(8)If the owner of a home unit is liable to pay land tax assessed on a proportion of the taxable value of the land under subsection (6) or (7), and is also the owner of any other land, then the part of the value of the land on which the home unit is erected is taken to be land for the purposes of a land tax Act and is taken to have the value assessed under the respective subsection.

(9)If the Commissioner decides to assess or reassess the amount of land tax payable on the land under this section for an assessment year, land tax on the land is to be assessed under this section for each subsequent assessment year unless the Commissioner revokes the decision under subsection (10).

(10)The Commissioner may revoke the decision —

(a)on his or her own initiative; or

(b)on receiving a joint application for revocation from all the home unit owners for the time being.

[Section 16 amended by No. 19 of 2009 s. 13.]

Part 3Exemptions, concessions and rebates

Division 1General provisions

17.Exempt land

(1)Land is exempt from land tax for an assessment year if —

(a)the Commissioner grants an exemption for the assessment year under section 20; or

(b)it is exempt for the assessment year under another provision of this Part.

(2)Unless this Part provides otherwise, an exemption under a provision of this Part referred to in subsection (1)(b) applies, in accordance with section 18, to the whole or part of a lot or parcel of land.

[Section 17 amended by No. 1 of 2015 s. 13.]

18.Whole and partial exemptions

(1)In this section —

exemption provision means a provision of this Part referred to in section 17(1)(b);

relevant requirements, in relation to an exemption provision, means one or more of the following by virtue of which land is exempt under the provision —

(a)it is used, reserved or occupied for a purpose or purposes specified in the provision;

(b)it is used, owned or occupied by, vested in or held in trust for, a person or persons of a class or classes specified in the provision;

(c)it is of a class or description specified in the provision.

(2)If an exemption under an exemption provision applies to a lot or parcel of land then —

(a)the whole of the lot or parcel is exempt if all of the relevant requirements of the provision apply in respect of the whole of the lot or parcel; and

(b)otherwise, only a part of the lot or parcel is exempt.

(3)An exemption that applies only to a part of a lot or parcel of land as referred to in subsection (2)(b) applies to the lot or parcel to the same extent that the relevant requirements of the exemption provision apply in respect of the lot or parcel.

[Section 18 inserted by No. 1 of 2015 s. 14.]

19.Applying for exemption or concession

The Commissioner may require an owner of land —

(a)to lodge an application in the approved form for an exemption or concession under this Part; and

(b)to give the Commissioner any information within the owner’s knowledge or control that is relevant to deciding whether or not the land is eligible for an exemption or concession.

20.Commissioner’s power to exempt land

(1)A taxpayer may apply to the Commissioner for an exemption, concession or further concession for any of the following land —

(a)any proportion of private residential property that is used by an individual for a purpose that is not an exempt purpose, where the private residential property is exempt to some extent under section 21, 22 or 23 because of its use by the individual as his or her primary residence as provided in the respective section;

(b)land that is not exempt under section 23 for an assessment year because it was exempt under that section in the previous financial year, or because the estate derived rent or income in the assessment year;

[(c)-(e)deleted]

(f)land that is not exempt under section 42 because of the operation of section 42(3) or (4);

(g)Crown land of which a person is taken to be the owner under section 8(1) and which is not otherwise subject to an exemption or concession;

(h)land sold by a religious body that would otherwise be taxable under section 32(2);

(i)land sold by an educational institution that would otherwise be taxable under section 33(2).

(2)The Commissioner may grant the exemption, concession or further concession for the whole or part of a lot or parcel of land the subject of an application under subsection (1) if the Commissioner is satisfied that there are reasonable grounds for doing so.

(3)If the Commissioner refuses to grant the exemption or concession, the applicant may appeal to the Minister against the Commissioner’s decision.

(4)An appeal may be made within 60 days after the date on which notice of the Commissioner’s decision was issued, or within any further time allowed by the Minister for reasonable cause shown by the applicant.

(5)The obligation to pay, or the right to receive and recover land tax, is not affected by any appeal to the Minister.

(6)The Minister is to consider the appeal with all reasonable dispatch, and may either disallow it or, if the applicant satisfies the Minister that there are reasonable grounds for doing so, allow it wholly or in part.

(7)The Minister is to give notice of the Minister’s decision on the appeal to the applicant.

(8)The Commissioner is to make any reassessment necessary to give effect to a decision of the Commissioner or the Minister under this section.

[Section 20 amended by No. 1 of 2015 s. 5 and 15.]

Division 2Private residential property

21.Residences owned by individuals, exemptions for

(1)Private residential property (except property held in trust) is exempt for an assessment year if, at midnight on 30 June in the financial year before the assessment year, it is owned —

(a)by an individual who uses it as his or her primary residence; or

(b)by a husband and wife, at least one of whom uses it as his or her primary residence; or

(c)by persons who have lived in a de facto relationship with each other for at least 2 years, whether or not they still live on that basis, at least one of whom uses it as his or her primary residence.

(2)However, if the property is also owned by another person or persons, it is exempt if each owner who does not use it for that purpose is an owner only because of a requirement by a financial institution for a guarantee of money advanced on the security of the property.

[Section 21 amended by No. 28 of 2003 s. 101.]

22.Residence owned by executor etc., exemption for if beneficiary in will exercising right to reside

Private residential property is exempt for an assessment year if, at midnight on 30 June in the previous financial year —

(a)it is owned by an executor or administrator of a will as trustee; and

(b)an individual identified in the will —

(i)is entitled under the will to the property as a tenant for life; or

(ii)has a right under the will to use the property as a place of residence —

(I)for as long as he or she wishes; or

(II)for a fixed or ascertainable period,

whether or not the individual is or may become entitled under the will to ownership of all or part of the property at some future time;

and

(c)the individual uses the property as his or her primary residence.

[Section 22 amended by No. 40 of 2003 s. 8; No. 30 of 2008 s. 12.]

23A.Residence owned by executor etc., exemption for if beneficiary in will has right to future ownership and is resident

(1)Private residential property is exempt for an assessment year if at midnight on 30 June in the previous financial year —

(a)the property is owned by the executor or administrator of an individual’s estate; and

(b)an individual identified in the will (the beneficiary) is entitled under the will to ownership of all or part of the property at a fixed or ascertainable future time; and

(c)the beneficiary uses the property as his or her primary residence.

(2)However, if the beneficiary’s future entitlement is to ownership of part only of the property, then the exemption applies to the proportion of the property to which the beneficiary will become entitled.

(3)If —

(a)land is exempt under this section for a financial year; and

(b)at midnight on 30 June in that financial year the beneficiary is not using the property as his or her primary residence,

the executor or administrator must notify the Commissioner to that effect within 3 months after that 30 June.

Penalty: $5 000.

[Section 23A inserted by No. 30 of 2008 s. 13.]

23.Continued exemption after death of resident

(1)Private residential property owned by the executor or administrator of an individual’s estate is exempt, but only for the assessment year following the financial year in which the individual died, if —

(a)the individual’s ownership and use of the property as his or her primary residence gave rise to an exemption under section 21 for the financial year in which he or she died, or would have given rise to such an exemption if he or she had owned the property and had been using it for that purpose on 30 June before his or her death; and

(b)the executor or administrator is the owner of the property at midnight on 30 June in the financial year in which the individual died; and

(c)the individual’s estate does not derive any rent or other income from the property between the date of the individual’s death and the end of the assessment year.

(2)The exemption may be allowed in advance if —

(a)the individual’s estate has not derived any rent or other income from the property between the date of the individual’s death and midnight on 30 June in the financial year in which he or she died; and

(b)the executor or administrator advises the Commissioner that the estate is not expected to derive any rent or other income from the property in the assessment year.

(3)However, if the individual’s estate derives any rent or other income from the property in the assessment year, the executor or administrator must —

(a)notify the Commissioner to that effect within 3 months after the end of the assessment year; and

(b)give the Commissioner any particulars needed to make a reassessment.

Penalty: $5 000.

(4)If the Commissioner is notified, or otherwise becomes aware, that the estate has derived rent or income from the property in the assessment year, the Commissioner is to make a reassessment accordingly.

24.Construction of private residence, one year exemption for

(1)Private residential property (except property held in trust) that is owned by an individual is exempt for an assessment year if —

(a)the construction of the private residence that forms part of the property is completed during the assessment year; and

(b)at midnight on 30 June in the previous financial year the individual owned the land on which the private residence is constructed; and

(c)the individual is the first occupant of the private residence; and

(d)the individual uses the private residence as his or her primary residence during the assessment year.

(2)However, the property is not exempt if —

(a)the individual or any other person derived any income from the property in the period between the beginning of the assessment year and the time when the property was first occupied; or

(b)any other private residential property owned by the individual is exempt for the assessment year under another provision of this Division as a result of its use by the individual as his or her primary residence.

(3)The Commissioner is to make any reassessment necessary to give effect to this section.

[Section 24 amended by No. 31 of 2006 s. 20.]

24A.Construction of private residence, 2 year exemption for

(1)Private residential property (except property held in trust) that is owned by an individual is exempt for 2 consecutive assessment years if —

(a)the commencement date for the construction of the private residence that forms part of the property is —

(i)in the first assessment year; or

(ii)in any previous financial year and part of the construction is carried out in the first assessment year;

and

(b)the completion date for the construction is in the second assessment year; and

(c)at midnight on 30 June immediately before the first assessment year, the individual owned the land on which the private residence is constructed; and

(d)the individual is the first occupant of the private residence; and

(e)the individual uses the private residence as his or her primary residence during the second assessment year.

(2)However, the property is not exempt if —

(a)the individual or any other person derived any income from the property in the period between the beginning of the first assessment year and the time when the property was first occupied; or

(b)any other private residential property owned by the individual is exempt for either assessment year under another provision of this Division as a result of its use by the individual as his or her primary residence.

(3)The individual may apply for the exemption in the approved form after the commencement date for the construction.

(4)The Commissioner may require the individual to notify the Commissioner in the approved form of —

(a)the completion date for the construction; and

(b)when the individual occupies the private residence.

(5)The Commissioner is to make any reassessment necessary to give effect to this section.

[Section 24A inserted by No. 31 of 2006 s. 21; amended by No. 29 of 2012 s. 13.]

25.Refurbishment of private residence, one year exemption for

(1)Private residential property (except property held in trust) is exempt from land tax for an assessment year if —

(a)the property is owned by an individual; and

(b)at midnight on 30 June in the financial year before the assessment year the private residence that forms part of the property was unoccupied, but only because the individual had ceased occupation, or not taken up occupation, to enable the private residence to be refurbished; and

(c)the individual takes up occupation of the private residence during the assessment year, and is the first occupant of the private residence since the refurbishment; and

(d)no rent or other income was derived from the property by anyone in respect of the period between the beginning of the assessment year and the time when the property was reoccupied.

(2)However, the property is not exempt if any other private residential property owned by the same individual is exempt for the assessment year under another provision of this Division as a result of its use by the same individual as his or her primary residence.

(3)The Commissioner is to make any reassessment necessary to give effect to this section.

25A.Refurbishment of private residence, 2 year exemption for

(1)Private residential property (except property held in trust) that is owned by an individual is exempt for 2 consecutive assessment years if —

(a)the commencement date for the refurbishment of the private residence that forms part of the property is —

(i)in the first assessment year; or

(ii)in any previous financial year and part of the refurbishment is carried out in the first assessment year;

and

(b)the completion date for the refurbishment is in the second assessment year; and

(c)at midnight on 30 June immediately before the first assessment year, the private residence was unoccupied, but only because the individual had ceased occupation, or had not taken up occupation, to enable the private residence to be refurbished; and

(d)the individual is the first occupant of the private residence since the refurbishment; and

(e)the individual uses the private residence as his or her primary residence during the second assessment year.

(2)However, the property is not exempt if —

(a)the individual or any other person derived any income from the property in the period between the beginning of the first assessment year and the time when the property was reoccupied; or

(b)any other private residential property owned by the individual is exempt for either assessment year under another provision of this Division as a result of its use by the individual as his or her primary residence.

(3)The individual may apply for the exemption in the approved form after the commencement date for the refurbishment.

(4)The Commissioner may require the individual to notify the Commissioner in the approved form of —

(a)the completion date for the refurbishment; and

(b)when the individual occupies the private residence.

(5)The Commissioner is to make any reassessment necessary to give effect to this section.

[Section 25A inserted by No. 31 of 2006 s. 22; amended by No. 29 of 2012 s. 14.]

