Land Tax Management Act 1956 No 26

An Act to make provision relating to the imposition, assessment and collection of a land tax upon unimproved values of certain lands; to repeal the Land and Income Tax Assessment Act of 1895 and certain other Acts; to amend the Landlord and Tenant (Amendment) Act 1948, as amended; and for purposes connected therewith.

Part 1 Preliminary

1 Name of Act

(1)  This Act may be cited as the Land Tax Management Act 1956.

(2)    (Repealed)

s 1: Am 1981 No 119, Sch 1; 1988 No 128, Sch 1 (1).

2 Construction

This Act shall be read and construed subject to the Commonwealth of Australia Constitution Act, and so as not to exceed the legislative power of the State to the intent that where any provision of this Act, or the application thereof to any person or circumstance is held invalid, the remainder of this Act, and the application of such provision to other persons or circumstances shall not be affected.

3 Definitions

(1)  In this Act, unless the context or subject-matter otherwise indicates or requires:

Act includes regulations.

Agent includes every person who in the State, for or on behalf of any person out of the State (in this definition termed “the principal”) has the control or disposal of any land belonging to the principal, or the control, receipt, or disposal of any rents, issues, or proceeds derived from any such land.

assessment means an assessment or reassessment by the Chief Commissioner under Part 3 of the Taxation Administration Act 1996.

Chief Commissioner means the Chief Commissioner of State Revenue referred to in section 60 of the Taxation Administration Act 1996.

Company includes all bodies or associations corporate or unincorporate.

Crown includes a statutory body representing the Crown.

discretionary trust means a trust under which the vesting of the whole or any part of the capital of the trust estate, or the whole or any part of the income from that capital, or both:

(a)  is required to be determined by a person either in respect of the identity of the beneficiaries, or the quantum of interest to be taken, or both, or

(b)  will occur if a discretion conferred under the trust is not exercised, or

(c)  has occurred but under which the whole or any part of that capital or the whole or any part of that income, or both, will be divested from the person or persons in whom it is vested if a discretion conferred under the trust is exercised,

but does not include a trust that is solely a charitable trust or a trust that is declared not to be a discretionary trust by section 3A.

Flat means a room or a suite of rooms constructed, designed or adapted for occupation or use as a separate dwelling, whether the room or suite is a detached building or forms part of a building.

Joint owners means persons who own land jointly or in common, whether as partners or otherwise, and includes persons who have a life or greater interest in shares of the income from the land and persons who by virtue of this Act are deemed to be joint owners.

Land used for primary production means land used primarily for:

(a)  the cultivation thereof for the purpose of selling the produce of such cultivation,

(b)  the maintenance of animals (including birds), whether wild or domesticated, for the purpose of selling them or their natural increase or bodily produce,

(b1)  the purpose of commercial fishing (including preparation for that fishing and the storage or preparation of fish or fishing gear) and the commercial farming of fish, molluscs, crustaceans or other aquatic animals,

(c)  the keeping of bees thereon for the purpose of selling their honey,

(d)  a commercial plant nursery, but not including a nursery at which the principal cultivation is the maintenance of plants pending their sale to the general public, or

(e)  the propagation for sale of mushrooms, orchids or flowers,

and includes all land owned by a society registered as a rural society under the Co-operation, Community Settlement, and Credit Act 1923, as amended by subsequent Acts.

Mortgage includes any charge whatever upon land, or interest therein, howsoever created, for the securing of money.

Mortgagee includes every person entitled at law or in equity to a mortgage or any part thereof.

Owned and similar expressions have a meaning corresponding with that of owner.

Owner includes:

(a)  in relation to land, every person who jointly or severally, whether at law or in equity:

(i)  is entitled to the land for any estate of freehold in possession, or

(ii)  is entitled to receive, or is in receipt of, or if the land were let to a tenant would be entitled to receive, the rents and profits thereof, whether as beneficial owner, trustee, mortgagee in possession, or otherwise,

(b)    (Repealed)

(c)  in relation to any leasehold estate in land, whether legal or equitable (other than under any lease to which section 21C or 21D applies), a person, or a person who is a member of a class or description of persons, prescribed for the purposes of this paragraph, and

(d)  a person who, by virtue of this Act, is deemed to be the owner.

Person includes a company.

Planning instrument means an environmental planning instrument, within the meaning of the Environmental Planning and Assessment Act 1979, and includes a deemed environmental planning instrument within the meaning of that Act.

premium tax threshold for a land tax year means the premium tax threshold for that year determined under section 12 of the Premium Property Tax Act 1998.

Prescribed means prescribed by this Act or by the regulations thereunder.

principal place of residence of a person means the one place of residence that is, among the one or more places of residence of the person within and outside Australia, the principal place of residence of the person.

Public authority means a person or body declared by the regulations to be a public authority for the purposes of this Act.

record means:

(a)  a documentary record, or

(b)  a record made by an electronic, electromagnetic, photographic or optical process, or

(c)  any other kind of record.

Register means the Register of Land Values kept under section 14CC of the Valuation of Land Act 1916.

Regulations means regulations made under this Act.

Residential unit means a flat that:

(a)  forms part of a building comprising two or more flats, and

(b)  is used and occupied as his or her principal place of residence, and for no other purpose, by a person entitled so to do by reason of the person’s being:

(i)  a joint owner of the parcel of land on which the building is erected who has entered into an arrangement with the other joint owners of that land whereby the person has the exclusive right to occupy that flat (whether jointly with one or more of the co-owners or not), or

(ii)    (Repealed)

unless the person is such an owner by reason only of being a trustee.

special trust means:

(a)  a discretionary trust, or

(b)  a trust in respect of which:

(i)  the trustee has active management duties, and

(ii)  the whole or any part of the trust property comprises land, and

(iii)  the interests of the beneficiaries in the trust property that comprises land are not such as to constitute those beneficiaries owners of that land for the purposes of this Act,

but does not include:

(c)  a trust that is solely a charitable trust, or

(d)  a trust established by a will, but only during the period ending on the expiration of 12 months after the date of death of the testator, or

(e)  a trust that is declared not to be a special trust by section 3A.

Tax year or Land tax year means a period of 12 months starting on 1 January for which land tax is leviable and payable.

Taxpayer means any person chargeable with land tax.

Trustee, in addition to every person appointed or constituted trustee by act of parties by order or declaration of a court or by operation of law, includes:

(a)  an executor or administrator, guardian, committee, receiver, or liquidator, and

(b)  every person having or taking upon himself or herself the administration or control of land affected by any express or implied trust, or acting in any fiduciary capacity, or having the possession, control or management of the land of a person under any legal or other disability.

Trustee company means a trustee company within the meaning of the Trustee Companies Act 1964 or the Public Trustee.

(2)  For the purposes of the definition of Residential unit in subsection (1) a flat used and occupied as the person’s principal place of residence by a person referred to in the definition does not cease to be used and occupied by that person as the person’s principal place of residence and for no other purpose by reason of the occupation under lease or licence for residential purposes of not more than one room in the flat.

(2A)    (Repealed)

(3)  For the purposes of this Act, in respect of any year in respect of which taxation is leviable or payable, land or a flat is not used or occupied as the principal place of residence of a person unless:

(a)  that land or flat and no other land or flat has, since before the first day of July that last preceded the commencement of that year, been continuously used and occupied by that person for residential purposes and for no other purpose, or

(b)  in any other case, the Chief Commissioner is satisfied that the land or flat is used and occupied by that person as the person’s principal place of residence.

(4)  For the purposes of this Act, land does not cease to be subject to a discretionary trust by reason only of a vesting of capital or income:

(a)  which is revocable, or

(b)  which, in the opinion of the Chief Commissioner, is not permanent.

(5)    (Repealed)

s 3: Am 1969 No 69, sec 2 (a); 1973 No 70, sec 5 (a); 1975 No 97, Sch 2; 1981 No 119, Sch 1; 1983 No 14, Sch 1 (1); 1983 No 171, Sch 1 (1); 1985 No 147, Sch 1 (1); 1985 No 215, Sch 1 (1); 1985 No 223, Sch 1 (1); 1986 No 205, Sch 2; 1987 No 88, Sch 1 (1); 1988 No 128, Sch 1 (2); 1989 No 135, Sch 1; 1989 No 222, Sch 1 (1); 1990 No 35, Sch 1 (1); 1990 No 88, Sch 1 (1)–(3); 1990 No 112, Sch 2; 1991 No 47, Sch 1 (13) (17); 1992 No 84, Sch 1 (1); 1994 No 48, Sch 5 (5); 1995 No 11, Sch 1.71 [1]; 1996 No 98, Sch 1.3 [1] [2]; 1996 No 125, Sch 4.2 [1]; 1997 No 41, Sch 2 [1] [2]; 1997 No 109, Sch 1.3; 1998 No 54, Sch 2.21; 1998 No 79, Sch 2.3 [1]; 1999 No 52, Sch 2.1 [1]; 2000 No 105, Sch 3 [1]; 2000 No 106, Sch 3 [1].

3A Trusts that are not discretionary trusts or special trusts

(1)  A trust is not a discretionary trust or a special trust for the purposes of this Act in relation to a land tax year (after the 1997 land tax year) that next follows a year of income in relation to which the trust is:

(a)  a complying superannuation fund (within the meaning of section 42 of the Commonwealth Act), or

(b)  a complying approved deposit fund (within the meaning of section 43 of the Commonwealth Act), or

(c)  a pooled superannuation trust (within the meaning of section 44 of the Commonwealth Act).

(2)  A trust is not a discretionary trust or a special trust for the purposes of this Act in relation to a land tax year (after the 1997 land tax year) that next follows the year in which the trust was established if the trust was established after 30 June in that year and:

(a)  is a regulated superannuation fund (within the meaning of the Commonwealth Act), or is taken under the Commonwealth Act to have been a regulated superannuation fund, at midnight on 31 December in the year in which it was established, or

(b)  is an approved deposit fund (within the meaning of the Commonwealth Act) at midnight on 31 December in the year in which it was established, or

(c)  is a pooled superannuation trust (within the meaning of the Commonwealth Act) at midnight on 31 December in the year in which it was established.

(3)  In this section:

Commonwealth Act means the Commonwealth Superannuation Industry (Supervision) Act 1993.

year of income has the same meaning as in the Commonwealth Act.

s 3A: Ins 1997 No 41, Sch 2 [3].

Part 2 Administration

4 Taxation Administration Act 1996

This Act is to be read together with the Taxation Administration Act 1996 which makes provision for the administration and enforcement of this Act and other taxation laws.

s 4: Subst 1983 No 14, Sch 1 (2). Am 1985 No 223, Sch 1 (2); 1987 No 88, Sch 1 (2); 1994 No 48, Sch 5 (13). Subst 1996 No 98, Sch 1.3 [3].

4A–6 (Repealed)

s 4A: Ins 1983 No 14, Sch 1 (2). Rep 1996 No 98, Sch 1.3 (3).

s 4B: Ins 1983 No 14, Sch 1 (2). Rep 1996 No 98, Sch 1.3 (3).

s 5: Am 1983 No 14, Sch 1 (3); 1985 No 223, Sch 1 (3). Rep 1996 No 98, Sch 1.3 [3].

s 6: Am 1968 No 62, sec 2 (a); 1971 No 18, Sch, Part 1; 1983 No 14, Sch 1 (4); 1986 No 90, sec 2. Subst 1987 No 88, Sch 1 (3). Am 1987 No 209, Sch 43; 1992 No 57, Sch 1; 1992 No 112, Sch 1; 1994 No 48, Sch 12. Rep 1996 No 98, Sch 1.3 [3].

Part 3 Land tax

7 Land tax on land value

(1)  Land tax at such rates as may be fixed by any Act is to be levied and paid on the land value of all land situated in New South Wales which is owned by taxpayers (other than land which is exempt from taxation under this Act).

(2)  The land value of land, in relation to a land tax year, is the value entered in the Register as the land value of the land as at 1 July in the previous year.

(3)  The fact that there is no value entered in the Register on 31 December in a year as the land value of the land as at 1 July in that year does not prevent land tax being levied and charged and becoming payable for the following tax year once that land value is entered in the Register.

s 7: Am 1981 No 119, Sch 1; 1985 No 147, Sch 1 (2). Subst 1992 No 84, Sch 1 (2).

8 Date of ownership for purposes of land tax

Land tax shall be charged on land as owned at midnight on the thirty-first day of December immediately preceding the year for which the land tax is levied.

In this section year means the period of twelve months commencing on the first day of January.

s 8: Am 1973 No 70, sec 3 (a).

9 Taxable value

(1)  Land tax is payable by the owner of land on the taxable value of all the land owned by that owner which is not exempt from taxation under this Act.

(2)  The taxable value of that land is the total sum of the land value of each parcel of that land.

(3)  Despite subsection (2), the taxable value of land within a colliery holding (within the meaning of the Mining Act 1992) is the total sum of the land value of each parcel of that land less the amount recorded in the Register in relation to each such parcel as the amount by which the presence of coal in that parcel increases the land value of that parcel.

(4)    (Repealed)

s 9: Am 1960 No 35, sec 2 (1) (a); 1961 No 32, sec 2; 1963 No 40, sec 2 (a); 1964 No 40, sec 2; 1965 No 33, First Sch (am GG No 120 of 4.11.1966, p 4516 (as on and from 14.2.1966)); 1967 No 59, sec 2 (1); 1968 No 62, sec 2 (b); 1969 No 69, sec 2 (b); 1970 No 64, sec 2 (a); 1971 No 48, sec 2 (a); 1972 No 75, sec 3; 1973 No 70, sec 4; 1975 No 97, Sch 3 (1); 1981 No 119, Sch 1; 1983 No 14, Sch 1 (5); 1983 No 171, Sch 1 (2); 1984 No 129, Sch 1 (1); 1985 No 147, Sch 1 (2); 1988 No 128, Sch 1 (3). Subst 1992 No 84, Sch 1 (3). Am 1997 No 37, Sch 3 [1]; 1998 No 79, Sch 2.3 [2]; 2000 No 106, Sch 3 [2].

9A Postponement of part of land tax attributable to unutilised value

(1)  If there is an unutilised value allowance entered in the Register in respect of the land value of land, a person liable to pay land tax on the land in respect of that land value is entitled to a postponement of part of that land tax, as provided by this section.

(2)  The entitlement to postponement is an entitlement to postpone payment of the amount by which the land tax assessed would have been reduced had the land value of the land been reduced by that unutilised value allowance.

