Unlike Stamp Duty, which is a one-off payment when you purchase a new property, Land Tax is levied every year you own a property. To put it simply, it is a tax that is charged on any land you own or co-own above a certain value threshold. This includes vacant land or land on which a house or unit is already built. Generally, your principle place of residence is exempt from land tax.
In Queensland, Land Tax is calculated at midnight on the 30 June of each year. For example, the Land Tax liability for the period of 2019-2020 financial year was calculated on 30 June 2019.
The rate that applies to you depends on:
- What type of owner you are
- The total taxable value of your land; and
- If you are eligible for any exemptions.
Land Tax is collected to provide Government Services and infrastructure to Queenslanders. A necessary evil!