澳洲Australia property NSW Land Tax Notice - have you got yours?


在澳大利亚 I need some advice regarding a property purchase. Property - semi-detached house Bedrooms - 2 Condition - average needs internal reno to modernise Street - one of the best in suburb Location - excellent Close to schools - yes Transport - 50m The pool at of an IP needs to be resurfaced (or so the pool doctor says), the cost was estimated to be $10K ($10,000), after recoverying from my impresssion of a cat coughing up a fur ball, it just seems far too much. Its just a standard poo


Hi

It looks like I have to pay a hefty land tax this year in NSW.....I am waiting on the notice to be sent to me.

Still no sign....I thought they assessed it in Dec. and sent it out?

Has anyone already recieved their notices?  

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nope but i've seen the new averaged land values, my bill has decreased approx $200 (from 2650 to like 2450)  

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Received the first one today:mad: $19k+ not happy:(  

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handyandy said: ↑
Received the first one today:mad: $19k+ not happy:(Click to expand...
Ouch! :eek:  

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handyandy said: ↑
Received the first one today:mad: $19k+ not happy:(Click to expand...
Ouch!
At what rate is land tax calculated?  

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I got mine today.

There is a difference between ripping you a new *** and tearing it.  

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Sounds like I should be avoiding the mail box about now. :rolleyes: :D  

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Nope.....none for me in NSW

handyandy said: ↑
Received the first one today:mad: $19k+ not happy:(Click to expand...
Fortunately I fly under the radar :D (just) in NSW despite a juicy cashflow IP in Sydney.

My punishment is administered over the border further south than you folk :( so I feel for you HA.

Although having offloaded one (quite land rich) property in Melbourne last year, who'se land tax bill was 20 % of the rent :eek: my liability personally, in trust and in our SMSF is still significant.

Still, it is our cost of doing business and having diversified interstate to spread the love around has exposed me to different markets and buffered/hedged the cycle anomalies of one state rising, another softening and another going sideways. One has to work within the confines of the legislation. Learn the rules and play by the rules as optimally as one can.

It is an impost that (I think) was initially meant to prevent hoarding of development land holdings by greedy land barons (?? in the 1800's) who were stifling the local/state govt's metropolitan/regional expansion plans.

I aim to have at least one future prospective purchase be of the kind where the tenant is responsible (on a single holdings basis) for funding this impost.  

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Player said: ↑
I aim to have at least one future prospective purchase be of the kind where the tenant is responsible (on a single holdings basis) for funding this impost.Click to expand...
Dazz pointed out this is the case for commercial properties. I have still not been charged by the owner here but I suspect that could be because we are part of a much larger title and he possibly does not bother with seperating it out as he uses the remaining 90% of the land within the property but it is on the lease that I am liable for it.

I think in residential it is not lawful to on charge land tax? given that it will be different for different owners it seems like a difficult thing to regulate? i.e. as a renter how do you know if the owner is over or under the radar on land tax, i.e. might own only one IP so be under the threshold? If as an owner you then have to declare what the amount is it does not take a particularly shrewd tenant to take this into account and pay less rent in stead.

On the 20% business I don't think this would be uncommon in NSW. I believe it is at 2.1% of the total land value over the top threshold so if its a 50/50 split house v land value then a 1% p.a. cost on the total value of the property p.a., i.e. if you are getting 5% gross yield this is going to take 20% of it!  

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tom32 said: ↑
Dazz pointed out this is the case for commercial properties.

That's what I was alluding to. However depending on the state (because of course in a nation with barely 25 million population we need different laws to oversee these matters), not all commercial property can have land tax passed on as an expensse to the tenant.

In Vic, for example I have a retail holding, where land tax is borne by the entity holding the property. Most retail tenancy acts (not sure about the territories, and I think ?? NT is exempt) do not allow for land tax to be passed on.

The commercial area I would be looking is likely office/professional space and/or industrial


I have still not been charged by the owner here but I suspect that could be because we are part of a much larger title and he possibly does not bother with seperating it out but it is on the lease.

Nice for you :)

I think in residential it is not lawful to on charge land tax? given that it will be different for different owners it seems like a difficult thing to regulate? i.e. as a renter how do you know if the owner is over or under the radar on land tax, i.e. might own only one IP so be under the threshold? If as an owner you then have to declare what the amount is it does not take a particularly shrewd tenant to take this into account and pay less rent in stead.Click to expand...
Don't ever bet the house or hold your breath on this changing. You'll suffocate :cool:  

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Then the buggers charge you because roads have not been built yet (budgeted for in 1938 and again in the 1960's) and you have to access properties by boat. They then charge you to rent the space where you park them, like charging you to park your car. $9000 per year to park your car out the front of YOUR property?