(3)  When the land is sold or otherwise disposed of or when the land ceases to be used or occupied solely as the site of a single dwelling-house:

(a)  the person entitled to the postponement of land tax must within 1 month inform the Chief Commissioner of the date upon which the land was sold or otherwise disposed of or ceased to be so used or occupied, and

(b)  the person ceases to be entitled to a postponement of land tax under this section, and

(c)  the amounts of land tax postponed under this section in any assessments made in respect of the year in which land tax ceased to be postponed under this section and the 4 preceding years become due and payable 30 days after service of notice by the Chief Commissioner.

(4)  All amounts of land tax postponed under this section (other than those which are or which may become due and payable under subsection (3)) are to be written off by the Chief Commissioner.

(5)  Unutilised value allowances are ascertained under Division 3 of Part 7.

(6)  In this section single dwelling-house has the same meaning as in Division 2 of Part 8 of Chapter 15 of the Local Government Act 1993.

s 9A: Ins 1963 No 40, sec 2 (b). Am 1968 No 62, sec 2 (c); 1973 No 70, sec 3 (b); 1981 No 119, Sch 1; 1983 No 14, Sch 1 (5); 1985 No 147, Sch 1 (3); 1985 No 215, Sch 1 (2). Subst 1992 No 84, Sch 1 (4). Am 1995 No 11, Sch 1.71 [2].

9AA Strata

(1)  Land tax, in the case of land subject to the Strata Schemes (Freehold Development) Act 1973 or the Strata Schemes (Leasehold Development) Act 1986, is to be levied and paid in respect of each lot comprised in a parcel.

(2)  For the purposes of this Act, the land value of a lot comprised in a parcel is an amount that bears to the land value (within the meaning of section 7 (2)) of the parcel the same proportion as the unit entitlement of the lot bears to the aggregate unit entitlement.

(3)  Expressions used in this section have the same meanings as in the Strata Schemes (Freehold Development) Act 1973 or the Strata Schemes (Leasehold Development) Act 1986.

s 9AA: Ins 1994 No 72, Sch 2 (1). Am 1996 No 139, Sch 2.20 [1] [1A] (am 1997 No 55, Sch 2.18 [1] [2]; 1997 No 147, Sch 2.27 [2]).

9B (Repealed)

s 9B: Ins 1990 No 35, Sch 1 (2). Am 1990 No 88, Sch 1 (4). Rep 1991 No 47, Sch 1 (8).

9C Reduction in land value for flats

(1)  For the purpose of assessing land tax, the land value of land on which is situated a flat is to be reduced by the allowable proportion in relation to the flat.

(2)  The allowable proportion for a flat is as determined in accordance with whichever of the following paragraphs is applicable in the particular case:

(a)  if there is an apportionment factor entered in the Register in respect of that land value—the proportion determined in accordance with the following calculation:

 

(b)  if paragraph (a) is not applicable—the proportion specified in an application for a reduction under this section as the fair and reasonable proportion of the land value of the land to be attributed to the flat, unless paragraph (c) is applicable,

(c)  if the Chief Commissioner is not satisfied as to the fairness and reasonableness of the proportion referred to in paragraph (b)—the proportion that the floor area of the flat bears to the total floor area (including the floor area of the flat) of all the buildings on the parcel of land on which the flat is situated.

(2A)  Apportionment factors for the purposes of this section are to be ascertained in accordance with Division 5 of Part 1B of the Valuation of Land Act 1916.

(3)  The reduction under this section applies only if the following requirements are satisfied:

(a)  the flat must be used and occupied by the owner of the land as his or her principal place of residence and for no other purpose (in which connection the use or occupation under lease or licence for residential purposes of not more than 1 room in the flat is to be ignored),

(b)  the occupier of the flat must be the owner or one of the owners of the land on which the flat is situated,

(c)  an owner of the land who occupies the flat must not be an owner merely because of being a trustee,

(d)    (Repealed)

(e)  the owner of the land must not be a company or company jointly with another person or other persons, except in either case a trustee company acting in its representative capacity.

(4)    (Repealed)

(5)  Unless the land concerned is land to which subsection (2) (a) applies, there is to be no reduction under this section unless:

(a)  application has been made for the reduction by all the owners of the land, specifying the proportion that in their opinion is a fair and reasonable proportion of the land value of the land to be attributed to the flat, and

(b)  the application is made in a form approved by the Chief Commissioner.

(6)  There is to be no reduction under this section if the building on the land, or the buildings on the land together, comprise 2 flats and the land is exempted from taxation under this Act.

(7)  This section does not apply to land to which section 21B applies.

s 9C: Ins 1990 No 35, Sch 1 (2). Am 1991 No 47, Sch 1 (9); 1992 No 84, Sch 1 (5) (6); 1997 No 37, Sch 3 [2] [3]; 1998 No 79, Sch 2.3 [3]; 2000 No 106, Sch 3 [3].

10 Land exempted from tax

(1)  Except where otherwise expressly provided in this Act the following lands shall, subject to sections 10B, 10D, 10E, 10G and 10P, be exempted from taxation under this Act:

(a)    (Repealed)

(b)  land owned by any marketing board constituted under the Marketing of Primary Products Act 1927, an agricultural industry services committee constituted by the Agricultural Industry Services Act 1998 or a pastures protection board constituted under the Pastures Protection Act 1934,

(c)  land owned by or in trust for a public health organisation within the meaning of the Health Services Act 1997,

(c1)    (Repealed)

(d)  land owned by or in trust for a charitable or educational institution if the institution, however formed or constituted, is carried on solely for charitable or educational purposes and not for pecuniary profit,

(e)  land owned by or in trust for a religious society if the society, however formed or constituted, is carried on solely for religious, charitable or educational purposes, including the support of the aged or infirm clergy or ministers of the society, or their wives or widows or children, and not for pecuniary profit,

(f)  land owned by or in trust for, and used and occupied solely by:

(i)  an association of employers or employees registered as an organisation under Part IX of the Industrial Relations Act 1988 of the Commonwealth,

(ii)    (Repealed)

(iii)  an industrial organisation of employers or employees within the meaning of the Industrial Relations Act 1996,

(iv)  the Labor Council of New South Wales or any other association of bodies of a kind referred to in subparagraph (i) or (iii), or

(v)  a company in which shares representing not less than 85 per cent of the paid-up capital thereof are held by or in trust for a body referred to in subparagraph (i), (iii) or (iv),

not being land of which any part is used for the purpose of a commercial activity open to members of the public,

(f1)  land owned by the New South Wales Aboriginal Land Council, a Regional Aboriginal Land Council or a Local Aboriginal Land Council constituted under the Aboriginal Land Rights Act 1983,

(g)  land owned by or in trust for any person or society and used or occupied by that person or society solely as a site for:

(i)  a place of worship for a religious society, or a place of residence for any clergy or ministers or order of a religious society,

(ii)  the provision of a child care service the subject of a licence under the Children (Care and Protection) Act 1987, a residential child care centre licensed under that Act or a school registered under the Education Act 1990,

(iii)  a building (not being a building of which any part is used for the purpose of a commercial activity open to members of the public) owned and solely occupied by a society (not being a building society within the meaning of section 10G), club or association not carried on for pecuniary profit,

(iv)  a charitable institution not carried on for pecuniary profit,

(v)  a public cemetery or crematorium,

(vi)  a public garden, public recreation ground or public reserve,

(vii)  a fire brigade, ambulance or mines rescue station,

(viii)  a private hospital within the meaning of the Private Hospitals and Day Procedure Centres Act 1988 not carried on for pecuniary profit,

(ix)  an authorised hospital within the meaning of the Mental Health Act 1990 not carried on for pecuniary profit,

(x)  a nursing home within the meaning of the Nursing Homes Act 1988,

(h)  land owned by, or in trust for, any club or body of persons, and used primarily and principally for the purposes of any game or sport and not used for the pecuniary profit of the members of that club or body,

(i)  land owned by, or in trust for, any club or body of persons, formed for promoting or controlling horse-racing, trotting-racing or greyhound-racing and used primarily and principally for the holding of meetings for horse-racing, trotting-racing or greyhound-racing,

(j)  land used and occupied for the purpose of holding agricultural shows, or shows of a like nature and owned by, or held in trust for, a society which is established for the purpose of holding such shows and is not carried on for the pecuniary profit of its members and applies its revenues substantially towards the promotion or holding of such shows,

(k)  land owned by a friendly society,

(l)  association property that is vested in an association under the Community Land Development Act 1989 and is used primarily and principally:

(i)  as an open access way or private access way within a community scheme, precinct scheme or neighbourhood scheme under the Community Land Development Act 1989, or

(ii)  for the recreation of participants in such a scheme and their invitees,

but is not used for a commercial purpose,

(m)  land owned by a State owned corporation (within the meaning of the State Owned Corporations Act 1989) specified in the regulations to the extent, and from the date (whether that date is before or after the commencement of the regulations), prescribed by the regulations in respect of the corporation,

(n)  land owned by any gas or electricity supply authority specified in the regulations (being an energy services corporation within the meaning of the Energy Services Corporations Act 1995, a distribution network service provider that holds an authorisation or licence to operate an electricity distribution system under the Electricity Supply Act 1995 or a gas distributor that holds an authorisation under the Gas Supply Act 1996) to the extent, and from the date (whether that date is before or after the commencement of the regulations), prescribed by the regulations in respect of such authority,

(o)  land owned by the Returned Sailors, Soldiers and Airmen’s Imperial League of Australia (New South Wales Branch) and being the site of Anzac House,

(p)  with respect to taxation leviable or payable in respect of the year commencing on 1 January 1991 or any succeeding year, land that:

(i)  is land used for primary production in the course of the carrying on of a business of primary production, or

(ii)  is land used for primary production (whether or not in the course of carrying on a business of primary production) if the land is within a “rural” or “non-urban” zone under a planning instrument or (in the case of land not within a zone under a planning instrument) is land that the Chief Commissioner is satisfied is rural land,

(p1)  land that, in accordance with an approval of the Director-General of National Parks and Wildlife, is primarily used for the maintenance of endangered species native to Australia to assist their preservation,

(p2)  land that is vested in, owned by, held on trust by or leased by the Nature Conservation Trust of New South Wales constituted by the Nature Conservation Trust Act 2001,

(q)  land used solely as a police station,

(r)  with respect to taxation leviable or payable in respect of the year commencing on 1 January 1998 or any succeeding year, land that has a land value in respect of the year of less than the premium tax threshold and that is used and occupied as the principal place of residence of the owner of the land (or, if there are joint owners, as the principal place of residence of one or more of them) and for no other purpose (except as provided by subparagraph (iii)), being:

(i)  a strata lot, or

(ii)  a parcel of residential land, or

(iii)  a parcel of residential land on which there is also one of the residential occupancies referred to in subsection (1D) (b) (ii) (A)–(F),

unless the owner or all of the joint owners who so used and occupied the lot or parcel (as appropriate) is such an owner by reason only of being a trustee,

(r1)  with respect to taxation leviable or payable in respect of the year commencing on 1 January 1987 or any succeeding year, land approved for multiple occupancy, and occupied, in accordance with an environmental planning instrument within the meaning of the Environmental Planning and Assessment Act 1979,

(s)    (Repealed)

(t)  with respect to taxation leviable or payable in respect of the year commencing on 1 January 1975 or any succeeding year, land owned by a co-operative under the Co-operatives Act 1992 that has as its objects any of the objects listed in section 7 of the Co-operation Act 1923.

(u)    (Repealed)

(1A)–(1CA)    (Repealed)

(1D)  In paragraph (r) of subsection (1) residential land means land that is used and occupied for residential purposes and for no other purpose, that use and occupation being use and occupation of a building or buildings designed, constructed or adapted for residential purposes:

(a)  not being land that:

(i)  is owned by a company,

(ii)  is owned by or on behalf of a company and is land of which a mortgagee or person by way of security for money is in possession,

(iii)  is held by a trustee for or on behalf of a company, or

(iv)  in respect of which a company is jointly assessed with any other person, and

(b)  not being a building or buildings:

(i)  comprised of lots within a strata plan or residential units,

(ii)  containing (out of the total of all rooms in the building or buildings) occupancies other than that of the owner and any one of the following residential occupancies:

(A)  one room,

(B)  one suite of rooms (not being a flat) each room of which all occupants of the suite are entitled to occupy,

(C)  one flat,

(D)  one suite of rooms (not being a flat) each room of which all occupants of the suite are entitled to occupy, and one room,

(E)  one flat and one room,

(F)  2 rooms, each of which is separately occupied, or

(iii)  from any part of which income is derived otherwise than as the consideration for one (but not more than one) of the residential occupancies referred to in subparagraph (ii) (A)–(F).

(1E)  In subsection (1) (r), strata lot means:

(a)  a lot under the Strata Schemes (Freehold Development) Act 1973, not being a lot:

(i)  that is owned by a company,

(ii)  that is owned by or on behalf of a company and is land of which a mortgagee or person (by way of security for money) is in possession,

(iii)  that is held by a trustee for or on behalf of a company, or

(iv)  in respect of which a company is jointly assessed with any other person, or

(b)  a lot under the Strata Schemes (Leasehold Development) Act 1986, not being a lot:

(i)  which is leased by a company,

(ii)  which is leased by or on behalf of a company and which is land of which a mortgagee or person (by way of security for money) is in possession,

(iii)  which is leased by a trustee for or on behalf of a company, or

(iv)  in respect of which a company is jointly assessed with any other person.

(1EA)  In subsections (1D) and (1E) company does not include a trustee company acting in its representative capacity.

(1F)  For the purposes of subsection (1) (r), land used and occupied by an owner as the owner’s principal place of residence does not cease to be used and occupied as the owner’s principal place of residence and for no other purpose because there is on the land one (but not more than one) of the residential occupancies referred to in subsection (1D) (b) (ii) (A)–(F).

(1G)  For the purposes of subsection (1D), land does not cease to be used and occupied as provided by that subsection by reason of there being on that land any building or improvement that is used or occupied for a purpose ancillary to the purposes for which the building is, or the buildings are, designed, constructed or adapted.

(1H), (1I)    (Repealed)

(2)  Where:

(a)  a building is erected on land to which the provisions of subsection (1) (f) or (g) (iii) or of section 10B (2) or 10D (2) would apply if the building were solely occupied by the persons or bodies referred to in those provisions, and

(b)  the building is partly used or occupied, or is intended to be partly used or occupied, by persons other than those persons or bodies,

the land value of that land shall, for the purposes of the assessment of those persons or bodies, be reduced to an amount which bears the same proportion to that land value as the rental value of the part so used or occupied, or intended to be so used or occupied, by those other persons bears to the total rental value of the building.