26.Residence of disabled person held in trust, exemption for

(1)Private residential property held in trust is exempt for an assessment year if, at midnight on 30 June in the financial year before the assessment year —

(a)the land is owned by a trustee who holds the land in trust for one or more disabled beneficiaries; and

(b)at least one disabled beneficiary of the trust uses the property as his or her primary residence.

(2)If —

(a)land was exempt under this section on 30 June in the financial year before the year referred to in paragraph (b); and

(b)on 30 June in the financial year before the assessment year —

(i)the trustee does not hold the land in trust for one or more disabled beneficiaries; or

(ii)there is not at least one disabled beneficiary using the property as his or her primary residence,

the trustee must notify the Commissioner to that effect within 3 months after 30 June in the financial year before the assessment year.

Penalty: $5 000.

[Section 26 amended by No. 31 of 2006 s. 28.]

26A.Residence of disabled person owned by relative, exemption for

(1)In this section —

disabled person means a person who —

(a)is qualified for a disability support pension under the Social Security Act 1991 (Commonwealth) Part 2.3 (whether or not the person receives that pension); or

(b)is under 16 years of age and is cared for by a parent or guardian, within the meaning given in the Social Security Act 1991 (Commonwealth), who is qualified for a carer payment under Part 2.5 of that Act in respect of that care (whether or not the person receives that payment).

(2)Private residential property is exempt for an assessment year if at midnight on 30 June in the financial year before the assessment year —

(a)a disabled person uses the property as his or her primary residence; and

(b)it is owned by one or more individuals, at least one of whom is related to the disabled person.

(3)For the purposes of subsection (2)(b) —

(a)the following persons are related to a disabled person —

(i)a parent or grandparent of the disabled person;

(ii)a brother or sister of the disabled person;

and

(b)an illegitimate person is to be treated as the legitimate child of that person’s parents; and

(c)it is irrelevant whether a relationship is of the whole or half‑blood, or whether it is a natural relationship or a relationship established under a written law.

[(4)-(6)deleted]

(7)If —

(a)land was exempt under this section on 30 June in the financial year before the year referred to in paragraph (b); and

(b)on 30 June in the financial year before the assessment year there is not at least one disabled person related to an owner using the property as his or her primary residence,

the owner must notify the Commissioner to that effect within 3 months after 30 June in the financial year before the assessment year.

Penalty: $5 000.

[Section 26A inserted by No. 31 of 2006 s. 29; amended by No. 30 of 2008 s. 14.]

27.Moving between 2 private residences, application of exemption

(1)Private residential property (property A) is exempt for an assessment year if —

(a)at midnight on 30 June in the previous financial year, the owner owned property A and another private residential property (property B); and

(b)property B is exempt for the assessment year because of its use by an individual at midnight on 30 June in the previous financial year as the individual’s primary residence; and

(c)property A would have been exempt for the assessment year if, at midnight on 30 June in the previous financial year, the individual had used property A as the individual’s private residence instead of property B; and

(d)the property the owner acquired second was acquired in the previous financial year; and

(e)the individual used property A as the individual’s primary residence —

(i)in the previous financial year before using property B for that purpose; or

(ii)in the assessment year after using property B for that purpose;

and

(f)during the assessment year, the owner —

(i)sold or otherwise disposed of the property the owner acquired first; and

(ii)delivered possession of that property to the new owner.

(2)However, property A is not exempt if, while the owner owned both properties, the owner or any other person derived income from the property that was not being used as the individual’s primary residence.

(3)The owner must notify the Commissioner in the approved form of when the disposal and delivery of possession of the property acquired first occurs.

(4)The Commissioner is to make any reassessment necessary to give effect to this section.

[Section 27 inserted by No. 31 of 2006 s. 23.]

27A.Construction or refurbishment of second private residence, 2 year exemption for

(1)Private residential property is exempt for 2 consecutive assessment years if —

(a)at midnight on 30 June immediately before the first assessment year, the owner owned that property and another private residential property that the owner had acquired before that property; and

(b)the property the owner acquired first is exempt for the first assessment year because of its use by an individual at midnight on 30 June in the previous financial year as the individual’s primary residence; and

(c)the property the owner acquired second would have been exempt for the first assessment year if, at midnight on 30 June in the previous financial year, the individual had used that property as the individual’s private residence instead of the property acquired first; and

(d)the property acquired second was acquired in the previous financial year; and

(e)the commencement date for the construction or refurbishment of the private residence that forms part of the property acquired second —

(i)is in the first assessment year; or

(ii)is in the previous financial year and part of the construction or refurbishment is carried out in the first assessment year;

and

(f)the completion date for the construction or refurbishment of the private residence that forms part of the property acquired second is in the second assessment year; and

(g)in the case of the refurbishment of the private residence that forms part of the property acquired second — at midnight on 30 June immediately before the first assessment year, the private residence was unoccupied, but only because the individual had not taken up occupation to enable the private residence to be refurbished; and

(h)the individual is the first occupant of the private residence that forms part of the property acquired second since its construction or refurbishment; and

(i)the individual uses the private residence that forms part of the property acquired second as his or her primary residence during the second assessment year; and

(j)by the end of the second assessment year, the owner —

(i)has sold or otherwise disposed of the property acquired first; and

(ii)has delivered possession of that property to the new owner.

(2)However, the property acquired second is not exempt if, while the owner owned both properties, the owner or any other person derived income from the property that was not being used as the individual’s primary residence.

(3)The owner may apply for the exemption in the approved form after the commencement date for the construction or refurbishment.

(4)The Commissioner may require the owner to notify the Commissioner in the approved form of —

(a)the completion date for the construction or refurbishment; and

(b)when the individual occupies the property acquired second; and

(c)when the disposal and delivery of possession of the property acquired first occurs.

(5)The Commissioner is to make any reassessment necessary to give effect to this section.

[Section 27A inserted by No. 31 of 2006 s. 23; amended by No. 29 of 2012 s. 15.]

28.Inner city residential property, rebate for

(1)The owner of private residential property may apply to the Commissioner in the approved form for a rebate under this section.

(2)The owner of private residential property is entitled to a rebate of the land tax payable for an assessment year on the aggregated taxable value of all the applicant’s land if —

(a)the private residential property is in an area of the State prescribed as an inner city area, and is also in an area that is the subject of a local planning scheme or an improvement scheme, or a redevelopment scheme in force under the Metropolitan Redevelopment Authority Act 2011, where the land is not zoned for use solely for residential purposes; and

(b)the construction of the private residence that forms part of the private residential property was completed before or during the assessment year; and

(c)the private residence was occupied, or fit to be occupied and intended by the owner to be occupied, as a place of residence for one or more individuals, during the assessment year or during the part of the assessment year remaining after the construction is completed, as the case requires; and

(d)the private residential property is not exempt for the assessment year under another provision of this Division; and

(e)the aggregated taxable value of all the applicant’s taxable land is greater than it would have been if the private residential property had been in an area zoned solely for residential purposes.

(3)The amount of the rebate is calculated using the following formula —

where —

LTis greater than RE;

Ris the amount of the rebate;

LT(short for land tax) is the amount of land tax levied on the aggregated taxable value of all of the taxable land owned by the applicant;

RE(short for residential equivalent) is the amount of the land tax that would be payable on the sum of —

(a)the aggregated taxable value of all of the taxable land owned by the applicant other than the private residential property referred to in subsection (2)(a); and

(b)the taxable value of that private residential property determined as if the property were zoned under a scheme referred to in subsection (2)(a) for use solely for residential purposes.

(4)The Commissioner may, by notice served on an applicant, relieve the applicant from the obligation to apply for a rebate for each assessment year and may, by further notice, reimpose that obligation upon the applicant.

(5)If the private residential property ceases to comply with subsection (2)(a), (b), (c) or (d), or the area of the property is reduced, the owner must notify the Commissioner to that effect before the beginning of the next assessment year, or within 3 months of the day on which compliance stopped or the property was reduced in area, whichever is later.

Penalty: $5 000.

(6)The Commissioner is to make any reassessment necessary to give effect to this section.

[Section 28 amended by No. 38 of 2005 s. 15; No. 19 of 2009 s. 9; No. 28 of 2010 s. 33(3); No. 45 of 2011 s. 140.]

Division 3Land used for primary production business

[Heading inserted by No. 1 of 2015 s. 6.]

Subdivision 1 — Terms used

[Heading inserted by No. 1 of 2015 s. 6.]

29.Terms used

In this Division —

beneficiary, in relation to a discretionary or other trust (other than a unit trust scheme), means an individual who is a beneficiary under the trust (whether the beneficiary has a vested share or is contingently entitled or is a potential beneficiary under a discretionary trust);

discretionary trust has the meaning given in the Duties Act 2008 section 3;

family corporation has the meaning given in section 30H(b);

family member has the meaning given in the Duties Act 2008 section 100;

family owner, in relation to land, has the meaning given in section 30H;

family trust has the meaning given in section 30H(c);

family unit trust scheme has the meaning given in section 30H(d);

non‑rural land means all land in the State —

(a)that is in the metropolitan region; or

(b)that is outside the metropolitan region and is zoned other than for rural purposes under a local planning scheme or an improvement scheme;

partnership has the meaning given in the Partnership Act 1895 section 7;

primary production, in relation to land, has the meaning given in section 30A;

primary production business has the meaning given in section 30B;

related, in relation to a family owner of land, has the meaning given in sections 30I to 30;

rural land means all land in the State other than non‑rural land.

[Section 29 inserted by No. 1 of 2015 s. 6.]

30A.What is primary production

(1)Land is used for primary production if it is used for any of the following —

(a)the growing or rearing of plants (including trees, fungi or any crop) for the purpose of selling them, parts of them or their produce;

(b)the breeding, rearing or maintenance of living creatures for any of the following purposes (produce animals) —

(i)selling them, or their progeny, for food;

(ii)the production or collection of their skins, shells or bodily produce;

(iii)selling parts of them or their skins, shells or bodily produce;

(c)the breeding, rearing or maintenance of produce animals for the purpose of selling them or their progeny —

(i)for stud purposes; or

(ii)to be used for a purpose set out in paragraph (b)(i), (ii) or (iii);

(d)the breeding or rearing of horses for the purpose of selling them or their progeny;

(e)any other thing prescribed for the purposes of this subsection.

(2)In determining whether or not land is used for primary production —

(a)it is irrelevant whether a thing is sold, or to be sold, in a natural, processed or converted state; but

(b)the processing or converting of anything for the purpose of selling it is not primary production.

[Section 30A inserted by No. 1 of 2015 s. 6.]

30B.When land is used for primary production business

Land is used for a primary production business if the land is used for primary production and that use of the land —

(a)has a significant and substantial commercial purpose or character; and

(b)is directed at making a profit and has a prospect of making a profit (whether or not a profit is actually being made); and

(c)is planned, organised and carried on in a businesslike manner, rather than being carried on for recreation, hobby, sporting or similar activities; and

(d)has the same or similar characteristics as, and is carried out in the same or a similar manner to, the ordinary trade in that line of business taking into account —

(i)scale, size and permanency; and

(ii)repetition and regularity;

and

(e)is in accordance with any other factor prescribed for the purposes of this section.

[Section 30B inserted by No. 1 of 2015 s. 6.]

Subdivision 2 — Primary production business exemption

[Heading inserted by No. 1 of 2015 s. 6.]

30C.Exemption for rural land

Land is exempt for an assessment year if, at midnight on 30 June in the previous financial year, the land is —

(a)rural land; and

(b)used solely for a primary production business.

[Section 30C inserted by No. 1 of 2015 s. 6.]

30D.Exemption for non‑rural land

(1)Land is exempt for an assessment year if, at midnight on 30 June in the previous financial year, the land is —

(a)non‑rural land; and

(b)used solely for a primary production business; and

(c)used, as described in paragraph (b), only by one or more of the following —

(i)an owner of the land;

(ii)if an owner of the land is a family owner, a person related to the family owner.

(2)However, land is not exempt under this section for an assessment year if, at midnight on 30 June in the previous financial year —

(a)the land is owned jointly by 2 or more owners; and

(b)not every owner of the land is —

(i)a family owner; and

(ii)a person related to each other family owner;

and

(c)the land —

(i)is used for a primary production business by a person related to a family owner of the land; or

(ii)is not used for a primary production business by any owner of the land.

[Section 30D inserted by No. 1 of 2015 s. 6.]

