Foreign Persons

A foreign person in Tasmania includes a foreign corporation, foreign natural person and a foreign trustee. Although there is a Foreign Investor Duty Surcharge for Stamp Duty in Tasmania, foreign entities aren’t subject to any additional foreign land tax surcharges at this time.

Land tax in Tasmania is an annual tax payable by the owner of the land as at 1 July every year.

Exemptions

There are a range of exemptions that apply to the application of land tax in Tasmania, shutterstock_589357217the standard exemptions are:

  • Classified as owner’s principal place of residence;
  • Classified as primary production land;
  • Land with a value of $24,999 or less.

Specialised exemptions include:

  • Used for religious purposes; or
  • Used as a medical establishment or
  • Used principally for Aboriginal cultural activities and is Aboriginal land; or
  • Used for a retirement village; or
  • Land is subject to conservation covenant; or
  • Land is owned by charitable institution

Rates

Total Land ValueCurrent Tax Scale
$0 – $24,999Nil
$25 000 – $349,999$50 plus 0.55% of value above $25,000
$350,000 and above$1,837.50 plus 1.5% of value above $350,000

If a property use is changed and it is no longer a primary place of residence, primary production land or exempt land, the owner must notify the Commissioner of State Revenue within 30 days of the change. As qualified and professional tax consultant Sydney we work with you to achieve your goals and minimize your tax. Feel free to contact us at anytime.

New Rental Stock Exemption

There is a recent implementation of a three-year land tax exemption for all newly built housing that is made available for long term rental. The exemption will be available for the three financial years after the date that an occupancy certificate is received, as long as it is received between 8 February 2018 and 7 February 2021 inclusive.

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Craig is the principal consultant of C&D Restructure and Taxation Advisory and has been working in the industry since 1999. Having established C&D Commercial Partners in 2015 the precursor to the current business.

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Post Author: Craig Dangar

Craig is the principal consultant of C&D Restructure and Taxation Advisory and has been working in the industry since 1999. Having established C&D Commercial Partners in 2015 the precursor to the current business.

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