(2A)  Where:

(a)  part of any land or part of a building is used, or intended to be used, for the purpose of a commercial activity open to members of the public, and

(b)  the provisions of subsection (1) (f) or (g) (iii) would apply to the land or building if no part of the land or building were so used, or intended to be so used,

the land value of that land or of the land on which that building is erected shall, for the purposes of the assessment of land tax, be reduced to an amount which bears the same proportion to that land value as the rental value of the part so used, or intended to be so used, bears to the total rental value of that land or building, as the case may be.

(2AA)    (Repealed)

(2B)  For the purposes of subsection (1) (f), the use or occupation of any land or part of any land by any body, being a body of a kind referred to in subsection (1) (f):

(a)  which is affiliated with the body by, or in trust for, which the land is owned,

(b)  with which the body referred to in paragraph (a) is affiliated, or

(c)  which is controlled by, or controls, the body referred to in paragraph (a),

shall not be deemed to be use or occupation by a person other than the body by, or in trust for, which the land is owned.

(3)  For the purposes of sub-paragraph (iii) of paragraph (g) of subsection (1), the use or occupation of any building or part of any building by any society, institution, club or association not carried on for pecuniary profit, which is affiliated with the owner of the land on which the building is erected, or with which that owner is affiliated, or which is controlled by or controls that owner, shall not be deemed to be use or occupation by a person other than the owner.

(4), (5)    (Repealed)

s 10: Am 1967 No 18, sec 125 (1) (ins 1967 No 81, sec 2); 1969 No 69, sec 2 (c); 1970 No 64, sec 2 (b); 1971 No 48, sec 2 (b); 1973 No 35, sec 12; 1973 No 68, Sch 3 (am 1974 No 35, Sch); 1973 No 70, secs 3 (c), 5 (b); 1975 No 97, Schs 1, 3 (2); 1979 No 205, Sch 2, Part 1; 1981 No 119, Sch 1; 1981 No 123, Sch 8; 1983 No 14, Sch 1 (5); 1983 No 42, Sch 3; 1983 No 171, Sch 1 (3); 1985 No 147, Sch 1 (2); 1985 No 215, Sch 1 (3); 1986 No 53, Sch 1; 1986 No 186, Schs 1, 2 (1); 1986 No 220, Sch 1; 1987 No 58, Sch 3; 1987 No 63, Sch 2; 1987 No 229, Sch 1; 1988 No 128, Sch 1 (4); 1989 No 204, Sch 1; 1990 No 88, Sch 1 (6)–(8); 1991 No 47, Sch 1 (1) (14); 1992 No 18, Sch 7; 1992 No 84, Schs 1 (5), 2 (1); 1994 No 48, Sch 5 (14); 1994 No 72, Sch 2 (2); 1995 No 94, Sch 5.6; 1995 No 98, Sch 4 [1]; 1996 No 38, Sch 1.9; 1996 No 121, Sch 4.33; 1996 No 139, Sch 2.20 [2]–[5] (am 1997 No 55, Sch 2.18 [1] [2]); 1997 No 11, Sch 1.11; 1997 No 37, Sch 3 [4] [5]; 1997 No 154, Sch 6.20; 1998 No 44, Sch 2 [1]; 1998 No 45, Sch 3.3; 1998 No 79, Sch 2.3 [4]; 1998 No 170, Sch 3.7 [1] [2]; 1999 No 52, Sch 2.1 [2]; 2000 No 51, Sch 3 [1] [2]; 2000 No 106, Sch 3 [4]; 2000 No 109, Sch 2.4; 2001 No 10, Sch 5.3 [1].

10A Residential use and occupation—concession on death of owner

(1)  If immediately before the death of a person the person was an owner of land and used and occupied the land as his or her principal place of residence, liability for land tax in respect of the land is to be assessed as if the person had not died and had continued to so use and occupy the land.

(2)  Subsection (1) operates only until whichever of the following happens first:

(a)  a period of 12 months expires after the date of the deceased’s death,

(b)  the deceased’s interest in the land vests in a person (other than as the deceased’s personal representative) pursuant to the administration of the deceased’s estate.

(3)  If the deceased’s interest in the land has not vested in a person (except as the deceased’s personal representative) within 12 months after the deceased’s death, the Chief Commissioner may extend (and further extend) the period of 12 months referred to in subsection (2) but only if satisfied that:

(a)  a person is using and occupying the land as his or her principal place of residence, and

(b)  that person is likely to be a person in whom the deceased’s interest in the land vests pursuant to the administration of the deceased’s estate.

(4)  Such an extension or further extension by the Chief Commissioner can only be granted in writing and can be withdrawn by the Chief Commissioner at any time by notice in writing given to the deceased’s personal representative.

(5)    (Repealed)

(6)  In this section:

land includes a lot within a strata plan.

s 10A: Ins 1975 No 97, Sch 3 (3). Am 1981 No 123, Sch 8; 1983 No 14, Sch 1 (5). Rep 1985 No 215, Sch 1 (4). Ins 1988 No 128, Sch 1 (5). Rep 1989 No 113, sec 4. Ins 1990 No 35, Sch 1 (3). Am 1996 No 139, Sch 2.20 [6]; 1998 No 44, Sch 2 [2]; 1998 No 104, Sch 4 [1] [2].

10B Taxation of land owned by certain authorities

(1)  In this section, prescribed authority means:

(a)  the FSS Trustee Corporation and the SAS Trustee Corporation, and

(b)    (Repealed)

(2)  Nothing in this Act operates to exempt from taxation under this Act any land owned by a prescribed authority that is not land solely occupied by the authority as offices from which to exercise and perform its powers, authorities, duties and functions.

s 10B: Ins 1975 No 97, Sch 3 (3). Am 1994 No 48, Sch 5 (15); 1996 No 39, Sch 4.5; 1996 No 122, Sch 7.7.

10C (Repealed)

s 10C: Ins 1975 No 97, Sch 3 (3). Am 1983 No 171, Sch 1 (4). Rep 1998 No 170, Sch 3.7 [3].

10CA Taxation of land owned by Sydney Harbour Foreshore Authority

(1)  Nothing in this Act operates to exempt from land tax, or to otherwise affect the liability to land tax of, a lessee of any land:

(a)  that is owned by the Sydney Harbour Foreshore Authority, and

(b)  that was owned by the Sydney Cove Redevelopment Authority immediately before its dissolution on 1 February 1999, and

(c)  in respect of which the Sydney Cove Redevelopment Authority was, immediately before 1 February 1999, liable for land tax under section 10C of this Act as then in force for the land tax year starting on 1 January 1999,

while that land remains in the ownership of the Sydney Harbour Foreshore Authority.

(2)  For the purposes of this section, it is immaterial whether the lease was entered into before, on or after 1 January 1991.

(3)  This section applies to and in respect of land tax chargeable on land for the land tax year starting on 1 January 2001 and subsequent land tax years.

s 10CA: Ins 2000 No 105, Sch 3 [2].

10D Taxation of land owned by certain statutory corporations

(1)  In this section prescribed authority means:

(a)  the Albury–Wodonga (New South Wales) Corporation,

(b)  a corporation constituted under section 4 or 23A of the Growth Centres (Development Corporations) Act 1974, or

(c)  the New South Wales Planning and Environment Commission in respect of the development of the Sydney South West Sector.

(2)  Nothing in this Act operates to exempt from taxation under this Act any land owned by a prescribed authority that is:

(a)  occupied by the authority as offices from which to exercise and perform its powers, authorities, duties and functions unless the land is solely so occupied, or

(b)  land leased by the authority for commercial or industrial purposes.

s 10D: Ins 1975 No 97, Sch 3 (3). Am 1985 No 215, Sch 1 (5).

10E Taxation of land acquired for Urban Land Council

Nothing in this Act operates to exempt from taxation under this Act any land owned by the Housing Commission of New South Wales or the New South Wales Planning and Environment Commission or any other corporation for the purposes of the Urban Land Council being land (other than land held for open space purposes) held for development.

s 10E: Ins 1975 No 97, Sch 3 (3). Am 1985 No 215, Sch 1 (5).

10F (Repealed)

s 10F: Ins 1985 No 215, Sch 1 (6). Rep 2000 No 106, Sch 3 [5].

10G Taxation of land owned by building societies

(1)  In this section:

building society means a building society, or an association of building societies, registered under the Financial Institutions (NSW) Code.

(2)  The amount of land tax payable by a building society for the year commencing on 1 January 1986 shall be reduced by two-thirds.

(3)  The amount of land tax payable by a building society for the year commencing on 1 January 1987 shall be reduced by one-third.

(4)  This section has effect notwithstanding any other provision of this Act.

s 10G: Ins 1985 No 215, Sch 1 (6). Am 1998 No 11, Sch 6.13.

10H Exemption—new rental accommodation

(1)  In this section and in sections 10I–10K:

new residential development means a dwelling or dwellings:

(a)  constructed by building or construction work that was or is commenced on or after 2 June 1988 but before 1 January 1994, or

(b)  created by the conversion of existing non-residential premises into a dwelling or dwellings or of an existing dwelling into 2 or more separate dwellings, where building or construction work for the conversion was or is commenced on or after 2 June 1988 but before 1 January 1994.

(2)  Land that is a parcel not exceeding 2,100 square metres in area or a lot within a strata plan is exempt from taxation under this Act if the Chief Commissioner is satisfied that:

(a)  the whole of the land is used and occupied as the principal place of residence of one or more persons and for no other purpose, and

(b)  that use and occupation is use and occupation of new residential development and of no other premises, and

(c)  that use and occupation is pursuant to a residential tenancy agreement within the meaning of the Residential Tenancies Act 1987, and

(d)  no part of the new residential development concerned was used or occupied by the owner of the land at any time during the year that immediately precedes the tax year for which the exemption is claimed.

(3)  For the purposes of this section, land does not cease to be used and occupied for residential purposes merely because any building or improvement on the land is used or occupied for a purpose ancillary to that purpose.

s 10H: Ins 1988 No 128, Sch 1 (6). Am 1991 No 47, Sch 1 (2); 1996 No 139, Sch 2.20 [7].

10I Principal place of residence exemption not affected by new rental accommodation

In determining for the purposes of section 10 (1) (r) whether land is used and occupied as the principal place of residence of a person and for no other purpose, the fact that new residential development on the land is not used and occupied as the principal place of residence of that person shall be disregarded if the Chief Commissioner is satisfied that:

(a)  the new residential development is used and occupied as the principal place of residence of another person, and

(b)  that use and occupation is pursuant to a residential tenancy agreement within the meaning of the Residential Tenancies Act 1987.

s 10I: Ins 1988 No 128, Sch 1 (6).

10J Reduction—new rental accommodation

If the exemption under section 10H would apply to land but for the fact that:

(a)  the use and occupation of the land as a person’s principal place of residence involves the use of new residential development together with other premises that are not new residential development, or

(b)  only part of the land is used and occupied as the principal place of residence of one or more persons and for no other purpose,

the land value of the land shall for the purposes of land tax be reduced by an amount calculated as follows:

 

s 10J: Ins 1988 No 128, Sch 1 (6). Am 1991 No 47, Sch 1 (3); 1992 No 84, Sch 1 (5).

10K Time limits on new rental accommodation concessions

(1)  Sections 10H–10J apply only in respect of each of the 5 tax years immediately following the tax year in which the new residential development concerned first became ready for occupation for residential purposes.

(2)  Sections 10H–10J do not apply unless the new residential development concerned becomes ready for occupation for residential purposes:

(a)  if it consists of 1 dwelling—before 1 January 1995 or such later date as the Chief Commissioner may allow in a particular case, or

(b)  if it consists of more than 1 dwelling, before 1 January 1996 or such later date as the Chief Commissioner may allow in a particular case.

(3)  Sections 10H–10J apply in respect of land whether or not the owner of the land was the owner when the new residential development concerned was commenced or completed.

s 10K: Ins 1988 No 128, Sch 1 (6).

10L New rental accommodation concessions must be applied for

Section 10H, 10I or 10J does not apply to an owner of land in respect of a tax year unless:

(a)  the owner applies to the Chief Commissioner for the exemption or reduction, in the form approved by the Chief Commissioner, and

(b)  that application is made before 31 January in that year unless the Chief Commissioner allows it to be made later, and

(c)  the owner furnishes the Chief Commissioner with such evidence as the Chief Commissioner may request for the purpose of enabling the Chief Commissioner to determine whether there is an entitlement to the exemption or reduction concerned.

s 10L: Ins 1988 No 128, Sch 1 (6).

10M Land subject to rental-purchase scheme not to be taken into account for land tax purposes

(1)  The Chief Commissioner may approve a person for the purposes of this section (referred to in this section as an approved person) and such an approval may be granted unconditionally or subject to conditions.

(2)  An application for such an approval shall be made to the Chief Commissioner in the form and manner approved by the Chief Commissioner.

(3)  The ownership of land by an approved person who complies with any conditions to which the approval is subject shall be ignored for land tax purposes if the land:

(a)  is the subject of a rental-purchase scheme, or

(b)  is described in a return lodged by the person under subsection (5) as being land that is available to become subject to a rental-purchase scheme.

(4)  For the purposes of this section and section 10N, land is the subject of a rental-purchase scheme only if the Chief Commissioner is satisfied that:

(a)  the land is occupied (or is being offered for occupation) pursuant to an agreement the terms and conditions of which are approved by the Chief Commissioner, including a term under which the occupier has an option to purchase the land, and

(b)  the land was first so occupied or offered for occupation not more than 12 months (or such longer period as the Chief Commissioner may allow) after the approved person became the owner of the land, and

(c)  the land would be exempt under section 10 (1) (r) if the occupier (or a prospective occupier) were the owner of the land.

(5)  An approved person shall lodge with the Chief Commissioner on or before 31 January in each year a return as the Chief Commissioner may require concerning:

(a)  land owned by the person at midnight on the previous 31 December that is the subject of a rental-purchase scheme, and

(b)  land (including vacant land) owned by the person at that time that is available to become the subject of a rental-purchase scheme.

(6)  In this section:

land includes a lot within a strata plan.

s 10M: Ins 1988 No 128, Sch 1 (6). Am 1996 No 98, Sch 1.3 [4]; 1996 No 139, Sch 2.20 [8].

