Land tax calculations

[Guzz226]

Is land tax calculated on the total value of a property or on the land component of the total value?

Is the same definition of land value the same in each state! I understand thresholds and calcs differ from state to state.

 

[Terry_w]

Just land value. I beleive only calculated on land value in each state. - unimproved land value.

 

[Scott No Mates]

the methodology and tax threshold varies in each state.

 

[Qlds007]

What State are you referring to.

 

[Guzz226]

Trying to understand all states - vic, nsw and qld in particular.

I've read the individual state websites but none define what is meant by 'land value' - ie land unimproved or land improved (ie without building or with building).

 

[Terry_w]

Trying to understand all states - vic, nsw and qld in particular.

I've read the individual state websites but none define what is meant by 'land value' - ie land unimproved or land improved (ie without building or with building).

Best to look at the legislation. For NSW ss 9 and 9AA LAND TAX MANAGEMENT ACT 1956

http://www.austlii.edu.au/au/legis/nsw/consol_act/ltma1956173/s9.html

http://www.austlii.edu.au/au/legis/nsw/consol_act/ltma1956173/s9aa.html


And s6A VALUATION OF LAND ACT 1916
http://www.austlii.edu.au/au/legis/nsw/consol_act/vola1916173/s6a.html

 

[Paul@PFI]

Land tax is based on the unimproved land value. For vacant land that is homogenous this is a simple matter. For established areas its somewhat more complex. For strata sites the land is apportioned so that each strata owner shares in the total land to the agreed %. Each state varies and many adopt a three year average to smooth variations (+ / -) in land values from sudden increases in one year and a fall in the next.

Land valuations are generally contracted out by the state govt agency to private land valuers who use local market data to determine changes. Its a desktop process with limited walkabout to the site these days with google maps assisting no doubt. In some instances they get it wrong. Thus valuations can be objected to provided the correct process is followed and it is done in time.

Land valuations are often quoted on council rate notices as many councils also "base" rates on this measure.