Land Tax last year was the final straw in my decision to ditch all my remaining NSW properties in my own name, pay the exorbitant CG tax and put the money into Ca.

If every landlord in NSW charged a Land Tax levy to the tenants then hopefully this dogs breakfast of a government (state AND fed) would not get elected.

Anyone noticed that Stamp Duty has a stamping fee on it as well??

Anyone noticed their insurance bills? Stamp Duty THEN GST on top??? Taxes should not incur taxes??

Stamp Duty was _promised_ to be removed as the states got their guaranteed share of the GST... Utterly disgraceful.

I do not like the US much at all, but at least they encourage personal growth, not destroy it at every turn.

BTW with my commercial leases, I write a 50% share of these taxes into the lease. That way we each share the cost. I think it is fair and equitable and we both get to claim it one way or another. I know most don't do this, but it proves you are a 'nice' bloke and relatively lessens the burden on your hopefully successful tenant. A give like that helps get a higher rent as well:)

I hope to god these incompetent morons leap upon the idea of scrapping neg gearing. That would be such sweet revenge to the inane fools that vote for them..  

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Player said: ↑
(because of course in a nation with barely 25 million population we need different laws to oversee these matters)Click to expand...
It is a shocker.

Building regulation is equally ridiculous.

I believe Henry was onto it with a universal land tax rate at a lower rate then the current amount levied on those land holdings above a certain amount excluding the PPOR.

I believe land tax is an efficient tax, as land holding do incur an ongoing cost to government to maintain the surrounding infrastructure but why should a PPOR be exempt and then investors left to pay a lot more?

I know people can get emotional, i.e. how can my grannie on an acre in her PPOR in Glebe be able to survive if she has to pay $25k per annum in land tax? I would ask if if this is an efficient utilisation of resources anyway in the first instance. Perhaps grannies block of land should be capitalised on to create multi units etc, and a land tax drives this. i.e. Perhaps she should not be living on an acre in Glebe on her own in the first instance.

We want urban consolidation, this is the most efficient way to drive it. I know I am going to struggle to convince property investors it is a good idea, but bear in mind if it was universal, i.e. applied to all properties including PPOR's rather than only the 30% owned by IP investors and then only those amounts over the threshold in various states then it could be 1/3 the amount (likely even less) than it currently is for the same amount of revenue.

I reckon the 1% universal rate suggested in the Henry review would be the go.  

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Thanks all....will watch that mail box...

Well.....not as large are yours HandyAndy!!......mine is more like $2400....based on about 520k worth of land...most of my properties are unit.

This is the most I will have ever paid in land tax....previously my largest bill was South Australia which was about $700....but with the threshold increasing from $110k to $300k my rate has droppeed to $300 pa similar to Victoria where I pay about $300.

One of benefits of owning properties across a couple of states.

handyandy said: ↑
Received the first one today:mad: $19k+ not happy:(Click to expand...
That is good news....lets hope mine is not as large
Ridin-High said: ↑
nope but i've seen the new averaged land values, my bill has decreased approx $200 (from 2650 to like 2450)Click to expand...
 

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Hi everyone, I don't really understand how the OSR works out the value of your land for land tax purposes. :confused:

I have looked at NSW OSR's website and know there's a threshold ($470k atm). The website says land value is determined by the Valuer General. So what does that mean and how does it work? Does VG have a fixed rate per sqm for each suburb and you multiply that by the number of sqm? Does VG disclose the rates to the public?

Someone told me once that you can determine the land value from the Council Rate Notice. Is that correct? If so, are the rates/figures appearing on the Council Rate Notice the same as what the VG uses?

How would an individual know if he or she has exceeded the threshold and needs to pay land tax? Do you just wait for the OSR to notify you?

Thanks!!!!  

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I received mine a while back and payment is due on 14/3.
I can't wait.... :eek:  

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handyandy said: ↑
Received the first one today:mad: $19k+ not happy:(Click to expand...
You must own a lot of land.
Develop it or make it your PPOR  

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Have not got mine yet....should I be worried??? :eek:

BV said: ↑
I received mine a while back and payment is due on 14/3.
I can't wait.... :eek:Click to expand...
 

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sash said: ↑
Have not got mine yet....should I be worried??? :eek:Click to expand...
Not really.

A couple of years ago they had forgotten about me but 1.5 year later they realised their mistake and sent me backdated bills.

I forget if they added interest. Probably not because it was their fault. We buy property, we pay stamp duty, it gets registered so they can see it all  

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most of my 1st installs paid 2 days ago, very painful!!!!  

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I got my love letter from them on Valentines Day. :rolleyes:  

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