10N Re-assessment if land subsequently not subject to rental-purchase scheme

(1)  Section 10M shall be regarded as never having applied in respect of the ownership of land by a person if:

(a)  the person sells the land otherwise than pursuant to an agreement referred to in section 10M (4) (a), or

(b)  section 10M (3) (b) applies to the land and the land does not become subject to a rental-purchase scheme within 12 months (or such longer period as the Chief Commissioner may allow) after the person became the owner of the land.

(2)  The Chief Commissioner may then make an assessment of land tax, or amend any assessment under section 16, so as to take the ownership of the land concerned into account as if section 10M had never applied.

(3)  Despite section 16 (2), an amendment of an assessment authorised by this section may be made at any time.

s 10N: Ins 1988 No 128, Sch 1 (6).

10O Withdrawal of approvals and alteration of conditions

(1)  The Chief Commissioner may at any time by notice in writing to a person approved by the Chief Commissioner for the purposes of section 10M:

(a)  withdraw the approval, or

(b)  alter the conditions to which the approval is subject.

(2)  For the purposes of the application of section 10M in respect of land the subject of a rental-purchase scheme immediately before the approval is withdrawn or the conditions are altered:

(a)  the approval shall be regarded as continuing in force, and

(b)  the alteration of the conditions shall be regarded as not having been made.

s 10O: Ins 1988 No 128, Sch 1 (6).

10P Limitation on exemption for charitable, educational, religious or non-profit bodies

(1)  The exemption provided for in section 10 (1) (d), (e), (g) (iii), (g) (iv), (g) (vi), (h) or (p2) does not apply to a body referred to in any of those provisions if the Chief Commissioner is of the opinion that the constitution (by whatever name called) of the body makes provision for the distribution of the property of the body, in a dissolution of the body, in a manner that:

(a)  would operate to vest some or all of that property in one or more of the members or former members of the body, or

(b)  would ultimately lead (whether or not as a direct result of that dissolution) to some or all of the property of the body vesting in one or more of the members or former members of the body.

(1A)  The exemption provided for in section 10 (1) (g) (vi) does not apply if the land is:

(a)  owned by a natural person, otherwise than as a trustee, or

(b)  owned by a natural person in trust for:

(i)  another natural person, or

(ii)  a body in respect of which the Chief Commissioner forms an opinion on the grounds referred to in subsection (1).

(2)  In subsection (1):

property includes proceeds of the sale or other disposal of property.

(3)  The Chief Commissioner may exempt a body from the operation of subsection (1) (either in respect of the current tax year or that year and specified prior tax years) if satisfied that:

(a)  the body is not involved in a scheme or arrangement for the avoidance or evasion of land tax, and

(b)  the constitution of the body will be altered within 6 months so that the constitution does not make provision as referred to in subsection (1).

(4)  An exemption under subsection (3) ceases if the constitution of the body is not so altered within 6 months after the exemption is granted.

s 10P: Ins 1988 No 128, Sch 1 (6). Am 2000 No 105, Sch 3 [3] [4]; 2001 No 10, Sch 5.3 [2].

10Q Low cost accommodation—exemption/reduction

(1)  Land is exempted from taxation under this Act leviable or payable in respect of the year commencing on 1 January 1995 or any succeeding year if:

(a)  the land is used and occupied primarily for low cost accommodation, and

(b)  application for the exemption is made in accordance with this section, and

(c)  the Chief Commissioner is satisfied that the land is so used and occupied in accordance with guidelines approved by the Treasurer for the purposes of this section.

(2)  The guidelines may include provisions with respect to the following:

(a)  the circumstances in which accommodation is taken to be low cost accommodation,

(b)  the types and location of premises in which low cost accommodation may be provided,

(c)  the number and types of persons for whom the accommodation must be provided,

(d)  the circumstances in which, and the arrangements under which, the accommodation is provided,

(e)  maximum tariffs for the accommodation,

(f)  periods within which tariffs may not be increased,

(g)  the circumstances in which the applicant is required to give an undertaking to pass on the benefit of the exemption from taxation (or, if subsection (4) applies, the reduction in taxation) to the persons for whom the accommodation is provided in the form of lower tariffs.

(3)  A guideline may:

(a)  apply generally or be limited in its application by reference to specified exceptions or factors, or

(b)  apply differently according to different factors of a specified kind,

or both.

(4)  If the Chief Commissioner is satisfied that part only of land or premises is used and occupied primarily for low cost accommodation in accordance with the Treasurer’s guidelines, the land value of the land is to be reduced for the purposes of land tax in accordance with the principles in section 10R (3)–(3C).

(5)  This section does not apply to an owner of land in respect of a tax year unless:

(a)  the owner applies to the Chief Commissioner for the exemption or reduction, in the form approved by the Chief Commissioner, and

(b)  the owner furnishes the Chief Commissioner with such evidence as the Chief Commissioner may request for the purpose of enabling the Chief Commissioner to determine whether there is an entitlement to the exemption or reduction.

(6)  Without limiting the other ways in which this section may cease to apply to a person, it ceases to apply to a person if the person breaches an undertaking given as referred to in subsection (2) (g).

s 10Q: Ins 1989 No 222, Sch 1 (2). Am 1991 No 47, Sch 1 (4); 1992 No 84, Sch 2 (2). Subst 1994 No 72, Sch 2 (3).

10R Retirement villages and nursing homes—exemption/reduction

(1)  In this section:

nursing home has the same meaning as in the Nursing Homes Act 1988.

retirement village means a complex containing residential premises (whether or not including hostel units) predominantly or exclusively occupied by retired persons in pursuance of:

(a)  a residential tenancy agreement or any other lease or licence, or

(b)  a right conferred by shares, or

(c)  the ownership of residential premises subject to a right or option of repurchase or conditions restricting the subsequent disposal of the premises, or

(d)  any other scheme or arrangement prescribed for the purposes of this definition.

(2)  Land is exempt from taxation under this Act if the land is used and occupied as:

(a)  a retirement village, or

(b)  a retirement village and a nursing home,

and for no other purpose.

(3)  If the Chief Commissioner is satisfied that part only of land is used and occupied as referred to in subsection (2), the land value of the land is to be reduced for the purposes of land tax by an amount calculated as follows:

 
where:

R= the reduction in land value.

A= the land value of the land before reduction.

B= the area of the land used and occupied as referred to in subsection (2).

C= the total area of the land.

(3A)  If part only of a building is used and occupied as referred to in subsection (2), a proportion (the allowable proportion) of the area of the land occupied by the building is to be included as part of the area of the land so used and occupied for the purpose of determining the value of “B” in the calculation under subsection (3).

(3B)  The allowable proportion under subsection (3A) is:

(a)  except when paragraph (b) applies—the proportion specified in an application under subsection (3C) in respect of the land, or

(b)  if the Chief Commissioner is not satisfied as to the fairness and reasonableness of the proportion referred to in paragraph (a)—the proportion that the floor area of that part of the building that is used and occupied as referred to in subsection (2) bears to the total floor area of the building.

(3C)  Subsection (3A) does not apply unless application has been made to the Chief Commissioner by the owner of the land specifying the proportion that in the owner’s opinion is a fair and reasonable proportion of the area of land occupied by the building to be attributed to use and occupation as referred to in subsection (2). The application must be in a form approved by the Chief Commissioner and be accompanied by such supporting information as the Chief Commissioner may request.

(4)  For the purposes of this section, land does not cease to be used and occupied for the purpose of a retirement village, or a retirement village and a nursing home, merely because any building or improvement on the land is used or occupied for a purpose ancillary to that purpose.

(5)  This section applies to land tax payable in respect of the year commencing on 1 January 1991 and any succeeding year.

s 10R: Ins 1990 No 88, Sch 1 (9). Am 1992 No 84, Schs 1 (5), 2 (3).

10S Tax liability in respect of certain housing schemes

(1)  In this section:

eligible land means:

(a)  land owned by N.S.W. Housing No. 1 Pty. Limited that the Chief Commissioner is satisfied is the subject of an arrangement known as the Public Equity Partnership Arrangement in which the New South Wales Land and Housing Corporation is a participant,

(b)  land of which the trustee of the FANMAC Pooled Superannuation Trust No. 1 is an owner and which the Chief Commissioner is satisfied is the subject of a scheme known as the Rent/Buy Scheme in which the New South Wales Land and Housing Corporation is a participant.

eligible owner means N.S.W. Housing No. 1 Pty. Limited or the trustee of the FANMAC Pooled Superannuation Trust No. 1.

(2)  The New South Wales Land and Housing Corporation is to pay, on behalf of an eligible owner, so much of the total liability of the eligible owner for land tax in a year as the Chief Commissioner determines and certifies to be the proportion of that total that is referable to eligible land.

(3)  The payment is to be regarded as an expense of the New South Wales Land and Housing Corporation.

(4)  This section applies to land tax payable in respect of the year commencing on 1 January 1991 and any succeeding year.

s 10S: Ins 1990 No 88, Sch 1 (10).

10T Concession for unoccupied land intended to be owner’s principal place of residence

(1)  If the Chief Commissioner is satisfied that the owner of land (or, if there are joint owners, any one or more of them) intends to use and occupy the land solely as his or her principal place of residence, that intended use and occupation of the land is to be regarded as its actual use and occupation for the purposes of section 10 (1) (r).

(2)  This section does not apply unless:

(a)  the land is within a residential zone under a planning instrument or, if not within a zone under a planning instrument, is land that the Chief Commissioner is satisfied is to be used for residential purposes, and

(b)  the Chief Commissioner is satisfied that the intended use and occupation of the land is not unlawful, and

(c)  while the owner is the owner, the land is not used or occupied except as his or her principal place of residence.

(2A)  Subsection (2) (a) does not apply in respect of the land referred to in subsection (4) (b).

(3)  A person is not entitled to have his or her intended use and occupation of land taken into account for land tax purposes if:

(a)  the person or any joint owner of the land is entitled to have his or her actual use and occupation of other land taken into account under section 9C or 10 (1) (r), or

(b)  the person has already received the exemption in respect of any other land in respect of a previous tax year, or

(c)  the person or any joint owner of the land owns land outside New South Wales which is the principal place of residence of the person or joint owner.

(4)  This section applies to a person’s ownership of land only for the 2 tax years immediately following the tax year in which:

(a)  the person became owner, or

(b)  the person, whose land was eligible for an exemption from tax under section 10 (1) (r) in that tax year, ceased to be able to use and occupy the land as his or her principal place of residence because of damage to or destruction of the residence on the land by an event such as fire, earthquake, storm, accident or malicious damage,

unless the Chief Commissioner extends or further extends its operation in a particular case on the basis of an acceptable delay in that case.

(4A)  This section does not apply in respect of land referred to in subsection (4) (b) unless the land concerned was the principal place of residence, for the purposes of section 10 (1) (r), of the person referred to in subsection (4) (b) immediately before the relevant damage or destruction occurred.

(5)  An acceptable delay is a delay in the commencement or completion of the building or other work necessary to enable the intended use and occupation of the land to become its actual use and occupation that the Chief Commissioner is satisfied is due primarily to reasons beyond the control of the owner.

s 10T: Ins 1991 No 47, Sch 1 (5). Am 1993 No 46, Sch 1; 1994 No 48, Sch 5 (8) (16); 1996 No 125, Sch 4.2 [2] [3]; 1997 No 37, Sch 3 [6]–[9]; 1998 No 44, Sch 2 [3].

10U (Repealed)

s 10U: Ins 1992 No 84, Sch 2 (4). Rep 1997 No 37, Sch 3 [10].

11 Limitation of exemption

With respect to land which under section 10 is exempt from land tax the exemption shall be limited to the owner specified in that section, and shall not extend to any other person who is the owner of any estate or interest in the land.

Part 4 Returns and liability

pt 4, hdg: Am 1996 No 98, Sch 1.3 [5].

12 Taxpayer to furnish returns

(1)  The Chief Commissioner may by order published in the Gazette require all persons or specified classes of persons to furnish land tax returns for a specified year or years or for a specified year and each subsequent year.

(1A)  Every person subject to such a requirement in force in respect of a year shall furnish a land tax return to the Chief Commissioner on or before 31 January in that year.

(1B)  A land tax return required to be furnished by a person must:

(a)  set out a full and complete statement of all land owned by the person at midnight on 31 December in the previous year, and

(b)  set out, or be accompanied by, such information as to the person’s land ownership as may be required to complete the return.

(1C)    (Repealed)

(2)  The Chief Commissioner may at any time require any person to furnish a return or a further and fuller return setting forth a full and complete statement of all or any land owned by the person, or in respect of which the person is agent or trustee, at midnight on the thirty-first day of December in any year including the year one thousand nine hundred and seventy-three or at midnight on the thirty-first day of October in any preceding year, with such other particulars as the Chief Commissioner requires, and whether or not any return has previously been made by that person in respect of land owned by the person, or in respect of which the person is agent or trustee, on that date.

(3)  All the provisions of this Act shall extend and apply to any return made or required in accordance with subsection (2).

s 12: Am 1973 No 70, sec 3 (d); 1983 No 14, Sch 1 (5); 1988 No 128, Sch 1 (7); 1996 No 98, Sch 1.3 [6] [7].

13 (Repealed)

s 13: Rep 1996 No 98, Sch 1.3 [8].

14 Assessments to be made

(1)  Subject to this Act and the Taxation Administration Act 1996, the Chief Commissioner shall from the returns and from any other information in the Commissioner’s possession or from any one or both of those sources, and whether any return has been furnished or not, cause an assessment to be made of the taxable value of the land owned by any taxpayer and of the land tax payable thereon.

(2)  An assessment can be made even if the time for lodging returns has not yet expired.

s 14: Am 1983 No 14, Sch 1 (5); 1990 No 88, Sch 1 (11); 1996 No 98, Sch 1.3 [9].

15 Notice of assessment to contain certain matters

A notice of assessment under section 14 of the Taxation Administration Act 1996 in relation to land tax must include a statement as to the taxable value of the land, together with such information as to the amounts determined under the Valuation of Land Act 1916 as to:

(a)  the land value (or other relevant value) of the land, and

(b)  any allowances or apportionment factors relevant to the land,

from which the taxable value of the land has been derived.

s 15: Am 1983 No 14, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [10]. Ins 2000 No 106, Sch 3 [6].

16–19 (Repealed)

s 16: Am 1983 No 14, Sch 1 (5); 1988 No 128, Sch 1 (8); 1991 No 47, Sch 1 (6); 1992 No 84, Sch 1 (7). Rep 1996 No 98, Sch 1.3 [10].

s 17: Rep 1996 No 98, Sch 1.3 [10].

s 18: Am 1983 No 14, Sch 1 (6); 1985 No 223, Sch 1 (3); 1992 No 84, Sch 1 (8). Rep 1996 No 98, Sch 1.3 [10].

s 19: Am 1983 No 14, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [10].