30E.Exemption under section 30D after death of family owner or person related to family owner

The death of a person (the deceased) is to be disregarded in determining if land is exempt under section 30D for the assessment year following the financial year during which the death occurred and for that purpose section 30D applies as if —

(a)where the deceased was a family owner of the land — a reference in that section to a family owner of the land included a reference to an owner of the land who is an executor or administrator of the deceased’s estate; and

(b)a reference in that section to a person related to a family owner of the land —

(i)where the deceased was a family owner of the land — were a reference to a person who, immediately before the death, was related to the family owner of the land; and

(ii)where the deceased was a person related to a family owner of the land — included a reference to an executor or administrator of the deceased’s estate.

[Section 30E inserted by No. 1 of 2015 s. 6.]

30F.Notice to Commissioner about changes to exempt land

(1)If land was exempt under this Division for an assessment year, the owner of the land must notify the Commissioner if any of the following occurs (a change) —

(a)the land is no longer used solely for a primary production business;

(b)if the land is non‑rural land —

(i)the land is no longer used by one or more of the persons referred to in section 30D(1)(c); or

(ii)section 30D(2) applies in respect of the land.

(2)The owner of the land must give notice under subsection (1) in writing before whichever of the following occurs later —

(a)the beginning of the next assessment year after the change occurs;

(b)3 months after the day on which the change occurs.

Penalty for an offence under this subsection: a fine of $5 000.

[Section 30F inserted by No. 1 of 2015 s. 6.]

Subdivision 3 — Family owners of land and persons related to family owners of land

[Heading inserted by No. 1 of 2015 s. 6.]

30G.References to individuals, family members and nominated individuals

For the purposes of determining who is a family owner, or a person related to a family owner, of land a reference in this Subdivision —

(a)to an individual or a family member is a reference to the person in their capacity as an individual, and does not include any other capacity such as agent, trustee or otherwise on behalf of any other person; and

(b)to a nominated shareholder, nominated beneficiary or nominated unit holder is a reference to the individual nominated in writing for the purposes of this Division —

(i)to the Commissioner by the family corporation, the trustee of the family trust or the trustee of the family unit trust scheme, as is relevant; or

(ii)if such a nomination is not made within a reasonable period of time after a request for a nomination is made by the Commissioner, by the Commissioner.

[Section 30G inserted by No. 1 of 2015 s. 6.]

30H.Family owner of land

A family owner of land is an owner of the land that —

(a)is an individual; or

(b)is a corporation in which every shareholder is either the nominated shareholder or a family member of the nominated shareholder (a family corporation); or

(c)holds the land in the capacity of trustee of a discretionary or other trust (other than a unit trust scheme) under which every beneficiary is either the nominated beneficiary or a family member of the nominated beneficiary (a family trust); or

(d)holds the land in the capacity of trustee of a unit trust scheme under which every unit is held by either the nominated unit holder or a family member of the nominated unit holder (a family unit trust scheme).

[Section 30H inserted by No. 1 of 2015 s. 6.]

30I.Persons related to family owner who is an individual

(1)A person is related to a family owner of land who is an individual (the individual) if the person is —

(a)a family member of the individual; or

(b)a partner in a partnership in which every partner is either the individual or a family member of the individual; or

(c)a corporation in which every shareholder is either the individual or a family member of the individual; or

(d)a trustee of a discretionary or other trust (other than a unit trust scheme) under which every beneficiary is either the individual or a family member of the individual; or

(e)a trustee of a unit trust scheme under which every unit is held by either the individual or a family member of the individual.

(2)If land is owned jointly by 2 or more individuals, then for the purposes of determining who is related to a family owner of land, a reference in subsection (1) to the individual is a reference to the individual nominated in writing for the purposes of this Division —

(a)to the Commissioner jointly by the 2 or more family owners who are individuals; or

(b)if such a nomination is not made within a reasonable period of time after a request for a nomination is made by the Commissioner, by the Commissioner.

[Section 30I inserted by No. 1 of 2015 s. 6.]

30J.Persons related to family corporation

A person is related to a family owner of land that is a family corporation if the person is the nominated shareholder for the corporation (the shareholder) or is —

(a)a family member of the shareholder; or

(b)a partner in a partnership in which every partner is either the shareholder or a family member of the shareholder; or

(c)another corporation in which every shareholder is either the shareholder or a family member of the shareholder; or

(d)a trustee of a discretionary or other trust (other than a unit trust scheme) under which every beneficiary is either the shareholder or a family member of the shareholder; or

(e)a trustee of a unit trust scheme under which every unit is held by either the shareholder or a family member of the shareholder.

[Section 30J inserted by No. 1 of 2015 s. 6.]

30K.Persons related to trustee of family trust

A person is related to a family owner of land that is a trustee of a family trust if the person is an individual who is the nominated beneficiary for the trust (the beneficiary) or is —

(a)a family member of the beneficiary; or

(b)a partner in a partnership in which every partner is either the beneficiary or a family member of the beneficiary; or

(c)a corporation in which every shareholder is either the beneficiary or a family member of the beneficiary; or

(d)a trustee of another discretionary or other trust (other than a unit trust scheme) under which every beneficiary is either the beneficiary or a family member of the beneficiary; or

(e)a trustee of a unit trust scheme under which every unit is held by either the beneficiary or a family member of the beneficiary.

[Section 30K inserted by No. 1 of 2015 s. 6.]

30.Persons related to trustee of a family unit trust scheme

A person is related to a family owner of land that is a trustee of a family unit trust scheme if the person is the nominated unit holder for the scheme (the unit holder) or is —

(a)a family member of the unit holder; or

(b)a partner in a partnership in which every partner is either the unit holder or a family member of the unit holder; or

(c)a corporation in which every shareholder is either the unit holder or a family member of the unit holder; or

(d)a trustee of a discretionary or other trust (other than a unit trust scheme) under which every beneficiary is either the unit holder or a family member of the unit holder; or

(e)a trustee of another unit trust scheme under which every unit holder is either the unit holder or a family member of the unit holder.

[Section 30 inserted by No. 1 of 2015 s. 6.]

Division 4Crown land and other land used for public purposes

31.Land owned by Crown, public authority etc., exemption for

(1)Land owned by, or vested in, the Crown, an agency or instrumentality of the Crown, a local government or another public statutory authority is exempt for an assessment year unless, at midnight on 30 June in the financial year before the assessment year —

(a)the land is owned by a taxable authority; or

(b)a person or taxable authority is taken under section 8(1) or (2) respectively to be the owner of the land for the purposes of section 7.

(2)Despite subsection (1) and section 7, corridor land within the meaning of section 3 of the Rail Freight System Act 2000 is exempt, whether or not anyone is taken to be the owner of the land under section 8(1)(a) or (b).

(3)A person who is liable to pay taxes for an assessment year as a result of being taken to be the owner of land under section 8(1)(a) or (b) is entitled to a rebate of the taxes if —

(a)the lease, licence, agreement or arrangement by virtue of which the person is taken to be the owner of the land was terminated during the assessment year before its expiry; and

(b)the termination occurred without the person’s consent, and was not a result of some default by the applicant; and

(c)the person applies to the Commissioner in the approved form.

(4)The rebate is calculated in accordance with the formula —

where —

A=the amount of taxes payable for the assessment year in relation to all the taxable land owned by the applicant;

T=the proportion which the taxable value of the lot or parcel to which the termination relates bears to the aggregated taxable value;

P=the proportion of the assessment year remaining after the day on which the lease, licence, agreement or arrangement was terminated.

(5)Subject to section 17 of the Taxation Administration Act 2003, the Commissioner is to make any reassessment necessary to give effect to this section.

(6)In this section —

taxes means land tax, penalty tax or charges under the regulations for land tax paid in instalments.

[Section 31 amended by No. 19 of 2009 s. 13; No. 5 of 2018 s. 6.]

32.Land owned by religious bodies, exemption for

(1)Land is exempt for an assessment year if —

(a)at midnight on 30 June in the previous financial year it is owned by, vested in or held in trust for a religious body; and

(b)it is in good faith reserved or used as a site for religious purposes, including a site for a church or a chapel, for public worship, for educational purposes or for the residence of a minister of the religious body.

(2)However if, during an assessment year, reserved land is used for any other purpose or is sold, then land tax is payable on the land for the lesser of the following periods —

(a)the 5 financial years reckoned retrospectively from and including the assessment year;

(b)the number of financial years from and including the first financial year for which the land was exempt as a result of its use and ownership to and including the assessment year.

(3)The amount of land tax payable for each financial year for which land tax is payable under subsection (2) is assessed at the rate applicable for that year under the Land Tax Act 2002.

(4)Despite section 17(4) of the Taxation Administration Act 2003, the Commissioner is to make any reassessment necessary to give effect to subsection (2).

(5)In this section —

reserved land, in relation to an assessment year, means land that is exempt for that year under subsection (1) because it is or was reserved as a site for the purposes referred to in subsection (1)(b).

33.Land owned by educational institutions, exemption for

(1)Land is exempt for an assessment year if —

(a)at midnight on 30 June in the previous financial year, it is owned by, vested in or held in trust for an educational institution listed in subsection (4); and

(b)it is in good faith used or reserved as a site for the purpose of providing facilities necessary for or conducive to the attainment of the objects of the institution and the performance of its functions.

(2)However if, during an assessment year, reserved land is used for any other purpose or is sold, then land tax is payable on the land for the lesser of the following periods —

(a)the 5 financial years reckoned retrospectively from and including the assessment year;

(b)the number of financial years from and including the first financial year for which the land was exempt as a result of its use and ownership to and including the assessment year.

(3)The amount of land tax payable for each financial year for which land tax is payable under subsection (2) is assessed at the rate applicable for that year under the Land Tax Act 2002.

(4)For the purposes of subsection (1) the following educational institutions are listed —

(a)the University of Western Australia constituted under the authority of the University of Western Australia Act  1911;

(b)Curtin University established under the Curtin University Act 1966;

(c)Murdoch University established under the Murdoch University Act 1973;

(d)Edith Cowan University established under the Edith Cowan University Act 1984;

(e)any bona fide educational institution not carried on for the purpose of private profit or gain;

(f)a college, hostel, or hall of residence affiliated with an educational institution referred to in paragraph (a), (b), (c), (d) or (e) that has as its objects the provision of residence, or education and residence, for enrolled students of the body or institution, and that is not carried on for the purpose of private profit or gain.

(5)Despite section 17(4) of the Taxation Administration Act 2003, the Commissioner is to make any reassessment necessary to give effect to subsection (2).

(6)In this section —

reserved land, in relation to an assessment year, means land that is exempt for that year under subsection (1) because it is or was reserved as a site for the purposes referred to in subsection (1)(b).

[Section 33 amended by No. 32 of 2016 s. 185.]

34.Land used for public or religious hospitals, exemption for

Land is exempt for an assessment year if, at midnight on 30 June in the previous financial year, it is used solely for the purposes of a public hospital or a hospital conducted by or on behalf of a religious body.

35.Mining tenements, exemption for

Land is exempt for an assessment year if a mining tenement as defined in the Mining Act 1978 is in force for the land at midnight on 30 June in the previous financial year, unless the land is owned in fee simple.

36.Land used for various public purposes, exemption for

Land is exempt for an assessment year if —

(a)at midnight on 30 June in the previous financial year, it is dedicated to, or vested in trustees for, the purposes of a zoological garden, an agricultural, pastoral or horticultural show, an historical society, a public museum or similar public purposes; and

(b)it is used for those purposes.

[Section 36 amended by No. 30 of 2008 s. 15.]

37.Land owned by public charitable or benevolent institutions, exemption for

(1)In this section —

public charitable or benevolent institution does not include an institution that is a relevant body, unless a beneficial body determination is in force for the purposes of this Act in respect of the relevant body.

(2)Land is exempt for an assessment year if at midnight on 30 June in the previous financial year, the land is —

(a)owned by, vested in or held in trust for a public charitable or benevolent institution; and

(b)used solely for the public charitable or benevolent purposes for which the institution was established.

(3)This section applies to an assessment year that commences on or after 1 July 2015.

[Section 37 inserted by No. 8 of 2015 s. 8.]

