Often not understood by investors, the trusts laws vary by state with in Australia. This includes how land tax is assessed and applied. For example, a discretionary trust in NSW cannot access the land tax free threshold, but can in Queensland. We take a look at some of trust definitions in NSW and how they are treated by the NSW OSR for land tax purposes. For land tax purposes, trusts can be divided into six categories: special trusts fixed trusts superannuation trusts trusts
1. Who is considered to be a land owner for land tax purposes? An owner includes a sole owner, joint owners, a company, a trustee of a trust, a beneficiary of a trust, a shareholder in a home unit company and /or any person deemed to be an owner by the land tax legislation including a person who leases land from the Crown or from a Local Council 2. What if I own property in NSW with some one else? In most cases the OSR will issue land tax assessments to each owner in their re
From 1 July 2017 the NSW foreign investor transfer duty surcharge has increased from 4% to 8% with the surcharge still being payable upfront. Similarly, the NSW foreign investor land tax surcharge of 0.75% has increased to 2% per annum for the 2018 tax year. However, Australian-based foreign-owned developers may be entitled to a refund or exemption from the surcharges if the following criteria are met under the State Revenue and Other Legislation Amendment (Budget Measures) A
Although the Non Tax Resident (NTR) surcharge has been in place for little over a year now, we still get asked the question "How does this relate to me ?". So worthy of a blog i think ! The essence of the tax is that Foreign persons who own residential land in NSW must pay a surcharge of 2% from the 2018 land tax year on wards.
The surcharge applies on the taxable value of all residential land owned as at 31 December each year, including their principal place of residence.
Land tax is applicable to all states in Australia with the exception of the Northern Territory. A complicated area and one that has rules differing between states. For this reason this article just addresses NSW. What is land tax? Information on NSW Land Tax available from: www.osr.nsw.gov.au/taxes/land. Land tax is a tax levied on the owners of land in NSW as at midnight on 31 December of each year. In general, your principal place of residence (your home) or land used for p