20 Owner of freehold

The owner of any freehold estate less than the fee-simple (other than an estate of freehold arising by virtue of a lease for life under a lease or an agreement for a lease) shall be deemed to be the owner of the fee-simple, to the exclusion of any person entitled in reversion or remainder.

21 Conditional purchases etc

Any person to whom the Crown has contracted to transfer the fee-simple in any land under the Crown Lands Consolidation Act 1913, as amended by subsequent Acts, or under any other Act relating to the alienation or disposal of lands of the Crown, and any person who under any such Act holds land under a lease from the Crown in perpetuity, shall be deemed to be the owner of the land in fee-simple.

s 21: Am 1980 No 196, Sch 1.

21A Company title units taken to be strata lots

(1)  This section applies to land if:

(a)  the land is owned by a company in which all the issued shares are owned by persons each of whom, because of that share ownership, has an exclusive right to occupy a part of a building on the land or one of 2 or more buildings on the land, and

(b)  the Chief Commissioner is satisfied that the whole of the land is reasonably used in connection with the occupation of the building or buildings.

(2)  For the purposes of assessing land tax in respect of land to which this section applies:

(a)  each shareholder is deemed to be the owner of that part of the building or that building that the shareholder is entitled to occupy because of that share ownership, and

(b)  each such part of the building, or each such building, is deemed to be a strata lot under the Strata Schemes (Freehold Development) Act 1973, and

(c)  the company is not to be regarded as the owner of the land.

(3)  For the purposes of the application of section 9AA to and in respect of a part of a building, or a building, deemed by this section to be a strata lot, the proportion that the unit entitlement of that lot bears to the aggregate unit entitlement is:

(a)  unless paragraph (b) applies, the proportion that the deemed owner’s shareholding in respect of the lot bears to the total issued share capital of the company, or

(b)  if the Chief Commissioner is not satisfied as to the fairness and reasonableness of the proportion obtained in accordance with paragraph (a), the proportion arrived at by the Chief Commissioner on a redetermination in accordance with subsection (4).

(4)  The Chief Commissioner’s redetermination is to be by reference to:

(a)  the proportion that the floor area of the deemed lot bears to the total floor area that is separately occupied, or capable of being used for separate occupation, in the building, or

(b)  in the case of an entitlement to occupy one of 2 or more buildings, the proportion that the floor area of the deemed lot bears to the total floor area that is separately occupied, or capable of being used for separate occupation, in all of those buildings.

(5)  This section applies to land tax payable in respect of the year commencing on 1 January 1991 and any succeeding year.

s 21A: Ins 1990 No 88, Sch 1 (5). Am 1994 No 72, Sch 2 (4); 1996 No 139, Sch 2.20 [9] (am 1997 No 55, Sch 1.18 [1]); 1997 No 37, Sch 3 [11]; 2000 No 51, Sch 3 [3]–[8].

21B Joint owners of block of flats deemed to be owners of strata lots

(1)  This section applies to land if:

(a)  the land is owned by joint owners, and

(b)  the ownership of an interest in the jointly owned land gives the owner an exclusive right to occupy part of a building on the land (whether jointly with one or more of the co-owners or not), and

(c)  part or all of the building comprises at least one flat, and

(d)  the Chief Commissioner is satisfied that the whole of the land is reasonably used in connection with the occupation of the building.

(2)  For the purposes of assessing land tax in respect of land to which this section applies:

(a)  each part of a building in which such an exclusive right of occupancy exists is deemed to be a separate parcel (the notional parcel), and

(b)  each person who has that exclusive right of occupancy is deemed to be the owner (or the persons who jointly have that exclusive right of occupancy are deemed to be joint owners) of the notional parcel, and

(c)  each such notional parcel is deemed to be a strata lot under the Strata Schemes (Freehold Development) Act 1973, and

(d)  section 27 does not apply to the joint ownership of the whole of the land but does apply to the joint ownership (if applicable) of each notional parcel.

(3)  For the purposes of the application of section 9AA to and in respect of a notional parcel that under this section is deemed to be a strata lot, the proportion that the unit entitlement of that lot bears to the aggregate unit entitlement is:

(a)  unless paragraph (b) applies, the proportion represented by the owner’s or joint owners’ interest in the land, or

(b)  if the Chief Commissioner is not satisfied as to the fairness and reasonableness of the proportion obtained in accordance with paragraph (a), the proportion arrived at by the Chief Commissioner on a redetermination in accordance with subsection (4).

(4)  The Chief Commissioner’s redetermination is to be by reference to the proportion that the floor area of the notional parcel concerned bears to the total floor area that is separately occupied, or is capable of being used for separate occupation, on the land.

s 21B: Ins 1991 No 47, Sch 1 (10). Am 1994 No 72, Sch 2 (5); 1995 No 99, Sch 2.9 [1]; 1996 No 139, Sch 2.20 [10] (am 1997 No 55, Sch 2.18 [1]); 1997 No 37, Sch 3 [12].

21C Liability of lessees of land owned by Crown or council

(1)  The Crown, a local council or a county council is not liable for land tax in respect of land it owns (except as specifically provided by Part 3).

(2)  A lessee (other than a sub-lessee) of land or part of land owned by the Crown, a local council or a county council is for land tax purposes deemed to be the owner of a parcel of land (the notional parcel) consisting of the land or part leased. The Crown, local council or county council is then not to be considered owner of the notional parcel.

(3)  If there are joint lessees, they are deemed to be joint owners of the notional parcel.

(4)  For the purposes of determining the lessee’s land tax liability when the notional parcel consists of a part of land, the land value of the notional parcel is:

(a)  unless paragraph (b) applies, the land value calculated in accordance with the following formula:

 

(b)  if the Chief Commissioner is not satisfied that the land value obtained in accordance with paragraph (a) is fair and reasonable, such proportion of the land value of the entire parcel as the Chief Commissioner considers fair and reasonable.

(5)  In this section, part of land includes a building on land and part of a building on land.

(6)  This section does not apply to the following leases:

(a)  a lease or a lease of a class prescribed as exempt from this section,

(b)  a lease to which section 21 applies,

(c)  a lease of land from the Crown entered into or renewed before 1 January 1987 the terms of which relating to rental payable have not been varied since that date,

(d)  a lease of land from a local council or a county council entered into or renewed before 1 January 1991 the terms of which relating to rental payable have not been varied since that date,

(e)  a lease of land in respect of which the Crown is liable for land tax,

(f)  a lease the term of which (including any term available under an option) is less than 12 months,

(g)  a lease in respect of which the lessee is the Crown, a local council or a county council.

(7)  This section is taken to have applied on and from 31 December 1988 to land owned by the Crown.

s 21C: Ins 1991 No 47, Sch 1 (15). Am 1992 No 84, Schs 1 (5), 2 (5); 1994 No 48, Sch 5 (6); 1995 No 98, Sch 4 [2]; 1995 No 99, Sch 2.9 [2] [3].

21D Liability of lessees of leasehold strata lots

(1)  The lessee of land that is a leasehold strata lot is taken to be the owner of the leasehold strata lot for land tax purposes. The lessor of the lot is not to be considered to be the owner of the lot (unless the lessor is the lessee for the purposes of the Strata Schemes (Leasehold Development) Act 1986).

(2)  Accordingly, the lessee is liable for any land tax payable in respect of the leasehold strata lot.

(3)  If there are joint lessees, they are deemed to be joint owners of the leasehold strata lot.

(4)  This section does not apply in respect of land to which section 21C applies (land owned by the Crown, a local council or a county council).

(5)  In this section:

leasehold strata lot means a lot within the meaning of the Strata Schemes (Leasehold Development) Act 1986.

lessee means a lessee within the meaning of the Strata Schemes (Leasehold Development) Act 1986.

lessor means a lessor within the meaning of the Strata Schemes (Leasehold Development) Act 1986.

s 21D: Ins 1999 No 52, Sch 2.1 [3].

22 Mortgagees

No deduction from the land value of any land shall be allowed in respect of any mortgage, or in respect of any unpaid purchase money; and a mortgagor or person who holds land subject to payment of any unpaid purchase money shall be assessed and liable for land tax as if he or she were the owner of an unencumbered estate.

s 22: Am 1981 No 119, Sch 1; 1985 No 147, Sch 1 (2); 1992 No 84, Sch 1 (5).

23 Mortgages

(1)  A mortgagee or other person owning any estate or interest in land by way of security for money shall not be liable to land tax in respect of that mortgage, estate or interest:

Provided that a mortgagee in possession of land, or any other person in possession of land by way of security for money shall, so long as such possession continues (though not to the exclusion of the liability of any other person) be deemed to be the owner of the land; and the mortgagor shall be deemed to be the primary taxpayer, and the mortgagee in possession to be the secondary taxpayer; and there shall be deducted from the land tax payable by the latter in respect of the land such amount (if any) as is necessary to prevent double taxation:

Provided further that the foregoing proviso shall not apply:

(a)  to any mortgagee or person in possession whose possession began before the first day of November one thousand nine hundred and fifty-six until a period of three years has elapsed since that date, or

(b)  to any mortgagee or person in possession whose possession began on or after the first day of November one thousand nine hundred and fifty-six until a period of three years after he or she has entered into possession.

(2)  For the purposes of this section a mortgagee in possession shall include a mortgagee of land who is using such land, or who is in receipt of the rents or profits of such land, or who is in receipt of the income from any business carried on on such land, or who has appointed a receiver of the rents or profits of such land.

(3)  Nothing in this section affects section 46.

s 23: Am 1983 No 171, Sch 1 (5).

24 Trustees

Any person in whom land is vested as a trustee shall be assessed and liable in respect of land tax as if he or she were beneficially entitled to the land:

Provided that where he or she is the owner of different lands in severalty, in trust for different persons who are not for any reason liable to be jointly assessed, the land tax so payable by the person shall be separately assessed in respect of each of those lands:

Provided also that when a trustee is also the beneficial owner of other land, he or she shall be separately assessed for that land, and for the land of which he or she is a trustee, unless for any reason he or she is liable to be jointly assessed independently of this section.

25 Equitable owner

Subject to this Act, the owner of any equitable estate or interest in any land shall be assessed and liable in respect of land tax as if he or she were the legal owner of the estate or interest; and the owner of the legal estate shall be deemed to be the primary taxpayer, and the owner of the equitable estate shall be deemed to be the secondary taxpayer; and there shall be deducted from the land tax payable by the latter in respect of the land such amount (if any) as is necessary to prevent double taxation.

26 Purchaser and vendor

(1)  Where, before or after the commencement of this Act, an agreement has been made for the sale of land, whether the agreement has been completed by conveyance or not, and an instrument that embodies all or any of the terms of the agreement, or a conveyance that gives effect to the agreement, has been duly stamped under the Stamp Duties Act 1920 in respect of the sale:

(a)  the purchaser shall be deemed to be the owner of the land (though not to the exclusion of the liability of any other person) so soon as the purchaser has obtained possession of the land,

(b)  the vendor shall be deemed to remain the owner of the land (though not to the exclusion of the liability of any other person) until possession of the land has been delivered to the purchaser and at least fifteen per centum of the purchase money has been paid,

(c)  the vendor shall be deemed to be the owner of the land (though not to the exclusion of the liability of any other person) where:

(i)  under the provisions of the agreement for sale the vendor resumes possession of the land without rescinding the agreement or appoints a receiver of the rents and profits of the land, or

(ii)  under the provisions of the agreement for sale or under any arrangement with the purchaser the vendor secures the use of the land, or receives the rents and profits of the land or the income from any business carried on on the land:

Provided that the Chief Commissioner may exempt the vendor from the operation of paragraph (b) if the Chief Commissioner is satisfied that the agreement for sale was made in good faith, and not for the purpose of evading the payment of land tax, that the purchaser has obtained possession of the land and still remains in possession thereof, and that the agreement for sale is still in force; as to all which matters the decision of the Chief Commissioner shall be final and conclusive.

(2)  In estimating the amount of purchase money which has been paid, all money:

(a)  owing by the purchaser to the vendor, and secured by any mortgage on the land, or

(b)  lent to the purchaser by the vendor, or

(c)  owing by the purchaser to any other person, and directly or indirectly guaranteed by the vendor,

shall be deemed to be unpaid purchase money.

(2A)  The Chief Commissioner may exempt the vendor from the operation of subsection (1) (c) if:

(a)  the agreement for sale has been completed by conveyance and the conveyance has been registered or otherwise recorded by the Registrar-General, and

(b)  the vendor does not have, under the agreement or otherwise, an option to re-purchase the land concerned or an entitlement to share in profits on a future sale of the land and does not retain a similar interest in, or entitlement in relation to, the land, and

(c)  the Chief Commissioner is satisfied that the agreement for sale was made in good faith and not for the purpose of evading the payment of land tax.

(2B)  An exemption granted under subsection (2A) is of no effect in respect of a particular tax year if, at any time during that year, the vendor obtains an option, entitlement or interest referred to in subsection (2A) (b).

(3)  When by virtue of this section the purchaser and vendor of any land are both liable for land tax in respect thereof, the purchaser shall be deemed to be the primary taxpayer and the vendor to be the secondary taxpayer; and there shall be deducted from the land tax payable by the vendor in respect of the land such amount (if any) as is necessary to prevent double taxation:

Provided that where by operation of paragraph (c) of subsection (1) the vendor is deemed to be the owner of the land, the vendor shall, if the purchaser makes default in payment of land tax in respect of the land, be responsible for the payment of the land tax due by the purchaser, which payment shall be deemed to be made by the vendor on behalf of the purchaser.

s 26: Am 1983 No 14, Sch 1 (5); 1984 No 129, Sch 1 (2); 1994 No 48, Sch 5 (9).

27 Joint owners

(1)  Joint owners of land shall be assessed and liable for land tax in accordance with the provisions of this section.

(2)  Joint owners (except those of them whose interests are exempt from taxation under section 10) shall be jointly assessed and liable in respect of the land (exclusive of the interest of any joint owner so exempt) as if it were owned by one person, without regard to their respective interests therein and without taking into account any land owned by any one of them in severalty or as joint owner with any other person.