38AA.What is a relevant body

A reference to a relevant body is to any of the following —

(a)a political party;

(b)an industrial association;

(c)a professional association;

(d)a body, other than a body referred to in paragraph (a), (b), (c) or (e), that promotes trade, industry or commerce, unless the main purposes of the body are charitable purposes that fall within the first 3 categories (being relief of poverty, advancement of education and advancement of religion) identified by Lord Macnaghten in Commissioners for Special Purposes of Income Tax v Pemsel [1891] AC 531 as developed by the common law of Australia from time to time;

(e)a body that is a member of a class of bodies prescribed for the purposes of this paragraph;

(f)a body that —

(i)is a member of a group, as defined in the Pay‑roll Tax Assessment Act 2002 Glossary, of which a body referred to in another paragraph is also a member; or

(ii)is a related body corporate, as defined in the Corporations Act 2001 (Commonwealth) section 9, of a body referred to in another paragraph; or

(iii)has as its sole or dominant purpose or object the conferral of a benefit, whether financial or non‑financial, on a body referred to in another paragraph.

[Section 38AA inserted by No. 8 of 2015 s. 9.]

38AB.Application for a beneficial body determination

(1)An application may be made to the Minister for a determination under section 38AC that a relevant body is a beneficial body for the purposes of the taxation Acts if —

(a)the Commissioner has decided (the decision) that land is not exempt under section 37; and

(b)that decision is made solely on the ground that the land is owned by, vested in or held in trust for a relevant body referred to in section 38AA(c), (d), (e) or (f).

(2)An application referred to in subsection (1) can be made only if —

(a)an objection was made to the decision and the objection and any subsequent review proceedings are exhausted, discontinued or finally determined; or

(b)under the Taxation Administration Act 2003 section 34B —

(i)all rights of objection or review conferred by that Act in respect of the decision have been surrendered; or

(ii)an objection to the decision has been determined and all rights to take review proceedings on the Commissioner’s decision on the objection have been surrendered.

(3)However, an application referred to in subsection (1) cannot be made if the decision was made, or confirmed, on a reassessment made on an application made by the taxpayer —

(a)under the Taxation Administration Act 2003 section 16(2)(b); and

(b)after the right to object to the original assessment had expired.

(4)An application referred to in subsection (1) must be made within 60 days after subsection (2) first applies in respect of the decision.

[Section 38AB inserted by No. 8 of 2015 s. 9.]

38AC.Beneficial body determination

(1)On an application under section 38AB the Minister, with the Treasurer’s concurrence, may determine that a relevant body is a beneficial body for the purposes of the taxation Acts.

(2)The Minister, with the Treasurer’s concurrence, may revoke or amend a beneficial body determination.

(3)The Minister may make, amend or revoke a beneficial body determination only if the Minister is of the opinion that it is in the public interest to do so and after considering any information that the Minister considers relevant.

(4)The Minister must —

(a)provide written reasons to the applicant for a decision in relation to an application under section 38AB; and

(b)provide written reasons for a decision to amend or revoke a beneficial body determination to the body in respect of which the determination is made.

(5)The Minister is to publish notice of the making, amendment or revocation of a beneficial body determination in the Gazette.

(6)A beneficial body determination is subject to the conditions specified in the determination (if any).

(7)A beneficial body determination made under this section comes into force —

(a)for the purposes of this Act — on the day on which the determination is made; and

(b)for the purposes of the Duties Act 2008 and the Pay‑roll Tax Assessment Act 2002 — on the day specified in the notice in respect of each Act.

(8)Despite subsection (7)(a), a beneficial body determination made under this section applies in relation to the relevant body —

(a)for the assessment year in respect of which the application under section 38AB was made (the original assessment year); and

(b)for any subsequent assessment year —

(i)after the original assessment year up to, and including, the assessment year during which the determination was made; and

(ii)in respect of which land would have been exempt under section 37 had the determination been in force for the purposes of this Act in respect of the relevant body.

(9)The Commissioner is to reassess the land tax payable on land for each assessment year in respect of which a beneficial body determination applies under subsection (8).

(10)The limitations as to time in the Taxation Administration Act 2003 section 17 do not apply in respect of a reassessment under subsection (9).

(11)A beneficial body determination continues in force until the day on which notice of the revocation is published in the Gazette, and different days may be specified for each Act in respect of which the determination is in force.

[Section 38AC inserted by No. 8 of 2015 s. 9.]

38.Land owned by non‑profit associations, exemption or concession for

(1)Land is exempt for an assessment year if —

(a)at midnight on 30 June in the previous financial year, it is owned by, vested in or held in trust for a sports association; and

(b)it is used as a site for providing facilities (which may include facilities for the sale of liquor) that are necessary for or conducive to the attainment of the sporting objects of the association.

(2)Land is exempt for an assessment year if —

(a)at midnight on 30 June in the previous financial year, it is owned by, vested in or held in trust for any non‑profit association except a sports association; and

(b)it is used solely as a site for providing facilities (which may include facilities for the sale of liquor) that are necessary for or conducive to the attainment of the objects of the association, and are not available for use on a paying basis by anyone except members of the association and their guests.

(3)If the whole of a lot or parcel of land is not used as described in subsection (2)(b) then an exemption under this section does not apply but the land is to be taxed at the concessional rate of 50% of the rate imposed by the Land Tax Act 2002 if at least half of the area equal to the sum of the area of the land and the area of any part of a building on the land that is capable of being let is used as described.

[Section 38 amended by No. 1 of 2015 s. 16.]

38A.Land used as aged care facility, exemption for

(1)In this section —

aged care facility means any building or any part of a building used for the provision of a residential care service that is certified under the Commonwealth Aged Care Act 1997, if the service has been certified having regard to the building or the part of the building;

residential care has the meaning given in the Commonwealth Aged Care Act 1997.

(2)Land is exempt for an assessment year if, at midnight 30 June in the previous financial year, it is used for the purposes of an aged care facility.

[Section 38A inserted by No. 12 of 2007 s. 6.]

39.Land used for retirement villages: exemption for

(1)In this section, each of these terms has the meaning given in the Retirement Villages Act 1992 section 3 —

residence contract

residential premises

retirement village

retirement village scheme

(2)Land is exempt for an assessment year if, at midnight on 30 June in the previous financial year, it is used for residential premises that are —

(a)in a retirement village; and

(b)being occupied, or available for occupation, under a residence contract.

(3)If land used for residential premises in a retirement village is exempt under subsection (2), then the exemption applies not only to that land but also extends to any land that, at midnight on 30 June in that financial year, is —

(a)part of the retirement village; and

(b)appurtenant to the residential premises; and

(c)being occupied or used for, or in connection with, the retirement village scheme for the retirement village.

[Section 39 inserted by No. 1 of 2015 s. 17.]

Division 4A — Land used for non‑permanent residences

[Heading inserted by No. 10 of 2005 s. 7.]

39A.Land to which s. 39B applies

(1)In this section —

dwelling park land has the meaning given by subsection (2);

dwelling park purposes means —

(a)the purpose of use as sites on which caravans, caravans and camps, or park homes, are or may be situated for habitation; and

(b)any related purpose or purposes;

excluded purpose means the purpose of use —

(a)as a hotel, motel, hostel, lodging house or boarding house; or

(b)as premises not already mentioned in paragraph (a) that are the subject of a licence under the Liquor Control Act 1988;

related purpose means a purpose, other than an excluded purpose, determined by the Commissioner, or prescribed, to be ancillary to the purpose of use as sites on which caravans, caravans and camps, or park homes, are or may be situated for habitation.

(1A)If a term used in this section is defined in section 5 of the Caravan Parks and Camping Grounds Act 1995, it has the same meaning in this section.

(2)Land is dwelling park land if —

(a)the land is, or is part of, a caravan park or camping ground; and

(b)the caravan park or camping ground is —

(i)operated, or required to be operated, under a licence issued under the Caravan Parks and Camping Grounds Act 1995; or

(ii)operated by a local government on land that is not owned by, or vested in, the local government;

and

(c)the land is used solely for dwelling park purposes.

(3)In considering an application under subsection (4) or (5A) the Commissioner may regard land used for a related purpose as being used solely for dwelling park purposes even though it is used for another purpose in addition to the related purpose.

(4)The owner of land may apply to the Commissioner in the approved form for a determination that the land is dwelling park land.

(5A)A person who owned land in an assessment year (year A) may apply to the Commissioner in the approved form for a determination that the land was dwelling park land as at midnight on 30 June in the financial year preceding year A.

(5B)An application under subsection (5A) cannot be made —

(a)more than 5 years after the original assessment for year A was made; or

(b)if year A commenced before 1 July 2005.

(5)Without limiting subsection (4) or (5A), an application may be made for a determination as to land that constitutes a portion of a lot.

[(6)deleted]

(7)If a determination as to land is made as applied for under subsection (4), section 39B applies to that land in respect of each subsequent assessment year unless, before the beginning of that year —

(a)the land ceases to be dwelling park land; or

(b)there is a change in the ownership of the land.

(8A)If a determination as to land is made as applied for under subsection (5A), section 39B applies to that land in respect of year A.

(8)Despite subsections (7) and (8A), section 39B does not apply to land as to which a determination is made if an exemption under another provision of this Act applies to the land.

(9)If land as to which a determination is made as applied for under subsection (4) ceases to be dwelling park land, the owner of the land must notify the Commissioner to that effect before the beginning of the next assessment year, or within 3 months of the day on which the cessation occurred, whichever is later.

(10)A reference in subsection (7), (8A), (8) or (9) to land as to which a determination is made includes a reference to any part of that land.

[Section 39A inserted by No. 10 of 2005 s. 7; amended by No. 73 of 2006 s. 114; No. 30 of 2008 s. 16; No. 19 of 2010 s. 51.]

39B.Dwelling park land: concession and exemption for

(1)If this section applies to land in respect of an assessment year, then —

(a)if the assessment year commenced before 1 July 2010, the land tax on the land is payable at 50% of the rate imposed for that assessment year by the Land Tax Act 2002;

(b)if the assessment year commenced on or after 1 July 2010, the land is exempt from land tax for that assessment year.

(2)The Commissioner is to make any reassessment necessary to give effect to this section in respect of an assessment year in respect of which an assessment has already been made.

[(3)deleted]

[Section 39B inserted by No. 10 of 2005 s. 7; amended by No. 30 of 2008 s. 17; No. 27 of 2010 s. 5; No. 1 of 2015 s. 18.]

Division 5Other exemptions and concessions

40.Land owned by veteran’s surviving partner or mother, exemption for

Land is exempt for an assessment year to the extent of the first $10 000 of the value of the land on which land tax would otherwise be payable if, at midnight on 30 June in the previous financial year, the owner of the land is —

(a)a war widow or war widower, as defined in section 5E of the Veteran’s Entitlements Act 1986 of the Commonwealth; or

(b)a veteran’s widowed mother to whom a pension continues to be payable under section 4(6) of the Veteran’s Entitlements (Transitional Provisions and Consequential Amendments) Act 1986 of the Commonwealth.

41.Land under conservation covenant, exemption for

Land that is used solely or principally for the conservation of native vegetation is exempt for an assessment year if the land is the subject of a conservation covenant that was in force at midnight on 30 June in the financial year before the assessment year.

[Section 41 inserted by No. 12 of 2004 s. 4.]

42A.Land under biodiversity conservation covenant, exemption for

Land is exempt for an assessment year if the land is the subject of a biodiversity conservation covenant under the Biodiversity Conservation Act 2016 that is expressed to have effect in perpetuity and that was in force at midnight on 30 June in the financial year before the assessment year.

[Section 42A inserted by No. 24 of 2016 s. 319.]

42.Land vacated for sale by mortgagee, one year exemption for

(1)Land is exempt for an assessment year if —

(a)the property was vacant at midnight on 30 June in the financial year before the assessment year; and

(b)an exemption or concession under another provision of this Act would have applied to the land if, at that time, the owner or a particular individual or body had occupied the land or had been using it for an exempt purpose, or both, as mentioned in the provision; and

(c)the only reason that the property was not at that time occupied by the individual or body or used for that purpose was that a mortgagee of the property required the property to be vacated pursuant to the mortgagee’s right to sell the property.

(2)The land is exempt under subsection (1) only to the extent that it would have been exempt under the other provision of this Act.

(3)However, the property is not exempt if —

(a)the owner is entitled to an exemption in respect of any other property under the same provision or under section 21, 22, 23, 24, 24A, 25 or 25A; or

(b)any person derives rent or other income from the land during the period when the land was required to be vacant.

(4)An exemption under this section applies in relation to the land and the owner for one assessment year only.

[Section 42 amended by No. 31 of 2006 s. 24.]

