Land tax – know your rights

The State Revenue Office is in the process of issuing this year’s land tax assessments. Like death, some say that tax is inevitable, but that doesn’t mean you should simply succumb. Sometimes the SRO gets it wrong, so to ensure that you aren’t paying more than you are legally obliged to, we suggest you review your certificate and ensure it is correct.

The Victorian Government 2014/2015 State Budget forecasts a significant increase in revenue from land tax of  approximately 17%. This is delivered as a result of higher valuations being ascribed to properties for the purposes of assessing rates and land tax. This means that you can expect a tax hike.

What can you do?

If you think your land tax assessment is incorrect, you can object to it, but strict timeframes apply, so don’t delay.

Some common complaints about land tax assessment notices include:

  • the value is too high
  • the land has been sold
  • the interests held in the land are not correctly apportioned
  • the apportionment of the valuations is incorrect
  • lands which should be included in one valuation have been valued separately
  • lands which should be valued separately have been included in one valuation
  • the primary place of residence has been incorrectly identified
  • the person named in the notice of valuation, assessment notice or other document is not liable to be so named, or
  • the area, dimensions or description of the land are not correct.

Hall & Wilcox has an experienced property team that can assist with your land tax objection. Please contact us if you would like to discuss an error in your assessment

Frequently asked questions

1. When will the Victorian land tax assessments be issued?

Land tax assessment notices will be mailed to people between February and late May.

2. How is land tax calculated?

Land tax is calculated according to the following sliding scales

General Land Tax Rates 2009 – Present

Total taxable value of landholdings​ ​ Land tax payable
 < $250,000  Nil
 250,000 to < $600,000​  ​$275 plus 0.2% of amount > $250,000
 ​$600,000 to < $1,000,000  $975 plus 0.5% of amount > $600,000
 $1,000,000 to < $1,800,000  ​$2,975 plus 0.8% of amount > $1,000,000
 $1,800,000 to < $3,000,000  $9,375 plus 1.3% of amount > $1,800,000
 ​$3,000,000 and over  $24,975 plus 2.25% of amount > $3,000,000

Down load this data here.

Land Tax Rates for Trusts 2009 – Present

Total taxable value of landholdings​ ​ Land tax payable
 < $25,000  Nil
 25,000 to < $250,000​ $82 plus 0.375% of amount > $25,000
$250,000 to < $600,000 $926 plus 0.575% of amount > $250,000
$600,000 to < $1,000,000 $2,938 plus 0.875% of amount > $600,000
$1,000,000 to < $1,800,000 $6,438 plus 1.175% of amount > $1,000,000
$1,800,000 to < $3,000,000 $15,838 plus 0.7614% of amount > $1,800,000
$3,000,000 and over ​ ​$24,975 plus 2.25% of amount >$3,000,000
3. How long do people have to object to the underlying valuation in those assessments?

The time period for objection to a site valuation varies depending on whether the site valuation was carried out by a municipal council or by the Valuer-General on behalf of the Commissioner of State Revenue (Commissioner).

a)  Objection to a municipal council’s valuation

i)   An objection can be lodged within two months of receipt of the land tax assessment notice.

ii)  You are taken to have received your land tax assessment notice two business days after the assessment notice was issued.

iii)  You can only lodge one objection to a site valuation within a 12 month period.

Process for lodging an objection:

iv)  The objection should be lodged with the SRO.

v)   The municipal council has 4 months to determine the objection.

b)  Objection to a commissioner’s valuation

i)  An objection can be lodged within 60 days of receipt of the land tax assessment notice.

ii)  There is no discretion to extend this time period under the Taxation Administration Act 1997.

iii)  If you disagree with the Commissioner’s determination you can request that the matter be referred to VCAT or that the objection is treated as an appeal to the VSC.

For further information please contact:

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