(2A)  Where a joint owner of land is:

(a)  a trustee under a special trust to which the land is subject, or

(b)  a company classified under section 29 as a non-concessional company,

no regard shall be had to the existence of the special trust or classification, as the case may be, in relation to the joint assessment and liability of the joint owners of the land as referred to in subsection (2), but regard shall be had to the existence of the special trust or classification, as the case may be, in relation to the separate assessment and liability of the joint owners as referred to in subsection (3).

(3)  Subject to subsection (3A), each joint owner of land shall in addition be separately assessed and liable in respect of:

(a)  his or her individual interest in the land (as if he or she were the owner of a part of the land in proportion to his or her interest), together with

(b)  any other land owned by him or her in severalty, and

(c)  his or her individual interests in any other land.

(3A)  A person who is a joint owner of land is not to be separately assessed and liable in respect of the person’s interest in the land if:

(a)  because of an agreement between all the owners of the land the person’s individual interest confers on him or her an exclusive right of occupancy (whether jointly with one or more of the co-owners or not) of a flat situated on the jointly owned land, and

(b)  a reduction in respect of the flat is required under section 9C.

(4)  The joint owners in respect of their joint assessment shall be deemed to be the primary taxpayer, and each joint owner in respect of his or her separate assessment to be a secondary taxpayer; and from the land tax payable in respect of his or her interest in the land by each joint owner under subsection (3) there shall be deducted such amount (if any) as is necessary to prevent double taxation.

s 27: Am 1960 No 35, sec 2 (1) (b); 1963 No 40, sec 2 (c); 1969 No 69, sec 2 (d); 1973 No 70, sec 6; 1975 No 97, Sch 4; 1981 No 119, Sch 1; 1983 No 171, Sch 1 (6); 1984 No 129, Sch 1 (3); 1985 No 147, Sch 1 (2); 1985 No 215, Sch 1 (7); 1990 No 35, Sch 1 (5); 1991 No 47, Sch 1 (11).

28 Separate parcels used for partnership purposes

Where separate parcels of land are owned by different persons, and such parcels are occupied, controlled, or used by a partnership whereof all such persons are members either by themselves or together with other persons, such persons shall, for the purposes of this Act, be deemed to be joint owners of such parcels, and to hold such parcels in such shares or proportions as the Chief Commissioner may determine.

s 28: Am 1960 No 35, sec 2 (1) (c); 1983 No 14, Sch 1 (5).

29 Related companies

(1)  For the purposes of this section, 2 companies are related to each other:

(a)  if one of those companies:

(i)  controls the composition of the board of directors of the other company,

(ii)  is in a position to cast, or control the casting of, more than one-half of the maximum number of votes that might be cast at a general meeting of the other company, or

(iii)  holds more than one-half of the issued share capital of the other company,

(b)  if the same person has, or the same persons have together, a controlling interest under any of the following subparagraphs in one of the companies and a controlling interest under the same or another of the following subparagraphs in the other company:

(i)  a person has, or persons have together, a controlling interest in a company if that person or those persons acting together can control the composition of the board of directors of the company,

(ii)  a person has, or persons have together, a controlling interest in a company if that person is or those persons acting together are in a position to cast or control the casting of more than half of the maximum number of votes that might be cast at a general meeting of the company,

(iii)  a person has, or persons have together, a controlling interest in a company if that person holds or those persons acting together hold more than half of the issued share capital of the company,

(c)  if:

(i)  more than one-half of the issued share capital of one of those companies (in this paragraph referred to as the first company) is held by the other company (in this paragraph referred to as the second company) together with the shareholders of the second company, and

(ii)  the proportion of the issued share capital of the second company held by shareholders of the first company is more than the difference between one-half and the proportion of the issued share capital of the first company held by the second company, or

(d)  if one of those companies is related to a company to which the other of those companies is related (including a company which is related to the other of those companies by reason of another application or other applications of this paragraph).

(2)  For the purposes of subsection (1):

(a)  companies may be related to each other notwithstanding that those companies do not own land in New South Wales,

(a1)  in subsection (1) (b), person includes company,

(b)  a reference in that subsection to the issued share capital of a company does not include a reference to any part of that issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital,

(c)  subject to paragraphs (d) and (e), any shares held or power exercisable by any person or company as a trustee or nominee for any other person or company shall be treated as also held or exercisable by that other person or company,

(d)  any shares held or power exercisable by a person or company by virtue of the provisions of any debentures of another company, or of a trust deed for securing any issue of any such debentures, shall be disregarded,

(e)  any shares held or power exercisable by, or by a nominee for, any person or company (not being held or exercisable as mentioned in paragraph (d)) shall be treated as not held or exercisable by that person or company if the ordinary business of that person or company includes the lending of money and the shares are held or the power is exercisable only by way of security given for the purposes of a transaction entered into in the ordinary course of business in connection with the lending of money, not being a transaction entered into with a person associated with that person or company within the meaning of Division 2 of Part 1.2 of the Corporations Act 2001 of the Commonwealth, or

(f)  without limiting by implication the circumstances in which the composition of a company’s board of directors is to be taken to be controlled by a person or another company, the composition of a company’s board of directors shall be taken to be controlled by a person or another company if that person or other company, by the exercise of some power exercisable whether with or without the consent or concurrence of any other person, can appoint or remove all or a majority of the directors.

(3)  The Chief Commissioner, in assessing the land tax payable by companies that are related to each other and that own land in New South Wales:

(a)  may assess:

(i)  all those companies separately,

(ii)  all those companies jointly, or

(iii)  any 2 or more of those companies jointly and the remainder separately, and

(b)  shall classify:

(i)  1 of those companies, or, where a joint assessment is made, the companies jointly assessed, as a concessional company, and

(ii)  the remainder (if any) as non-concessional companies,

and the companies shall be liable accordingly.

(4)  Where 2 or more companies are jointly assessed under subsection (3), those companies shall, for the purposes of that assessment, be deemed to be a single company.

(5)  Where 2 or more companies related to each other are liable for land tax (whether assessed separately or jointly), each company is liable jointly and severally to pay that tax.

(6)  Section 45 of the Taxation Administration Act 1996 applies to an amount payable under subsection (5).

s 29: Am 1983 No 14, Sch 1 (5). Subst 1983 No 171, Sch 1 (7). Am 1990 No 35, Sch 1 (4); 2000 No 105, Sch 3 [5] [6]; 2001 No 34, Sch 2.29.

30 Person entitled to income of business

Any person who is entitled to receive the income of a business carried on on land by some other person in whom the legal estate in such land is vested shall be deemed (though not to the exclusion of the liability of any other person) to be the owner of the land; and the owner of the legal estate shall be deemed to be the primary taxpayer, and such first-mentioned person shall be deemed to be the secondary taxpayer; and there shall be deducted from the land tax payable by the latter in respect of the land such amount (if any) as is necessary to prevent double taxation.

31 No disposition to be effective while possession retained

Notwithstanding any conveyance, transfer, declaration of trust, settlement, or other disposition of land, whether made before or after the commencement of this Act, the person making the same shall, so long as the person remains or is in possession or in receipt of the rents and profits of the land, whether on the person’s own account or on account of any other person, be deemed (though not to the exclusion of the liability of any other person) to be the owner of the land.

32 Occupation, control or use of land

(1)  Where land is occupied, controlled, or used by a person who is not the owner and there is no lease or agreement for a lease for a definite term in respect of the occupancy, control, or user of the land, the person occupying, controlling, or using the land shall be deemed (though not to the exclusion of the liability of any other person) to be the owner of the land:

Provided that the Chief Commissioner may exempt the person occupying, controlling, or using the land from the provisions of this section, if the Chief Commissioner is satisfied that the arrangement is of a temporary nature, as to which matter the decision of the Chief Commissioner shall be final and conclusive.

(2)  The owner of the land shall be deemed to be the primary taxpayer and the person so occupying, controlling, or using such land to be the secondary taxpayer; and from the land tax payable by the latter there shall be deducted such amount (if any) as is necessary to prevent double taxation.

s 32: Am 1983 No 14, Sch 1 (5).

33 Deductions to prevent double taxation

Where under this Act:

(a)  any person is deemed to be the secondary taxpayer in respect of any land or interest, and

(b)  it is provided that there shall be deducted from the land tax payable by the secondary taxpayer, in respect of the land or interest, such amount (if any) as is necessary to prevent double taxation,

the amount of the deduction (if any) shall be the lesser of the following amounts:

(i)  the amount of land tax payable in respect of the land or interest by the secondary taxpayer, or

(ii)  the amount of land tax (if any) payable in respect of the land or interest by the primary taxpayer aggregated with the amount of land tax (if any) payable in respect of the land or interest by a precedent secondary taxpayer (if any):

Provided that the secondary taxpayer shall be assessed and liable in respect of the land or interest, notwithstanding that the primary taxpayer is exempt from taxation in respect of the land or interest, or that there is no primary taxpayer in respect of the land or interest.

34 Meaning of land tax payable in respect of certain land

(1)  Where in this Act reference is made to the land tax payable by a person in respect of any land or interest, the reference is to so much of the whole land tax payable by the person as bears to the whole land tax payable by the person the proportion which the land value of the land or interest referred to bears to the land value of all the land (including any interest in land) owned by the person.

(2)    (Repealed)

s 34: Am 1981 No 119, Sch 1; 1985 No 147, Sch 1 (2); 1985 No 215, Sch 1 (8); 1990 No 35, Sch 1 (6); 1992 No 84, Sch 1 (5).

Part 5

35–38D   (Repealed)

pt 5: Rep 2000 No 106, Sch 3 [7].

s 35: Am 1981 No 119, Sch 1; 1983 No 14, Sch 1 (5); 1985 No 147, Sch 1 (4). Subst 1988 No 128, Sch 1 (9). Am 1989 No 222, Sch 2 (1); 1992 No 84, Schs 1 (9), 2 (6); 1996 No 98, Sch 1.3 [11]–[13]. Rep 2000 No 106, Sch 3 [7].

s 36: Subst 1988 No 128, Sch 1 (9). Rep 1992 No 84, Sch 1 (10).

s 37: Am 1983 No 14, Sch 1 (5). Subst 1988 No 128, Sch 1 (9). Am 1992 No 84, Sch 1 (11). Rep 1996 No 98, Sch 1.3 [14].

s 38: Am 1987 No 48, Sch 32. Subst 1988 No 128, Sch 1 (9). Rep 1992 No 84, Sch 1 (12).

s 38A: Ins 1988 No 128, Sch 1 (9). Subst 1989 No 222, Sch 2 (2). Am 1992 No 84, Sch 1 (13). Subst 1996 No 98, Sch 1.3 [15]. Rep 2000 No 106, Sch 3 [7].

s 38B: Ins 1988 No 128, Sch 1 (9). Subst 1989 No 222, Sch 2 (2). Am 1992 No 84, Sch 1 (14). Rep 1996 No 98, Sch 1.3 [16].

s 38BA: Ins 1989 No 222, Sch 2 (2). Am 1992 No 84, Sch 1 (15). Rep 1996 No 98, Sch 1.3 [16].

s 38BB: Ins 1989 No 222, Sch 2 (2). Am 1992 No 84, Sch 1 (16). Rep 1996 No 98, Sch 1.3 [16].

s 38BC: Ins 1989 No 222, Sch 2 (2). Am 1992 No 84, Sch 1 (17). Rep 1996 No 98, Sch 1.3 [16].

ss 38BD–38BF: Ins 1989 No 222, Sch 2 (2). Rep 1996 No 98, Sch 1.3 [16].

s 38C: Ins 1988 No 128, Sch 1 (9). Rep 1996 No 98, Sch 1.3 [16].

s 38D: Ins 1988 No 128, Sch 1 (9). Rep 1996 No 98, Sch 1.3 [16].

Part 6 Collection and recovery of land tax

39 Date for payment of land tax

(1)  Land tax payable by a taxpayer is due and payable as required by the relevant notice of assessment served on the taxpayer concerned.

(2)    (Repealed)

(3)  No payment of land tax is required earlier than 30 days after service of the notice of assessment on the taxpayer.

(4), (5)    (Repealed)

s 39: Subst 1990 No 88, Sch 1 (12). Am 1996 No 98, Sch 1.3 [17].

40 Discount for early payment

(1)  A person who pays land tax within 30 days after service of the notice of assessment of the land tax is entitled to a discount of the amount of land tax specified in the assessment excluding overdue land tax if:

(a)  the whole of the amount specified in the assessment is paid, and

(b)  no other liability in relation to land tax, interest or penalty tax is, at the time of payment, payable by the person to the Chief Commissioner (including a liability subject to objection, appeal or other dispute) or any such liability is paid in full when making the payment.

(2)  The discount is to be at the rate determined by order of the Treasurer published in the Gazette. A rate may be determined in respect of assessments generally or in relation to assessments issued in a specified land tax year.

(3)  This section has effect despite any other provision of this Act or the Land Tax Act 1956.

s 40: Am 1983 No 14, Sch 1 (5). Subst 1983 No 171, Sch 1 (8). Am 1990 No 88, Sch 1 (13); 1992 No 84, Sch 1 (18). Rep 1996 No 98, Sch 1.3 [18]. Ins 1999 No 10, Sch 4 [1].

41–44 (Repealed)

s 41: Am 1983 No 14, Sch 1 (5); 1983 No 171, Sch 1 (9). Subst 1990 No 88, Sch 1 (14). Rep 1996 No 98, Sch 1.3 [18].

ss 42–44: Am 1983 No 14, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [18].

45 Statutes of limitations

No statute of limitations at any time in force shall bar or affect any action or remedy for recovery of land tax.

46 Remedy against other persons where taxpayer makes default

(1)  Where a taxpayer makes a default in the payment of land tax then, without in any way releasing him or her from his or her liability, the following provisions shall apply as long as the default continues:

(a)  If the land tax is payable in respect of land subject to any mortgage or lease or occupied by any person, then the mortgagee, lessee or occupier shall, upon being served with a notice by the Chief Commissioner requiring payment thereof, be responsible for the payment of the land tax, and it may be recovered from him or her as if he or she were the defaulting taxpayer.

(b)  All payments made under this section by a mortgagee, lessee or occupier shall be deemed to be made on behalf of the defaulting taxpayer:

Provided that the responsibility of the lessee or occupier under this section shall only be to the extent of any rent or payments due by him or her to the taxpayer at the time of the demand for payment made by the Chief Commissioner, or from time to time accruing due thereafter.

(2)  Any payment to the Chief Commissioner under this section shall be a valid discharge to the lessee or occupier for such rent or payment due by the lessee or occupier to the taxpayer as against all other persons whomsoever.