43A.Newly subdivided land, concession for

(1)If a lot (the old lot) is subdivided in the financial year before an assessment year, the land tax payable on a lot created by the subdivision (the new lot) is assessed under this section if —

(a)the new lot was not created pursuant to a strata plan as referred to in clause 3(1)(d); and

(b)the ownership of the new lot has not changed since the old lot was subdivided; and

(c)the new lot is wholly within the old lot; and

(d)the new lot was created to be used solely or principally for residential purposes; and

(e)the new lot does not have on it a building that is used, or is suitable to be used, for residential purposes; and

(f)the new lot has an area of not more than 2 000 m2 or, if its area is more than 2 000 m2, it is to be used for a building or a group of buildings that —

(i)is solely for residential purposes; and

(ii)contains a number of separate residential units;

and

(g)the owner of the new lot applies under subsection (2) to have the land tax assessed under this section.

(2)An application must —

(a)be in an approved form; and

(b)be received by the Commissioner on or before 31 August in the assessment year, unless the Commissioner gives an extension under subsection (3).

(3)The Commissioner may extend the time for lodging an application from 31 August to any date before the following 1 July if —

(a)the owner applies for the extension before the end of the assessment year; and

(b)the Commissioner is satisfied that there are reasonable grounds for extending the time.

[(4)deleted]

(5)The land tax on the new lot is payable on the lesser of these values —

(a)the concessional value of the new lot calculated in accordance with subsection (6);

(b)the unimproved value of the new lot at 30 June immediately before the assessment year.

(6)The concessional value of the new lot is the amount equal to the amount that bears the same proportion to the old lot’s unimproved value as at midnight on 30 June immediately before the financial year in which the new lot was created as the area of the new lot bears to the area of the old lot.

(7)A reference in a land tax Act, other than in clause 6, to the taxable value of the land in the new lot is a reference to whichever value, under subsection (5), is the value on which the land tax on the new lot is payable.

[Section 43A inserted by No. 19 of 2009 s. 10; amended by No. 15 of 2015 s. 8.]

Part 4 Miscellaneous

43.Occupier etc. of land to give information

(1)The Commissioner or an investigator may request an occupier of land or a person in possession of land to —

(a)disclose the name of the owner of the land or of the person entitled to receive the rents and profits of the land; and

(b)give any other information in the possession or control of the occupier or person that is required for the purposes of a land tax Act.

(2)A person who does not comply with a request commits an offence.

Penalty: $5 000.

[44.Deleted by No. 32 of 2016 s. 186.]

45.Contracts ineffective to alter incidence of land tax

(1)A contract, agreement or understanding that has or purports to have or might have the effect of removing, qualifying or altering the operation of an assessment or exemption, or of in any way affecting the incidence of an assessment or land tax or displacing the benefit of any exemption, is wholly void and inoperative as against the Commissioner so far as the contract, agreement, or understanding purports or is intended to have or might have that effect.

(2)Subsection (1) has effect whether the contract, agreement, or understanding —

(a)is arrived at or evidenced by matter of record under seal or by writing or by parol; or

(b)was made before or after the commencement of the land tax Acts.

(3)Except as provided in subsection (1), that subsection does not prejudice the validity of the contract, agreement, or understanding.

45A.Minor interests of joint owners, Commissioner may disregard

(1)The Commissioner may determine that an interest in a lot or parcel of land as a joint owner (whenever created) is to be disregarded for the purposes of this Act on and from the creation of the interest.

(2)The Commissioner can only make a determination under subsection (1) if —

(a)the interest is a minor interest in the lot or parcel of land; and

(b)the Commissioner is of the opinion that the purpose, or one of the purposes, of the creation of the interest was to reduce the amount of land tax payable for that, or any other, lot or parcel of land.

(3)For the purposes of subsection (2)(b), the Commissioner may have regard to —

(a)the nature of any relationship between the owners of the lot or parcel of land; and

(b)the form and substance of any transaction giving rise to the interest, including the legal and economic obligations of the parties and the economic and commercial substance of the transaction; and

(c)the lack of consideration, or the amount or value and source of the consideration, for the transaction giving rise to the interest; and

(d)whether any professional advice was received in relation to the transaction giving rise to the interest; and

(e)the way in which the transaction giving rise to the interest was entered into or carried out; and

(f)any other matter the Commissioner considers relevant.

(4)On making a determination under subsection (1) in respect of a lot or parcel of land, the Commissioner must give to the owner of the lot or parcel of land a notice setting out the determination, the reasons for the determination and the effect of the determination as described in section 45B.

(5)In any review proceedings that relate to a determination under subsection (1) in respect of an interest in 5% or less of a lot or parcel of land, the onus of establishing that none of the purposes of the creation of the interest was to reduce the amount of land tax payable for that, or any other, lot or parcel lies on the taxpayer.

[Section 45A inserted by No. 31 of 2006 s. 30; amended by No. 15 of 2015 s. 9.]

45B.Effect of determination under s. 45A

(1)If the Commissioner makes a determination under section 45A that an interest in a lot or parcel of land is an interest that is to be disregarded for the purposes of this Act on and from the creation of the interest, then, on and from the creation of the interest —

(a)the owner of the interest is to be taken not to be an owner of the lot or parcel of land for the purposes of this Act; and

(b)the land is to be taken to be wholly owned by the owner of the land who does not have an interest the subject of a determination.

(2)The Commissioner is to make any assessment, or reassessment, necessary to give effect to a determination.

(3)However, a reassessment cannot be made for an assessment year that is 5 or more years before the assessment year during which the determination was made.

(4)Subsection (3) —

(a)does not affect the operation of the Taxation Administration Act 2003 section 17(2); and

(b)applies despite the Taxation Administration Act 2003 section 17(4).

[Section 45B inserted by No. 15 of 2015 s. 10.]

46.Regulations

(1)The Governor may make regulations prescribing all matters that are required or permitted by this Act to be prescribed or are necessary or convenient to be prescribed for giving effect to this Act.

(2)Regulations may —

(a)require any agency or instrumentality of the Crown, or a local government or any other public authority to furnish to the Commissioner details of any land owned by or vested in it and which any other person is entitled to use for a business, commercial, professional, or trade purpose under an agreement or arrangement with it; and

(b)provide for the payment, in the circumstances specified in the regulations, of the full amount of land tax less a discount at a rate prescribed by the regulations; and

(c)provide that land tax may be paid in instalments, the first of the instalments to be due and payable within 49 days after the date of the assessment notice; and

(d)provide, when land tax is paid in instalments under the regulations, for the imposition of a charge at a rate prescribed by the regulations; and

(e)provide, when an instalment is not paid under the regulations when it is due, that the full amount of unpaid land tax is due and payable; and

(f)provide for matters necessary or expedient for the payment of land tax in instalments.

(3)Regulations may create offences and provide, in respect of an offence so created, for the imposition of a fine not exceeding $5 000.

47.Transitional provisions

Schedule 1 contains transitional provisions relating to amendments made to this Act.

[Section 47 inserted by No. 31 of 2006 s. 25.]

 

Schedule 1 — Transitional and validation provisions

[s. 47]

[Heading inserted by No. 31 of 2006 s. 26; amended by No. 1 of 2015 s. 19.]

Division 1 — Provision for Revenue Laws Amendment Act 2006

[Heading inserted by No. 31 of 2006 s. 26.]

1.Application of s. 24A, 25A and 27A

Private residential property is exempt under section 24A, 25A or 27A (as inserted by Part 4 Division 2 of the Revenue Laws Amendment Act 2006) if the completion date for the construction or refurbishment of the private residence that forms part of the property is on or after 1 July 2006.

[Clause 1 inserted by No. 31 of 2006 s. 26.]

Division 2 — Provision for Revenue Laws Amendment (Taxation) Act 2009

[Heading inserted by No. 19 of 2009 s. 11.]

2.Regulations for cl. 6

If regulations made under section 46 for the purposes of prescribing the percentage for clause 6(4) are made after 1 July 2009, they may be deemed to have come into operation on 1 July 2009.

[Clause 2 inserted by No. 19 of 2009 s. 11.]

Division 3 — Provisions for the Taxation Legislation Amendment Act (No. 2) 2015

[Heading inserted by No. 8 of 2015 s. 10.]

3.Terms used

In this Division —

new provisions means sections 37, 38AA, 38AB and 38AC as in force immediately after the commencement of the amendments effected by the Taxation Legislation Amendment Act (No. 2) 2015 Part 3;

previously exempt land means land that was exempt under section 37 for the assessment year immediately before the first assessment year to which the new provisions apply.

[Clause 3 inserted by No. 8 of 2015 s. 10.]

4.Previously exempt land: section 37

(1)If the Commissioner forms the preliminary view that previously exempt land may not be exempt under the new provisions, then the Commissioner is to give notice (preliminary notice about an exemption under section 37) to the person who would be liable to pay land tax on that land informing the person —

(a)that the Commissioner has formed such a preliminary view; and

(b)about the effect of this clause.

(2)If preliminary notice about an exemption under section 37 is given, the Commissioner is to decide whether or not the previously exempt land will be exempt under the new provisions.

(3)The Commissioner is to give notice to the person who would be liable to pay land tax on the previously exempt land informing the person of —

(a)the Commissioner’s decision as to whether or not the previously exempt land will be exempt under the new provisions; and

(b)the grounds on which the decision is made.

(4)Despite the amendments effected by the Taxation Legislation Amendment Act (No. 2) 2015 Part 3 —

(a)the new provisions do not apply in relation to previously exempt land until the assessment year following the financial year during which notice is given under subclause (3); and

(b) this Act as in force immediately before the commencement of those amendments continues to apply to that land until that time.

[Clause 4 inserted by No. 8 of 2015 s. 10.]

5.Beneficial body determination: application may be made

Despite clause 4(4), if the Commissioner makes a decision under clause 4 that previously exempt land will not be exempt under the new provisions solely on the ground that an institution is a relevant body referred to in section 38AA(c), (d), (e) or (f), then —

(a)an application may be made under section 38AB of the new provisions for a beneficial body determination in respect of the relevant body; and

(b)the new provisions apply to and in respect of that application, and any subsequent determination, as if a reference in section 38AB(1) to the decision were a reference to the decision of the Commissioner under clause 4.

[Clause 5 inserted by No. 8 of 2015 s. 10.]

Division 4 — Provisions for Taxation Legislation Amendment Act 2015

[Heading inserted by No. 1 of 2015 s. 7.]

Subdivision 1 — Preliminary

[Heading inserted by No. 1 of 2015 s. 20.]

6.Term used: amending Act

In this Division —

amending Act means the Taxation Legislation Amendment Act 2015.

[Clause 6 inserted by No. 1 of 2015 s. 7.]

Subdivision 2 — Provisions about primary production

[Heading inserted by No. 1 of 2015 s. 21.]

7.Application of section 15 during transitional period

(1)In this clause —

former section 30 means section 30 as in force immediately before the amending Act section 6 comes into operation;

transitional period means the period —

(a)beginning on 1 July 2014; and

(b)ending on 30 June 2018.

(2)Section 15 applies to and in respect of land that is subdivided during the transitional period as if section 15(1)(a) included a reference to land that was subject to a concession under the former section 30 for any of the 5 financial years reckoned retrospectively from, and including, the financial year during which the land was subdivided.

[Clause 7 inserted by No. 1 of 2015 s. 7.]

8.Application of section 20 to previous assessment years

(1)In this clause —

former section 20 means section 20 as in force immediately before the amending Act section 5 comes into operation;

previous assessment period means the period —

(a)beginning on 1 July 2009; and

(b)ending on 30 June 2014.

(2)Despite the amendment of section 20 by the amending Act section 5, the former section 20 continues to apply to and in respect of an assessment year that occurred during the previous assessment period.

[Clause 8 inserted by No. 1 of 2015 s. 7.]

9.Application of section 30D to land held in trust for assessment year 2014/15

(1)In this clause —

compliant trustee, in relation to land, means a trustee of a discretionary or other trust (other than a unit trust scheme) that is —

(a)a family owner of the land under section 30H(c); or

(b)a person related to a family owner of the land described in section 30I(1)(d), 30J(d), 30K(d) or 30(d).

(2)Land is exempt under section 30D for the assessment year ending 30 June 2015 if —

(a)it would not be so exempt, but for this clause, solely because a trustee was not a compliant trustee at midnight on 30 June 2014; and

(b)on or before midnight on 30 June 2015 the trustee is a compliant trustee.