(3)  A reference in this section to a mortgagee includes a reference to a person owning an estate or interest in land by way of security for money.

(4)  The Chief Commissioner may release a mortgagee, lessee or occupier from a liability under this section on payment of an amount that the Chief Commissioner estimates to be not less than the proportion of the land tax payable by the defaulting taxpayer in respect of the land mortgaged, leased or occupied.

s 46: Am 1983 No 14, Sch 1 (5); 1983 No 171, Sch 1 (10); 1988 No 128, Sch 1 (10).

46A (Repealed)

s 46A: Ins 1990 No 35, Sch 1 (7). Am 1995 No 99, Sch 2.9 [4]. Rep 1996 No 98, Sch 1.3 [18].

47 Land tax to be first charge on land

(1)  Land tax shall until payment be a first charge upon the land taxed in priority over all other encumbrances whatever, and where the land taxed comprises two or more parcels the land tax payable on the land taxed shall be a first charge on each and every such parcel and notwithstanding any disposition of the land or any part thereof the land or part shall continue to be liable in the hands of any purchaser or holder for the payment of the land tax so long as it remains unpaid.

(1A)  The Chief Commissioner:

(a)  on the application of any person, and

(b)  on payment of a fee determined by the Chief Commissioner (or the making of arrangements satisfactory to the Chief Commissioner for its payment),

is to issue a certificate showing if there is any land tax charged on land the subject of the application.

The Chief Commissioner may include in the certificate the land value of the land in relation to a specified land tax year.

(1AA)  In relation to an application for a certificate:

(a)  the application is to be in a form approved by the Chief Commissioner, and

(b)  a separate application must be made for each parcel of land that is separately valued under the Valuation of Land Act 1916 or otherwise separately valued for the purposes of land tax assessment, and

(c)  the Chief Commissioner may require further information or evidence with respect to the land concerned, or to any other land owned by the owner of that land, before issuing the certificate.

(1B)  The application fee for a certificate is to be paid:

(a)  by affixing a New South Wales duty stamp to the value of the application fee to the application form and by cancelling the stamp by writing in ink across it the name or initials of the person cancelling it and the date, or

(b)  in such manner as may be approved by the Chief Commissioner.

(1BA)  The Chief Commissioner may determine:

(a)  the means by which a certificate may be issued, including electronically, and

(b)  the form of a certificate, including as a document or in an electronic form or a form that may be produced from an electronic message.

(1C)  A certificate issued by the Chief Commissioner under this section is conclusive evidence of the matter certified against the Chief Commissioner and in favour of any person (whether or not the person is the person to whom the certificate was issued) except a person who:

(a)  had notice, when the certificate was issued, of land tax charged on the land that the certificate failed to disclose, or

(b)  was an owner of the land (other than a genuine purchaser for value who has not obtained possession of the land) when the certificate was issued.

(1D)  If a certificate issued under this section (the original certificate) is conclusive evidence in favour of a person, the person is entitled, on application and payment of the prescribed fee under subsection (1A), to be issued with a certificate that is to the same effect as the original certificate and such a certificate is to be regarded as having been issued when the original certificate was issued.

(1E)–(1G)    (Repealed)

(2)  The Chief Commissioner may release the land taxed, or any part of the land, from the charge imposed by subsection (1):

(a)  on payment of an amount the Chief Commissioner estimates to be not less than the proportion of land tax referable to the land or part, or

(b)  without payment of land tax if:

(i)  the Chief Commissioner is satisfied that there is no significant risk that the land tax for which the charge is imposed will not be paid, and

(ii)  a person who is or may become liable to pay the land tax is not in arrears in payment of any land tax.

(2A)  Where any land sold under section 713 of the Local Government Act 1993 is liable to a charge under subsection (1), the Chief Commissioner may release the land from the charge on payment of that part of the proceeds of sale under sections 718 and 719 of that Act that is available to pay the land tax in respect of the land.

(3)  The provisions of this section shall have effect notwithstanding anything contained in section 34 or any other provision of this Act.

(4)  This section does not apply to land to which section 21C applies.

s 47: Am 1963 No 40, sec 2 (d); 1968 No 62, sec 2 (d); 1983 No 14, Sch 1 (5); 1983 No 171, Sch 1 (11); 1986 No 186, Sch 2 (2); 1988 No 128, Sch 1 (11); 1989 No 222, Sch 3; 1990 No 35, Sch 1 (8); 1991 No 47, Sch 1 (16); 1994 No 48, Sch 5 (10); 1995 No 11, Sch 1.71 [3] [4]; 1997 No 41, Sch 2 [4]–[6]; 1999 No 10, Sch 4 [2]–[4]; 2000 No 51, Sch 3 [9].

48, 49 (Repealed)

s 48: Rep 1996 No 98, Sch 1.3 [18].

s 49: Am 1985 No 147, Sch 1 (5); 1992 No 84, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [18].

50 Waiver, deferral and writing off of land tax in hardship cases

The Hardship Review Board constituted under Division 5 of Part 10 of the Taxation Administration Act 1996 may exercise its functions in relation to land tax payable under this Act.

s 50: Am 1975 No 97, Sch 5; 1983 No 14, Sch 1 (5); 1983 No 171, Sch 1 (12); 1992 No 84, Sch 2 (7); 1993 No 46, Sch 1; 1997 No 147, Sch 2.14. Subst 2000 No 105, Sch 3 [7].

50A (Repealed)

s 50A: Ins 1991 No 47, Sch 1 (7). Rep 1996 No 98, Sch 1.3 [18].

51 Definition of land tax for certain purposes of this Part

For the purposes of sections 45, 46, 47 and 50, land tax includes interest and penalty tax imposed under section 72, or under section 47 or Part 5 of the Taxation Administration Act 1996.

s 51: Am 1983 No 14, Sch 1 (5). Subst 2000 No 105, Sch 3 [7].

52, 53 (Repealed)

s 52: Am 1983 No 14, Sch 1 (5); 1988 No 128, Sch 1 (12). Rep 2000 No 105, Sch 3 [7].

s 53: Am 1996 No 98, Sch 1.3 [19]; 1999 No 10, Sch 4 [5]. Rep 2000 No 105, Sch 3 [7].

Part 7 Valuation of land

pt 7: Ins 1992 No 84, Sch 1 (19) (For information concerning this Part before the commencement of the Land Tax Management (Amendment) Act 1992, see the Historical table of amendments in the Legislative history).

Divisions 1–2A

54–62HE   (Repealed)

pt 7, div 1: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 54: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 55: Ins 1992 No 84, Sch 1 (19). Am 1994 No 48, Sch 5 (11). Rep 2000 No 106, Sch 3 [8].

s 56: Ins 1992 No 84, Sch 1 (19). Am 1996 No 67, Sch 2 [1] [2]. Rep 2000 No 106, Sch 3 [8].

s 57: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 58: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 59: Ins 1992 No 84, Sch 1 (19). Rep 1998 No 138, Sch 2.5 [1].

s 60: Ins 1992 No 84, Sch 1 (19). Am 1998 No 138, Sch 2.5 [2]. Rep 2000 No 106, Sch 3 [8].

s 61: Ins 1992 No 84, Sch 1 (19). Am 1994 No 48, Sch 5 (1). Rep 2000 No 106, Sch 3 [8].

s 61A: Ins 1994 No 48, Sch 5 (2). Rep 2000 No 106, Sch 3 [8].

s 62: Ins 1992 No 84, Sch 1 (19). Subst 1994 No 48, Sch 5 (3). Rep 2000 No 106, Sch 3 [8].

s 62A: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

pt 7, div 2: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

ss 62B–62G: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 62H: Ins 1992 No 84, Sch 1 (19). Am 1996 No 98, Sch 1.3 [20]. Rep 2000 No 106, Sch 3 [8].

pt 7, div 2A: Ins 1994 No 48, Sch 5 (4). Rep 2000 No 106, Sch 3 [8].

ss 62HA–62HD: Ins 1994 No 48, Sch 5 (4). Rep 2000 No 106, Sch 3 [8].

s 62HE: Ins 1994 No 48, Sch 5 (4). Am 1996 No 98, Sch 1.3 [21]. Rep 2000 No 106, Sch 3 [8].

Division 3 Unutilised value allowances

pt 7, div 3: Ins 1992 No 84, Sch 1 (19).

62I Purpose and interpretation of Division

(1)  This Division applies for the purposes of section 9A (Postponement of part of land tax attributable to unutilised value).

(2)  Expressions used in this Division have the same meanings as in Division 2 of Part 8 of Chapter 15 of the Local Government Act 1993, except to the extent that such a meaning would be inconsistent with the meaning given by this Act.

s 62I: Ins 1992 No 84, Sch 1 (19). Am 1995 No 11, Sch 1.71 [5].

62J Land that is eligible to have unutilised value ascertained

(1)  Land is eligible to have an unutilised value allowance ascertained for its land value as at 1 July in a year if it satisfies the description in either of the following paragraphs as at midnight on 30 June in that year:

(a)  a parcel of land used or occupied solely as the site of a single dwelling-house and which is, under an environmental planning instrument, zoned or otherwise designated for use for the purposes of industry, commerce or the erection of residential flat buildings,

(b)  a parcel of land (which may comprise one or more lots or portions in a current plan within the meaning of the Conveyancing Act 1919) used or occupied solely as the site of a single dwelling-house and which is, under an environmental planning instrument, zoned or otherwise designated, so as to permit its subdivision for residential purposes,

(c)  a parcel of rural land (which may comprise one or more lots or portions in a current plan within the meaning of the Conveyancing Act 1919) which is zoned or otherwise designated under an environmental planning instrument so as to permit its use otherwise than as rural land, or its subdivision into two or more lots or portions, one or more of which has an area of less than 40 hectares.

(2)    (Repealed)

s 62J: Ins 1992 No 84, Sch 1 (19). Am 1994 No 48, Sch 5 (12); 1997 No 152, Sch 4.20 [1]; 2000 No 106, Sch 3 [9] [10].

62K Unutilised value allowance to be ascertained on application of owner

(1)  The owner of land may apply to the Chief Commissioner for an unutilised value allowance to be ascertained for the land value of the land. The application must be in the form required by the Chief Commissioner and be accompanied by such supporting information as the Chief Commissioner may request.

(1A)  If satisfied that the land to which such an application relates satisfies the description in any of the paragraphs of section 62J (1), the Chief Commissioner must refer the application to the Valuer-General for determination of an unutilised value allowance.

(2)  The Valuer-General must then ascertain the allowance if the land is eligible to have that allowance ascertained.

(3)  An allowance ascertained by the Valuer-General under this Division is to be entered by the Valuer-General in the Register in respect of the land value to which it relates and is to be shown in any assessment to which it is applicable.

s 62K: Ins 1992 No 84, Sch 1 (19). Am 2000 No 106, Sch 3 [11] [12].

62L How unutilised value allowance is ascertained

(1)  The unutilised value allowance for a land value is the amount calculated by deducting from the land value of the land the value that the land would have if it could be used only as the site of a single dwelling-house.

(2)  However, no account is to be taken of any portion of the land which is in excess of that which is reasonably necessary to be occupied or used in conjunction with the single dwelling-house.

s 62L: Ins 1992 No 84, Sch 1 (19).

62M Unutilised value allowance to be reascertained in certain cases

If the land value of land in respect of which an unutilised value allowance was ascertained is altered (whether as the result of being reascertained or on objection or appeal or for the correction of a clerical error or misdescription), the Valuer-General must reascertain an unutilised value allowance for that land value.

s 62M: Ins 1992 No 84, Sch 1 (19). Am 2000 No 106, Sch 3 [13].

62N Unutilised value allowance can be objected to

(1)  An objection under Part 3 of the Valuation of Land Act 1916 may be made to an allowance ascertained under this Division as if it were a land value.

(2)  The right to object in respect of the land value of land includes the right to object on the ground that an allowance under this Division has not been ascertained for that land value.

s 62N: Ins 1992 No 84, Sch 1 (19). Am 1996 No 98, Sch 1.3 [22]; 2000 No 106, Sch 3 [14].

Division 4

62O–62T   (Repealed)

pt 7, div 4: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

ss 62O–62Q: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 62R: Ins 1992 No 84, Sch 1 (19). Am 1996 No 98, Sch 1.3 [23]. Rep 2000 No 106, Sch 3 [8].

s 62S: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

s 62T: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [8].

Division 4A Tax threshold

pt 7, div 4A (ss 62TA–62TC): Ins 1998 No 81, Sch 3.

62TA Determination of change in NSW property values

(1)  During the month of September in each year, the Valuer-General is to determine the percentage by which average land values of land within residential, commercial, business and industrial zones in New South Wales have changed between 1 July 1997 and 1 July last preceding the making of the determination.

(2)  For the purposes of this section, land is within a residential, commercial, business or industrial zone if it is zoned or otherwise designated for use under an environmental planning instrument (within the meaning of the Environmental Planning and Assessment Act 1979) for, or principally for, residential, commercial, business or industrial purposes, or for some or all of those purposes.

(3)  On or before 15 October in each year, the Valuer-General is to publish the determination made under subsection (1) in the Gazette.

pt 7, div 4A (ss 62TA–62TC): Ins 1998 No 81, Sch 3.

62TB Tax threshold

(1)  The tax threshold for the 1998 land tax year is $160,000.

(2)  The tax threshold for a land tax year subsequent to the 1998 land tax year is to be determined in accordance with the following formula, subject to subsection (3):

 

(3)  The tax threshold for a succeeding land tax year is to remain the same as for the previous land tax year if the tax threshold determined in accordance with the formula in subsection (2) for the succeeding land tax year is equal to or less than the tax threshold for the previous year.

(4)  A tax threshold determined in accordance with this section is to be rounded off to the nearest $1,000.

(5)  On or before 15 October in each year, the Valuer-General is to publish the tax threshold applicable to the following land tax year in the Gazette.

pt 7, div 4A (ss 62TA–62TC): Ins 1998 No 81, Sch 3.

62TC Definition

In this Division, land value means:

(a)  in the case of land other than a stratum, the land value of the land as determined in accordance with the Valuation of Land Act 1916, and

(b)  in the case of a stratum, the land value of the stratum as determined in accordance with the Valuation of Land Act 1916.

pt 7, div 4A (ss 62TA–62TC): Ins 1998 No 81, Sch 3.

Division 5 Miscellaneous

pt 7, div 5: Ins 1992 No 84, Sch 1 (19).