[Clause 9 inserted by No. 1 of 2015 s. 7.]

Subdivision 3 — Provisions about exemptions and rural business land

[Heading inserted by No. 1 of 2015 s. 22.]

10.Terms used

In this Subdivision —

2012 to 2014 assessment period means the period —

(a)beginning on 1 July 2012; and

(b)ending on 30 June 2014;

amended Act means this Act as in force immediately after commencement;

commencement means the day on which the amending Act section 22 comes into operation;

modified rural business land provisions means Part 3 Division 3 as in force immediately before the amending Act section 6 comes into operation, as modified by inserting after section 29(4):

(5)For the purposes of this section —

(a)income produced or derived from carrying out a rural business, or businesses, includes income produced or derived from the sale of produce or stock in a processed or converted state; but

(b)the processing or converting of anything for the purpose of selling it is not carrying out a rural business or businesses.

previous assessment means an assessment in respect of land for an assessment year during the validation period —

(a)that the land was partially exempt due to the application, or purported application, of section 18; or

(b)that the land was exempt due to the application, or purported application, of section 39;

rural business land assessment means an assessment in respect of land for an assessment year during the 2012 to 2014 assessment period that land was exempt, or subject to a concession —

(a)due to the application, or purported application, of Part 3 Division 3; and

(b)based on income that was, or included, income produced or derived from the sale of produce or stock in a processed or converted state;

validation period means the period —

(a)beginning on the coming into operation of the Land Tax Assessment Act 2002; and

(b)ending immediately before commencement.

[Clause 10 inserted by No. 1 of 2015 s. 22.]

11.Validation of previous assessments

(1)A previous assessment made, or purported to be made, during the validation period is to be taken to be, and to have always been, valid and effective to the same extent as it would have been if the amended Act had been in force when the assessment was made.

(2)The rights, obligations and liabilities of all persons are taken to be, and to have always been, the same as if a previous assessment had been validly made.

(3)Anything done, or purportedly done, during the validation period is as valid and effective, and is to be taken to have always been as valid and effective, as it would have been if a previous assessment had been validly made.

(4)In this clause, a reference to the doing of anything includes a reference to an omission to do anything.

(5)This clause is subject to clause 12.

[Clause 11 inserted by No. 1 of 2015 s. 22.]

12.Land tax decisions made or pending

(1)In this clause —

decision means —

(a)a decision of a court or tribunal made under a land tax Act before commencement; or

(b)an objection determined by the Commissioner before commencement.

(2)To the extent of any conflict or inconsistency between clause 11 and a decision, the decision prevails.

(3)Clause 11 does not apply to, or in respect of, a previous assessment —

(a)in respect of which an objection was lodged, but not finally determined by the Commissioner, under a land tax Act before 28 November 2013; or

(b)in respect of which review proceedings were commenced, but not finally determined, under a land tax Act before 28 November 2013.

[Clause 12 inserted by No. 1 of 2015 s. 22.]

13.Application of modified rural business land provisions during the 2012 to 2014 assessment period

The modified rural business land provisions apply, and are taken to have always applied, for the purposes of assessing, or reassessing, land tax for an assessment year during the 2012 to 2014 assessment period.

[Clause 13 inserted by No. 1 of 2015 s. 22.]

14.Validation of rural business land assessments

(1)A rural business land assessment made, or purported to be made, in respect of land for an assessment year during the 2012 to 2014 assessment period is to be taken to be, and to have always been, valid and effective to the same extent as it would have been if, when the assessment was made, the modified rural business land provisions had been in force.

(2)The rights, obligations and liabilities of all persons are taken to be, and to have always been, the same as if a rural business land assessment had been validly made.

(3)Anything done, or purportedly done, before commencement is as valid and effective, and is to be taken to have always been as valid and effective, as it would have been if a rural business land assessment had been validly made.

(4)In this clause, a reference to the doing of anything includes a reference to an omission to do anything.

[Clause 14 inserted by No. 1 of 2015 s. 22.]

15.Reassessment

Subject to the Taxation Administration Act 2003 section 17, the Commissioner may make any reassessment necessary to give effect to the amendments effected by the amending Act Part 3 Division 2 and this Subdivision.

[Clause 15 inserted by No. 1 of 2015 s. 22.]

Division 5 — Provisions for Land Tax Assessment Amendment Act 2018

[Heading inserted by No. 5 of 2018 s. 8.]

16.Terms used

In this Division —

amended Act means this Act as amended by the Land Tax Assessment Amendment Act 2018 Part 2;

commencement means the day on which the Land Tax Assessment Amendment Act 2018 Part 3 comes into operation;

former Act means this Act as in force immediately before the provisions of the Land Tax Assessment Amendment Act 2018 came into operation, or were deemed to come into operation, under section 2 of that Act;

non‑public authority means a body that —

(a)was a public statutory authority under the former Act; but

(b)is not a public statutory authority under the amended Act;

previous assessment means an assessment for an assessment year during the validation period made on the basis that —

(a)land owned by, or vested in, a non‑public authority was not exempt under section 31(1) of the former Act; or

(b)section 8(1)(b) of the former Act did not apply in respect of land that a person was entitled to use for business, commercial, professional or trade purposes under an agreement or arrangement with a taxable authority;

validation period means the period —

(a)beginning on the coming into operation of the Land Tax Assessment Act 2002; and

(b)ending immediately before commencement.

[Clause 16 inserted by No. 5 of 2018 s. 8.]

17.Validation of previous assessments

(1)A previous assessment made, or purported to be made, during the validation period is, and is to be taken to have always been, as valid and effective as it would have been if the amended Act had been in force when the assessment was made.

(2)The rights, obligations and liabilities of all persons are taken to be, and to have always been, the same as if a previous assessment had been validly made.

(3)Anything done, or purportedly done, during the validation period is as valid and effective, and is to be taken to have always been as valid and effective, as it would have been if a previous assessment had been validly made.

(4)In this clause, a reference to the doing of anything includes a reference to an omission to do anything.

(5)This clause is subject to clause 18.

[Clause 17 inserted by No. 5 of 2018 s. 8.]

18.Land tax decisions made or pending

(1)In this clause —

decision means —

(a)a decision of a court or tribunal made under a land tax Act before commencement; or

(b)an objection determined by the Commissioner before commencement.

(2)To the extent of any conflict or inconsistency between clause 17 and a decision, the decision prevails.

(3)Despite the Land Tax Assessment Amendment Act 2018 section 2(a), the validity of a decision is not to be called into question on the grounds that it conflicts with or is inconsistent with the amended Act.

(4)Clause 17 does not apply to, or in respect of, a previous assessment to which paragraph (a) of the definition of previous assessment in clause 16 applies if —

(a)an objection in respect of the assessment was lodged, but not finally determined by the Commissioner, under a land tax Act before 15 July 2015; or

(b)review proceedings in respect of the assessment were commenced, but not finally determined, under a land tax Act before 15 July 2015.

(5)Despite the amendments made by the Land Tax Assessment Amendment Act 2018 Part 2, the former Act continues to apply in respect of the determination of an objection or proceedings to which subclause (4) applies.

[Clause 18 inserted by No. 5 of 2018 s. 8.]

19.Reassessment

Subject to the Taxation Administration Act 2003 section 17, the Commissioner may make any reassessment necessary to give effect to this Division and the amendments made by the Land Tax Assessment Amendment Act 2018 Part 2.

[Clause 19 inserted by No. 5 of 2018 s. 8.]

 

Glossary

[s. 4]

1.Terms used

Unless the contrary intention appears —

agent includes every person who, in Western Australia , for or on behalf of any other person (the principal) —

(a)has the control or disposal of any real or personal property owned by the principal, or the control, receipt, or disposal of any rents or proceeds derived from the property; or

(b)directly or indirectly, whether by negotiation or in any other way, sells or disposes of any property, or offers any property for sale or disposition, or solicits or procures the sale or disposition of the property;

aggregated taxable value, in relation to 2 or more lots or parcels of land, means the amount equal to the sum of the taxable values of each taxable lot or parcel;

approved means approved by the Commissioner;

assessment means assessment of land tax;

assessment year, in relation to land tax, means the financial year for which the land tax is, or is to be, assessed;

building contract 

(a)means a contract under which a builder undertakes to construct or refurbish a private residence from the inception of the building work to the completion of that work; and

(b)if, for any reason, the work to be carried out under such a contract is not completed — includes any further contract under which the work is to be completed;

clause means a clause of this Glossary;

commencement date, for the construction or refurbishment of a private residence, means —

(a)if the residence is to be constructed or refurbished under a building contract — the date when the contract is made; or

(b)if the residence is to be constructed or refurbished by an owner‑builder — the date when the building permit for the work is granted under the Building Act 2011;

completion date, for the construction or refurbishment of a private residence, means the date when the construction or refurbishment is completed to the point where the residence is ready for occupation;

conservation covenant means a covenant that —

(a)restricts or prohibits certain activities on the land that could degrade the environmental value of the land; and

(b)is permanent and registered on the title to the land (if registration is possible); and

(c)is approved in writing by, or is entered into under a program approved in writing by, the Minister to whom the administration of the Conservation and Land Management Act 1984 is for the time being committed by the Governor;

disabled beneficiary, in relation to land held in trust, means a person who has a beneficial interest in the trust, whether the interest is contingent or otherwise, and who —

(a)is qualified for a disability support pension under the Social Security Act 1991 (Commonwealth) Part 2.3 (whether or not the person receives that pension); or

(b)is under 16 years of age and is cared for by a parent or guardian, within the meaning given in the Social Security Act 1991 (Commonwealth), who is qualified for a carer payment under Part 2.5 of that Act in respect of that care (whether or not the person receives that payment); or

(c)is a minor who is an orphan;

exempt, in relation to land, means exempt from land tax;

exempt purpose, in relation to land, means a purpose for which the land is used or reserved and by virtue of which the land is exempt;

home unit means —

(a)a strata title home unit (as defined below); or

(b)a non‑strata home unit (as defined below);

improvement scheme has the meaning given in the Planning and Development Act 2005 section 4(1);

improvements, in relation to land, means all works actually effected to the land, whether above or below the surface, and includes fixtures, but does not include machinery, whether fixed to land or not;

industrial association means any of the following —

(a)an organisation registered under the Industrial Relations Act 1979 section 53 or 54;

(b)an association of employees, or an association of employers, registered as an organisation, or recognised, under the Fair Work (Registered Organisations) Act 2009 (Commonwealth);

(c)an association of employees registered or recognised as a trade union (however described) under the law of another State or a Territory;

(d)an association of employers registered or recognised as such (however described) under the law of another State or a Territory;

(e)an association of employees a principal purpose of which is the protection and promotion of the employees’ interests in matters concerning their employment;

joint owners means persons who own land jointly or in common, whether as partners or otherwise;

land includes all tenements and all interests in land;

Land Information Authority means the Western Australian Land Information Authority established by the Land Information Authority Act 2006 section 5;

land tax means tax imposed under the Land Tax Act 2002;

land tax Act means —

(a)this Act; or

(b)the Land Tax Act 2002; or

(c)the Taxation Administration Act 2003, to the extent that it relates to land tax;

local planning scheme has the meaning given to that term in the Planning and Development Act 2005 section 4;

lot has the meaning given in clause 2;

metropolitan region has the same meaning as it has in the Planning and Development Act 2005;

non‑profit association means a society, club or association that is not carried on for the purpose of profit or gain to its individual members;

non‑strata home unit means a part of a building, being a building that —

(a)contains 2 or more such parts, each of which is designed for use as a self‑contained unit for living purposes; and

(b)is erected on land that is owned —

(i)by 2 or more persons as tenants in common, each of whom is the registered proprietor under the Transfer of Land Act 1893 of one or more undivided shares in the whole of the land and is lawfully entitled, under an agreement entered into between the person or his or her predecessor in title and all other owners of undivided shares in the land or their predecessors in title, to the exclusive right to occupy a specified home unit in the building; or

(ii)by a body corporate in which all issued shares are owned by 2 or more persons, each of whom is entitled by ownership of shares in the body corporate to the exclusive right to occupy a specified home unit in the building;

owner —

(a)in relation to land (except an interest in a home unit), means a person who is entitled to the land for any estate of freehold in possession; or

(b)in relation to an interest in a strata title home unit, means the proprietor of the lot as defined in the Strata Titles Act 1985; or

(c)in relation to a non‑strata home unit, means a person who is entitled to an exclusive right to occupy the home unit because the person —

(i)is a shareholder in the body corporate which owns the land on which the building containing the home unit is erected; or

(ii)is the registered proprietor of an undivided share in the land on which the building containing the home unit is erected;

or

(d)in relation to any liability to pay land tax for land (including an interest in a home unit), if a person or body is taken to be the owner of the land under section 8, means the person or body;

owner‑builder means an owner of private residential property who constructs or refurbishes a private residence that forms part of that property without entering into a building contract;

parcel means 2 or more lots of land that are treated as a single property under clause 2;

political party means a body or organisation, whether incorporated or unincorporated, having as one of its objects or activities the promotion of the election to the Parliament of the Commonwealth, or to a Parliament of a State or Territory, of a candidate or candidates endorsed by it or by a body or organisation of which it forms part;

primary residence, in relation to an individual, means the individual’s sole or principal place of residence;

private residence means a building or part of a building that was occupied, or fit to be occupied and intended by the owner to be occupied, as a place of residence of one or more individuals, except a building or part of a building that is —

(a)used as a hotel, motel, hostel, lodging house or boarding house; or

(b)ordinarily used for holiday accommodation; or

(c)used as an educational institution, college, hospital or nursing home; or

(d)used as a club; or

(e)used as a home for aged or disabled persons by an eligible organisation within the meaning of the Aged or Disabled Persons Care Act 1954 of the Commonwealth; or

(f)prescribed or of a prescribed class;

private residential property means —

(a)a lot of land on which there is a private residence; or

(b)a parcel of land on which there is a private residence constructed so that part of the residence stands on each of the lots of land that constitute the parcel; or

(c)an interest in a home unit; or

(d)for the purposes of sections 24, 24A, 27, 27A and 28 — a lot of land on which a private residence is being or has been constructed;

professional association means a body or organisation, whether incorporated or unincorporated, having as one of its objects or activities the promotion of the interests of its members in any profession;

promote trade, industry or commerce includes to carry out an undertaking a purpose of which includes the promotion of, or the advocacy for, trade, industry or commerce, whether generally or in respect of any particular kind of trade, industry or commerce;

public statutory authority means —

(a)a body, whether incorporated or not, that —

(i)is established or continued for a public purpose under a written law; and

(ii)under the authority of a written law, performs a statutory function on behalf of the State;

or

(b)the holder of an office, if —

(i)the office is established or continued for a public purpose under a written law; and

(ii)under the authority of a written law, the holder of the office performs a statutory function on behalf of the State;

registered means registered in the office of the Land Information Authority, the Forests Department 2, or the Department of Mines 3 under the provisions of any Act for the registration of titles to land, deeds, and other instruments;

relevant body has the meaning given in section 38AA;

reserved land, for the purposes of section 32 or 33, has the meaning given in the respective section;

retirement village has the same meaning as in the Retirement Villages Act 1992;

sport includes any game;

sports association means a non‑profit association whose principal object is to provide facilities for its members to engage in any form of sport;

strata plan has the same meaning as in the Strata Titles Act 1985;

strata scheme has the same meaning as in the Strata Titles Act 1985;

strata title home unit means a lot in a strata scheme, or survey‑strata scheme, that is registered under the Strata Titles Act 1985;

subdivided, in relation to land, has the meaning given in clause 3;

subdividing owner, in relation to land, means —

(a)the owner of the land on the day on which the land is subdivided; or

(b)if the ownership of the land changes on that day — the first owner on that day;

survey‑strata plan has the same meaning as in the Strata Titles Act 1985;

survey‑strata scheme has the same meaning as in the Strata Titles Act 1985;

taxable authority means —

(a)the Government Employees Superannuation Board within the meaning of the State Superannuation Act 2000; or

(b)any other body established or continued under or by an enactment that is prescribed for the purposes of this paragraph;

taxable land means land on which land tax is payable under section 5;

taxable value has the meaning given in clause 6;

taxes, for the purposes of section 9 or 31, has the meaning given in the respective section;

trustee, in relation to land, means —

(a)a person in whom the legal estate of the land is vested (whether solely or jointly with other trustees), and whether appointed or constituted trustee by act of parties, or by order or declaration of a court or by operation of law; and

(b)an executor or administrator, guardian, committee of management, receiver or liquidator having the administration or control of the land; and

(c)a person having or taking upon himself or herself the administration or control of land effected by any express or implied trust, or acting in any fiduciary capacity, or having the possession, control, or management of the land of a person who is under a legal disability;

unimproved value of land, means the unimproved value of the land determined under the Valuation of Land Act 1978.

[Clause 1 amended by No. 40 of 2003 s. 6; No. 12 of 2004 s. 5; No. 12 of 2005 s. 5; No. 38 of 2005 s. 15; No. 31 of 2006 s. 27; No. 60 of 2006 s. 142(2); No. 30 of 2008 s. 18(2); No. 19 of 2009 s. 12(1); No. 28 of 2010 s. 33(5)(a); No. 24 of 2011 s. 164(3); No. 1 of 2015 s. 8(1); No. 8 of 2015 s. 11; No. 5 of 2018 s. 7.]

2.Lots and parcels of land

(1)In this Act unless the contrary intention appears —

lot means a defined portion of land —

(a)which is the whole of the land the subject of —

(i)a Crown grant issued under the Land Act 1933 4; or

(ii)a certificate of title registered under the Transfer of Land Act 1893; or

(iii)a certificate of Crown land title or qualified certificate of Crown land title, created and registered under the Transfer of Land Act 1893; or

(iv)a survey into a location or lot under the Land Administration Act 1997 section 27(2); or

(v)a part‑lot shown on a diagram or plan of survey of a subdivision deposited with the Land Information Authority; or

(vi)a conveyance registered under the Registration of Deeds Act 1856; or

(vii)a lot depicted on a strata plan or survey‑strata plan where the land the subject of the plan has been subdivided within the meaning given in clause 3(1)(d) or (e); or

(viii)an entitlement to occupy a non‑strata home unit;

or

(b)depicted on a plan or diagram available from, or deposited with, the Land Information Authority and for which a separate Crown grant or certificate of title has been or can be issued; or

(c)depicted on a diagram or plan of survey of a subdivision approved by the Western Australian Planning Commission.

[(2)deleted]

(3)If 2 or more lots of land in the same ownership have common boundaries, the Commissioner may treat the lots as a single property for valuation and assessment if it is appropriate to do so.

(4)However, for the purpose of determining the use of a lot or parcel of private residential property, 2 or more lots of land are not to be treated as a single private residential property unless the Commissioner is satisfied that the lot or lots on which the private residence is constructed (the home lot) and each other lot (the other lots) are established, and used by the individuals who reside there, as one integrated area that constitutes the place of residence.

(5)In determining whether to be satisfied as mentioned in subclause (4) the Commissioner may have regard to the following —

(a)the nature, extent and degree of permanence of any structures or other improvements on the other lots;

(b)the degree of physical separation of, and the means of access between, the home lot and the other lots;

(c)whether the appearance and physical characteristics of the home lot and the other lots, taken together, are those of one integrated area;

(d)the extent to which the home lot and other lots are collectively or separately provided for in terms of matters such as —

(i)fencing;

(ii)means of access and egress;

(iii)provision of water, power and other utilities;

(e)the purposes for which the other lots are used and whether that use is —

(i)of a residential nature; and

(ii)of an ongoing, not temporary or transient, nature;

(f)whether the use of the home lot and the use of the other lots, taken together, constitutes the use of all of the lots as one integrated place of residence;

(g)how often the other lots are used and by whom;

(h)the extent to which the activities undertaken on the other lots could be undertaken at the home lot in the absence of the other lots;

(i)the relative size of the lots;

(j)any other matters the Commissioner considers relevant.

(6)For the purposes of subclauses (3), (4) and (5) the intention of the owner of the land, the individuals residing there or any other person, in relation to all or any of the lots is irrelevant.

[Clause 2 amended by No. 60 of 2006 s. 142(3); No. 30 of 2008 s. 18(3)-(5); No. 19 of 2009 s. 12(2).]

3.Subdivided land

(1)Land is subdivided when —

(a)a plan of subdivision of the land is approved by the Western Australian Planning Commission for the purposes of section 135 of the Planning and Development Act 2005; or

(b)a transfer, conveyance, lease or mortgage of any land is approved by the Commission under section 147(1) of that Act or an application for the creation and registration of a certificate of title is approved by it under section 147(2) of that Act and the effect of the approval is to allow a dealing with a part of the land which is less than a whole lot; or

(c)on an application for review under section 251 of that Act, the State Administrative Tribunal gives an approval referred to in paragraph (a) or (b); or

(d)in the case of land that is the subject of a strata plan —

(i)if the plan is required to be accompanied by a certificate under the Strata Titles Act 1985 section 25 — the plan is approved by the Commission; or

(ii)if not — an occupancy permit or a building approval certificate required under the Strata Titles Act 1985 section 5B(2) is granted under an application mentioned in the Building Act 2011 section 50(1)(a) or (b);

or

(e)a statement is endorsed on a plan under section 25B of the Strata Titles Act 1985.

(2)An approval referred to in subclause (1) is conclusively presumed to have been given on the date appearing in the approval as endorsed on the plan, instrument or application referred to in that paragraph.

[Clause 3 amended by No. 55 of 2004 s. 584; No. 38 of 2005 s. 15; No. 30 of 2008 s. 18(6); No. 15 of 2015 s. 11.]

[4, 5.Deleted by No. 1 of 2015 s. 8(2).]

6.Taxable value

(1)Unless the contrary intention appears, the taxable value of land is to be determined under this clause.

(2)The taxable value of land for a financial year is —

(a)if the capped value of the land can be used in determining the taxable value for that year, the lesser of these values at midnight on 30 June immediately before that year —

(i)the capped value of the land;

(ii)the unimproved value of the land;

(b)otherwise, the unimproved value of the land at midnight on 30 June immediately before that year.

(3)The capped value of land cannot be used in determining the taxable value of the land for a financial year if the land is a lot that was created when land was, in the financial year immediately before that year, subdivided, except if the or each subdivision in that financial year was carried out solely for the purpose of defining an area of land to be compulsorily taken or resumed.

(4A)The reference in subclause (3) to the compulsory taking or resumption of land is a reference to the taking or resumption of land under an enactment relating to the compulsory acquisition of land, regardless of whether the owner of the land agreed to the taking or resumption.

(4)The capped value of land at midnight on 30 June immediately before a financial year is —

(a)if under section 43A the concessional value of the land was the value on which land tax on the land for the previous financial year was payable — the prescribed percentage, for the financial year, of the unimproved value of the land at midnight on 30 June immediately before that previous financial year;

(b)otherwise —

(i)if the financial year is 2009/10 — the prescribed percentage, for that year, of the unimproved value of the land at midnight on 30 June 2008; or

(ii)if the financial year is after 2009/10 — the prescribed percentage, for that year, of the taxable value of the land for the previous financial year.

(5)For the purposes of subclause (4)(b), if —

(a)the land is a lot that was created when land was subdivided in the financial year immediately before the year (the previous financial year); and

(b)the capped value of the lot can be used in determining the taxable value of the lot for the year,

then, in determining the capped value —

(c)the unimproved value of the land at midnight on 30 June 2008 referred to in subclause (4)(b)(i) is to be reduced to the same proportion that the area of the lot represents of the area of the land as at that time; and

(d)the taxable value of the land for the previous financial year referred to in subclause (4)(b)(ii) is to be reduced to the same proportion that the area of the lot represents of the area of the land as at the beginning of 1 July in the previous financial year.

[Clause 6 inserted by No. 19 of 2009 s. 12(3); amended by No. 32 of 2012 s. 34.]

dline

 

Notes

1This is a compilation of the Land Tax Assessment Act 2002 and includes the amendments made by the other written laws referred to in the following table 5, 6, 7. The table also contains information about any reprint.

Compilation table

Short title

Number and year

Assent

Commencement

Land Tax Assessment Act 2002

52 of 2002

20 Mar 2003

1 Jul 2003 (see s. 2 and Gazette 27 Jun 2003 p. 2383)

Acts Amendment (Equality of Status) Act 2003 Pt. 34

28 of 2003

22 May 2003

1 Jul 2003 (see s. 2 and Gazette 30 Jun 2003 p. 2579)

Business Tax Review (Assessment) Act 2003 Pt. 2 and s. 8 8

40 of 2003

30 Jun 2003

1 Jul 2003 (see s. 2(1) and (2) and Gazette 27 Jun 2003 p. 2383)

Business Tax Review (Assessment) Act (No. 2) 2003 s. 109

66 of 2003

5 Dec 2003

1 Jul 2003 (see s. 2(5) and Gazette 27 Jun 2003 p. 2383)

Revenue Laws Amendment and Repeal Act 2004 Pt. 2

12 of 2004

29 Jun 2004

1 Jul 2004 (see s. 2(2))

State Administrative Tribunal (Conferral of Jurisdiction) Amendment and Repeal Act 2004 Pt. 2 Div. 69 9

55 of 2004

24 Nov 2004

1 Jan 2005 (see s. 2 and Gazette 31 Dec 2004 p. 7130)

Revenue Laws Amendment Act (No. 3) 2005 Pt. 3

10 of 2005

29 Aug 2005

1 Jul 2005 (see s. 2(2))

Revenue Laws Amendment Act (No. 2) 2005 Pt. 2 (s. 3‑5)

12 of 2005

30 Aug 2005

s. 5: 1 Jul 2003 (see s. 2(2));
s. 3 and 4: 30 Aug 2005 (see s. 2(1))

Planning and Development (Consequential and Transitional Provisions) Act 2005 s. 15

38 of 2005

12 Dec 2005

9 Apr 2006 (see s. 2 and Gazette 21 Mar 2006 p. 1078)

Revenue Laws Amendment Act 2006 Pt. 4 (s. 19‑30)

31 of 2006

4 Jul 2006

s. 20‑27 and 29 and 30: 1 Jul 2006 (see s. 2(5));
s. 19 and 28: 4 Jul 2006 (see s. 2(1))

Reprint 1: The Land Tax Assessment Act 2002 as at 11 Aug 2006 (includes amendments listed above)

Land Information Authority Act 2006 s. 142

60 of 2006

16 Nov 2006

1 Jan 2007 (see s. 2(1) and Gazette 8 Dec 2006 p. 5369)

Liquor and Gaming Legislation Amendment Act 2006 s. 114

73 of 2006

13 Dec 2006

7 May 2007 (see s. 2(2) and Gazette 1 May 2007 p. 1893)

Revenue Laws Amendment (Taxation) Act 2007 Pt. 3

12 of 2007

29 Jun 2007

30 Jun 2007 (see s. 2(c)(i))

Reprint 2: The Land Tax Assessment Act 2002 as at 28 Mar 2008 (includes amendments listed above)

Revenue Laws Amendment Act 2008 Pt. 4

30 of 2008

27 Jun 2008

1 Jul 2008 (see s. 2(1)(c)(i))

Revenue Laws Amendment (Taxation) Act 2009 Pt. 2

19 of 2009

16 Sep 2009

1 Jul 2009 (see s. 2(b)(ii))

Standardisation of Formatting Act 2010 s. 51

19 of 2010

28 Jun 2010

11 Sep 2010 (see s. 2(b) and Gazette 10 Sep 2010 p. 4341)

Land Tax Assessment Amendment Act 2010

27 of 2010

7 Jul 2010

Act other than s. 1 and 2: 1 Jul 2010 (see s. 2(b)(ii));
s. 1 and 2: 7 Jul 2010 (see s. 2(a))

Approvals and Related Reforms (No. 4) (Planning) Act 2010 s. 33 10

28 of 2010

19 Aug 2010

22 Nov 2010 (see s. 2(b) and Gazette 19 Nov 2010 p. 5709)

Reprint 3: The Land Tax Assessment Act 2002 as at 11 Feb 2011 (includes amendments listed above)

Building Act 2011 s. 164

24 of 2011

11 Jul 2011

2 Apr 2012 (see s. 2(b) and Gazette 13 Mar 2012 p. 1033)

Metropolitan Redevelopment Authority Act 2011 s. 140 

45 of 2011

12 Oct 2011

31 Dec 2011 (see s. 2(b) and Gazette 30 Dec 2011 p. 5573)

Revenue Laws Amendment Act 2012 Pt. 4

29 of 2012

3 Sep 2012

4 Sep 2012 (see s. 2(e))

Revenue Laws Amendment Act (No. 2) 2012 Pt. 4

32 of 2012

8 Oct 2012

1 Jul 2009 (see s. 2(c))

Reprint 4: The Land Tax Assessment Act 2002 as at 19 Apr 2013 (includes amendments listed above)

Taxation Legislation Amendment Act 2015 Pt. 2 Div. 1 and Pt. 3

1 of 2015

25 Feb 2015

Pt. 3 Div. 2: 1 Jul 2003 (see s. 2(c));
Pt. 2 Div. 1: 1 Jul 2014 (see s. 2(b));

Pt. 3 Div. 1 and 3: 25 Feb 2015 (see s. 2(a))

Taxation Legislation Amendment Act (No. 2) 2015 Pt. 3

8 of 2015

9 Mar 2015

10 Mar 2015 (see s. 2(b))

Taxation Legislation Amendment Act (No. 3) 2015 Pt. 3

15 of 2015

26 May 2015

27 May 2015 (see s. 2(c))

Biodiversity Conservation Act 2016 s. 319

24 of 2016

21 Sep 2016

3 Dec 2016 (see s. 2(b) and Gazette 2 Dec 2016 p. 5382)

Universities Legislation Amendment Act 2016 Pt. 7 Div. 5

32 of 2016

19 Oct 2016

2 Jan 2017 (see s. 2(b) and Gazette 9 Dec 2016 p. 5557)

Land Tax Assessment Amendment Act 2018

5 of 2018

26 Apr 2018

Pt. 2: 1 Jul 2003 (see s. 2(a) and Gazette 27 Jun 2003 p. 2383);
Act other than Pt. 2: 26 Apr 2018 (see s. 2(b))

2Under the Conservation and Land Management Act 1984 s. 151(a) a reference in any written law to the Forests Department is read as a reference to the Department of Conservation and Land Management unless the context is such that it would be incorrect or inappropriate.

Under the Public Sector Management Act 1994 the names of departments may be changed. At the time of this compilation the former Department of Conservation and Land Management is called the Department of Environment and Conservation.

3Under the Public Sector Management Act 1994 the designations of departments can be changed. At the time of this compilation the designation of the Department of Mines has been changed to the Department of Mines and Petroleum.

4Under the Land Administration Act 1997 s. 281(3) a reference in a written law to the Land Act 1933 is, unless the contrary intention appears, to be construed as if that reference were a reference to the Land Administration Act 1997.

5Under the Commonwealth Places (Mirror Taxes) Act 1998 (Commonwealth) s. 8(2), this Act is to be read and construed with any modifications referred to in subsection (1) of that section and, in particular, with the modifications set out in the Commonwealth Places (Mirror Taxes) (Modification of Applied Laws (WA)) Notice 2007.

6Under the Commonwealth Places (Mirror Taxes Administration) Act 1999 s. 7 this Act is to be read and construed with any modifications referred to in subsection (1) of that section and, in particular, with the modifications set out in the Commonwealth Places (Mirror Taxes Administration) Regulations 2007.

7The amendment in the State Superannuation Amendment Act 2007 s. 83 is not included because it was deleted by the State Superannuation Amendment Act 2011 s. 4 before the amendment purported to come into operation.

8The Business Tax Review (Assessment) Act 2003 s. 7 and s. 10 read as follows:

 

7.Financial years before the commencement day

(1)Despite the amendments effected by this Part, the Land Tax Assessment Act 2002, as in force immediately before the commencement day, continues to apply in relation to land tax payable for financial years that commence before the commencement day.

(2)In this section —

commencement day means the day on which this Part comes into operation.

10.Requirement to reassess

The Commissioner of State Revenue must make any reassessment necessary to give effect to the amendments effected by this Part.

 

9The State Administrative Tribunal (Conferral of Jurisdiction) Amendment and Repeal Act 2004 Pt. 5, the State Administrative Tribunal Act 2004 s. 167 and 169, and the State Administrative Tribunal Regulations 2004 r. 28 and 42 deal with certain transitional issues some of which may be relevant for this Act.

10The amendment in the Approvals and Related Reforms (No. 4) (Planning) Act 2010 s. 33(4) is not included because the subsection it sought to amend had been deleted by the Revenue Laws Amendment (Taxation) Act 2009 s. 9 before the amendment purported to come into operation.

 

 

Defined terms

 

[This is a list of terms defined and the provisions where they are defined. The list is not part of the law.]

Defined termProvision(s)

2012 to 2014 assessment periodSch. 1 cl. 10

aged care facility38A(1)

agentGl. cl. 1

aggregated taxable valueGl. cl. 1

amended ActSch. 1 cl. 10, Sch. 1 cl. 16

amending ActSch. 1 cl. 6

approvedGl. cl. 1

assessmentGl. cl. 1

assessment yearGl. cl. 1

beneficiary23A(1), 29, 30K

building contractGl. cl. 1

change30F(1)

clauseGl. cl. 1

commencement Sch. 1 cl. 10, Sch. 1 cl. 16

commencement dateGl. cl. 1

completion dateGl. cl. 1

compliant trusteeSch. 1 cl. 9(1)

conservation covenantGl. cl. 1

deceased30E

decisionSch. 1 cl. 12(1), Sch. 1 cl. 18(1)

disabled beneficiaryGl. cl. 1

disabled person26A(1)

discretionary trust29

dwelling park land39A(1)

dwelling park purposes39A(1)

excluded purpose39A(1)

exemptGl. cl. 1

exempt purposeGl. cl. 1

exemption provision18(1)

family corporation29, 30H

family member29

family owner29, 30H

family trust29, 30H

family unit trust scheme29, 30H

former ActSch. 1 cl. 16

former section 20Sch. 1 cl. 8(1)

former section 30Sch. 1 cl. 7(1)

home lotGl. cl. 1

home unitGl. cl. 1

improvement schemeGl. cl. 1

improvementsGl. cl. 1

individual30I(1)

industrial associationGl. cl. 1

joint ownersGl. cl. 1

landGl. cl. 1

Land Information AuthorityGl. cl. 1

land taxGl. cl. 1

land tax ActGl. cl. 1

local planning schemeGl. cl. 1

lotGl. cl. 1

metropolitan regionGl. cl. 1

modified rural business land provisions Sch. 1 cl. 10

new lot43A(1)

new provisionsSch. 1 cl. 3

non‑profit associationGl. cl. 1

non‑public authoritySch. 1 cl. 16

non‑rural land29

non‑strata home unitGl. cl. 1

old lot43A(1)

original assessment year38AC(8)

other lotsGl. cl. 1

ownerGl. cl. 1

owner‑builderGl. cl. 1

parcelGl. cl. 1

partnership29

political partyGl. cl. 1

preliminary notice about an exemption under section 37Sch. 1 cl. 4(1)

previous assessmentSch. 1 cl. 10, Sch. 1 cl. 16

previous assessment periodSch. 1 cl. 8(1)

previously exempt landSch. 1 cl. 3

primary production29

primary production business29

primary residenceGl. cl. 1

private residenceGl. cl. 1

private residential propertyGl. cl. 1

produce animals30A(1)

professional associationGl. cl. 1

promote trade, industry or commerceGl. cl. 1

property A27(1)

property B27(1)

public charitable or benevolent institution37(1)

public statutory authorityGl. cl. 1

registeredGl. cl. 1

related29

related purpose39A(1)

relevant bodyGl. cl. 1

relevant requirements18(1)

reserved land32(5), 33(6), Gl. cl. 1

residence contract39(1)

residential care38A(1)

residential premises39(1)

retirement village39(1), Gl. cl. 1

retirement village scheme39(1)

rural business land assessmentSch. 1 cl. 10

rural land29

shareholder30J

sportGl. cl. 1

sports associationGl. cl. 1

strata planGl. cl. 1

strata schemeGl. cl. 1

strata title home unitGl. cl. 1

subdividedGl. cl. 1

subdividing ownerGl. cl. 1

survey‑strata planGl. cl. 1

survey‑strata schemeGl. cl. 1

taxable authorityGl. cl. 1

taxable landGl. cl. 1

taxable valueGl. cl. 1

taxes9(6), 31(6), Gl. cl. 1

transitional periodSch. 1 cl. 7(1)

trusteeGl. cl. 1

unimproved valueGl. cl. 1

unit holder30

validation periodSch. 1 cl. 10, Sch. 1 cl. 16

year A39A(5A)