62U–62X (Repealed)

s 62U: Ins 1992 No 84, Sch 1 (19). Am 1999 No 10, Sch 4 [6]. Rep 2000 No 106, Sch 3 [15].

s 62V: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [15].

s 62VA: Ins 1999 No 10, Sch 4 [7]. Rep 2000 No 106, Sch 3 [15].

s 62W: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [15].

s 62X: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [15].

62Y Powers of entry and investigation

A Judge or assessor of the Land and Environment Court is an authorised officer (within the meaning of the Taxation Administration Act 1996) for the purposes of this Act.

s 62Y: Ins 1992 No 84, Sch 1 (19). Subst 1996 No 98, Sch 1.3 [24].

62Z, 62ZA (Repealed)

s 62Z: Ins 1992 No 84, Sch 1 (19). Rep 1996 No 98, Sch 1.3 [25].

s 62ZA: Ins 1992 No 84, Sch 1 (19). Rep 2000 No 106, Sch 3 [15].

Part 8 Miscellaneous

63 (Repealed)

s 63: Am 1983 No 14, Sch 1 (5); 1992 No 112, Sch 1. Rep 1996 No 98, Sch 1.3 [26].

63A Powers of company in relation to residential unit

(1)  Where, in relation to a parcel of land owned by a company, the land tax that would otherwise be payable is reduced by reason that a building erected on the parcel includes a residential unit occupied by an owner of shares in the company, any requirement by the company that the owner of the shares contribute, directly or indirectly, towards the amount required for payment of that land tax, as so reduced, is void.

(2)  Subsection (1) has effect in relation to a company notwithstanding anything in the memorandum or articles of association of the company.

s 63A: Ins 1984 No 129, Sch 1 (5).

63B Application of Act to persons or bodies having Crown immunity

(1)  The Governor may, by order published in the Gazette, apply the whole or any specified provisions of this Act to any specified person or body (whether statutory or otherwise) that has Crown immunity.

(2)  While any such order is in force, the specified person or body is subject to the requirements of this Act accordingly.

Editorial note—

For orders under this section see Gazettes No 49 of 19.4.1996, p 1830, No 31 of 27.3.1997, p 1717 and No 76 of 2.7.1999, p 4643.

s 63B: Ins 1995 No 98, Sch 4 [3].

64 Agents and trustees

With respect to every agent, and with respect also to every trustee, the following provisions shall apply:

(a)  He or she shall be answerable as taxpayer for the doing of all such things as are required to be done by virtue of this Act in respect of the land controlled or held by him or her in his or her representative capacity and the payment of land tax thereon.

(b)  He or she shall in respect of such land make the returns and be assessed thereon, but in his or her representative capacity only, and each return and assessment shall, except as otherwise provided by this Act, be separate and distinct from any other.

(c)  If he or she is an executor or administrator, the returns shall be the same as far as practicable as the deceased person, if living, would have been liable to make.

(d)  Where as agent or trustee he or she pays land tax, he or she is hereby authorised to recover the amount so paid from the person on whose behalf he or she paid it, or to deduct it from any money in his or her hands belonging to that person.

(e)  He or she is hereby authorised and required to retain from time to time out of any money which comes to him or her in his or her representative capacity so much as is sufficient to pay the land tax which is or will become due in respect of the land.

(f)  He or she is hereby made personally liable for the land tax payable in respect of the land if, while the land tax remains unpaid, he or she alienates, charges, or disposes of any real or personal property which is controlled or held by him or her in his or her representative capacity but he or she shall not be otherwise personally liable for the land tax.

(g)  If he or she is a trustee he or she may raise whatever moneys are necessary in order to pay the land tax by mortgage or charge with or without power of sale of any real or personal property held by him or her as such trustee, and may apply the money so raised or any other moneys in his or her possession as such trustee in paying the land tax.

(h)  He or she is hereby indemnified for all payments which he or she makes in pursuance of this Act, or by requirement of the Chief Commissioner.

(i)  For the purpose of ensuring the payment of land tax, the Chief Commissioner shall have the same remedies against all land or other property of any kind vested in or under the control or management or in the possession of any agent or trustee, as he or she would have against the land or other property of any other taxpayer in respect of land tax, and in as full and ample a manner.

s 64: Am 1983 No 14, Sch 1 (5).

65 (Repealed)

s 65: Am 1983 No 14, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [26].

65A Alteration of strata unit entitlements

(1)  If the Chief Commissioner is of the opinion that the proportional unit entitlement of a lot the subject of a strata scheme is unfair or unreasonable, the Chief Commissioner may alter that entitlement as the Chief Commissioner thinks necessary to ensure that it is fair and reasonable.

(2)  The proportional unit entitlement of a lot is the proportion that the unit entitlement of the lot bears to the aggregate unit entitlement of all the lots that are the subject of the scheme.

(3)  The Chief Commissioner alters a proportional unit entitlement by giving written notice of the alteration to the owner of the lot concerned, and the alteration takes effect when that notice is given. Such a notice may be given as part of a notice of assessment.

(4)  The alteration may be made by altering the unit entitlement of the lot or the aggregate unit entitlement of all the lots that are the subject of the scheme, or by altering both those entitlements.

(5)  If the proportional unit entitlement of a lot is altered under this section, the Chief Commissioner may for the purpose of levying land tax apply that altered entitlement:

(a)  in respect of the tax year in which the alteration is made (and any subsequent year to which it is applicable), and

(b)  in respect of any tax year before the tax year in which the alteration is made (but not before the 1989 tax year).

(6)  For that purpose, the Chief Commissioner may make an assessment, reassessment or compromise assessment of land tax in accordance with Part 3 of the Taxation Administration Act 1996.

(7)  An alteration of unit entitlement under this section applies only for land tax purposes.

(8)  In this section, strata scheme means a strata scheme under the Strata Schemes (Freehold Development) Act 1973 or a leasehold strata scheme under the Strata Schemes (Leasehold Development) Act 1986, and expressions used in this section have the same meanings as in those Acts.

s 65A: Ins 1988 No 128, Sch 1 (13). Subst 1992 No 84, Sch 2 (8). Am 1996 No 139, Sch 2.20 [11] [12] (am 1997 No 55, Sch 2.18 [1] [2]); 2000 No 51, Sch 3 [10].

66 Amendment of Act No 25, 1948

Editorial note—

The amending provisions relating to the Landlord and Tenant (Amendment) Act 1948 are not reprinted: Reprints Act 1972, section 6.

67 (Repealed)

s 67: Am 1983 No 14, Sch 1 (5); 1987 No 88, Sch 1 (4). Rep 1996 No 98, Sch 1.3 [26].

68 Valuer-General to furnish copies of Register of Land Values to Chief Commissioner

On request made by the Chief Commissioner, the Valuer-General must furnish to the Chief Commissioner such copies of the Register of Land Values, and of any valuation list or supplementary list prepared by the Valuer-General, as the Chief Commissioner may require.

s 68: Am 1983 No 14, Sch 1 (5); 1995 No 11, Sch 1.71 [6]. Subst 2000 No 106, Sch 3 [16].

68A Keeping of records by owners of land

(1)  The regulations may make provision requiring owners of land or specified classes of owners of land to keep specified records concerning land owned by them.

(2)  The regulations may specify the form in which any such record is to be kept and the particulars it is to contain.

(3)  A person to whom such a requirement applies:

(a)  must comply with the requirement, and

(b)  must, unless the regulations otherwise provide, retain a record made for the purposes of such a requirement for at least 5 years after the end of the tax year to which the ownership of the land concerned related.

Maximum penalty: 10 penalty units.

s 68A: Ins 1990 No 35, Sch 1 (9).

69–71 (Repealed)

s 69: Am 1983 No 14, Sch 1 (5); 1987 No 88, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [26].

s 70: Am 1992 No 112, Sch 1. Rep 1996 No 98, Sch 1.3 [26].

s 71: Am 1983 No 14, Sch 1 (5); 1987 No 88, Sch 1 (6); 1992 No 112, Sch 1. Rep 1996 No 98, Sch 1.3 [26].

72 Failure to furnish returns or information

(1)  A taxpayer who fails or neglects duly to furnish any return or information as and when required by this Act or the Chief Commissioner, or who fails to include in any return any land owned by the taxpayer, is taken to have committed a tax default for the purposes of Part 5 of the Taxation Administration Act 1996.

(2)  In relation to the tax default:

(a)  interest is payable in accordance with Part 5 of the Taxation Administration Act 1996 but accrues on the amount of land tax assessable to the taxpayer for the period commencing on the last day allowed for furnishing the return or information, or the correct particulars of land ownership, and ending on:

(i)  the day on which the return or information is furnished or the correct particulars are furnished, or

(ii)  the day on which the assessment calculated on the basis of the return or information that is required, or the correct particulars that are required, is made, or

(iii)  the day on which the whole of the land tax assessable to the person is paid,

whichever occurs first, and

(b)  penalty tax is payable in accordance with Part 5 of the Taxation Administration Act 1996 on the amount of tax unpaid.

s 72: Am 1983 No 14, Sch 1 (5); 1983 No 171, Sch 1 (13); 1985 No 147, Sch 1 (9). Subst 1996 No 98, Sch 1.3 [27].

73–75 (Repealed)

s 73: Am 1992 No 112, Sch 1. Rep 1996 No 98, Sch 1.3 [28].

s 74: Rep 1996 No 98, Sch 1.3 [28].

s 75: Rep 1996 No 98, Sch 1.3 [28].

Part 9 General

76, 77 (Repealed)

s 76: Rep 1996 No 98, Sch 1.3 [29].

s 77: Rep 1996 No 98, Sch 1.3 [29].

78 General penalty

Any person guilty of a breach of this Act for which no penalty is otherwise provided shall be liable to a penalty not exceeding 2 penalty units.

s 78: Am 1992 No 112, Sch 1.

79, 80 (Repealed)

s 79: Rep 1996 No 98, Sch 1.3 [29].

s 80: Am 1983 No 14, Sch 1 (5). Rep 1996 No 98, Sch 1.3 [29].

81 Repeals and refunds

(1)  The Acts specified in Schedule 1, and to the extent to which they have not been already repealed, are hereby repealed.

(2)    (Repealed)

(3)  Any person who has paid land tax pursuant to any of the Acts specified in Schedule 1 in respect of the year that commenced on the first day of January one thousand nine hundred and fifty-six shall be refunded an amount equal to one-sixth of the land tax so paid by the person.

s 81: Am 1960 No 35, sec 2 (1) (f); 1988 No 128, Sch 1 (14).

82 Regulations

(1)  The Governor may make regulations not inconsistent with this Act, prescribing all matters which by this Act are required or permitted to be prescribed, or which are necessary or convenient to be prescribed, for giving effect to this Act.

(2)    (Repealed)

(3)  The regulations may impose penalties not exceeding 1 penalty unit for any breach thereof.

s 82: Am 1987 No 48, Sch 32; 1992 No 112, Sch 1.

83 Savings and transitional provisions

Schedule 2 has effect.

s 83: Ins 1988 No 128, Sch 1 (15).

Schedule 1

(Section 81)

No of Act	Title of Act
59 Vic No 15	Land and Income Tax Assessment Act of 1895
59 Vic No 16	Land Tax Act of 1895
Act No 21, 1897	Land and Income Tax (Amendment) Act 1897
Act No 37, 1898	Land and Income Tax (Declaratory) Act 1898
Act No 36, 1899	Land Tax (Collection) Act 1899
Act No 28, 1900	Land Tax (Assessment Books) Act 1900
Act No 46, 1900	Land Tax (Contribution) Act 1900
Act No 115, 1902	Land Tax (Leases) Act 1902
Act No 17, 1904	Land and Income Tax (Amendment) Act 1904

sch 1, hdg (previously Sch, heading): Subst 1988 No 128, Sch 1 (16).

Schedule 2 Savings and transitional provisions

(Section 83)

Part 1 Preliminary

1A Regulations

(1)  The regulations may contain provisions of a savings or transitional nature consequent on the enactment of the following Acts:

State Revenue Legislation Further Amendment Act 1995

State Revenue Legislation Amendment Act 1997

State Revenue Legislation Further Amendment Act 1997

Environmental Planning and Assessment Amendment Act 1997

Strata Schemes (Leasehold Development) Amendment Act 1999

State Revenue Legislation Amendment Act 2000

State Revenue Legislation Further Amendment Act 2000

Valuation of Land Amendment Act 2000

(2)  Any such provision may, if the regulations so provide, take effect from the date of assent to the Act concerned or a later day.

(3)  To the extent to which any such provision takes effect from a date that is earlier than the date of its publication in the Gazette, the provision does not operate so as:

(a)  to affect, in a manner prejudicial to any person (other than the State or an authority of the State), the rights of that person existing before the date of its publication, or

(b)  to impose liabilities on any person (other than the State or an authority of the State) in respect of anything done or omitted to be done before the date of its publication.

1 Mortgages entered into before 31 December 1983

Section 46 does not apply to a mortgagee in respect of a mortgage entered into before 31 December 1983.

Part 2 Provisions consequent on enactment of Land Tax Management (Amendment) Act 1988

2 Land tax certificates

Section 47 (as amended by the Land Tax Management (Amendment) Act 1988) applies to and in respect of a certificate issued under that section before the commencement of that Act.

3 Lessees from councils and public authorities

The amendment made by the Land Tax Management (Amendment) Act 1988 to the definition of Owner in section 3 (1) does not apply in respect of a tax year before the tax year that commences on 1 January 1992.

4 Refunds of stamp duty

Section 10A applies to a person even if the conveyance referred to in subsection (2) (a) of that section took effect before the commencement of the Land Tax Management (Amendment) Act 1988.

5 Application of amendments concerning charitable, educational and religious bodies

The amendments made by the Land Tax Management (Amendment) Act 1988 to section 10 (1) (d) and (e) apply in respect of the tax year that commences on 1 January 1987 and each subsequent tax year.

6 Persons required to furnish land tax returns

Until an order is published under section 12 (1), that section as in force immediately before the commencement of the Land Tax Management (Amendment) Act 1988 continues to apply.

7 Pending objections

Part 5 as in force immediately before the commencement of the Land Tax Management (Amendment) Act 1988 continues to apply to and in respect of an objection made under that Part before that commencement (including for the purposes of an appeal under that Part).

8 Public companies—exemptions for primary production

Land used for primary production and owned by a public company that was, immediately before the commencement of the Land Tax Management (Amendment) Act 1988, entitled for a tax year commencing before 1 January 1989 to be declared by the Governor to be a company to which section 10 (1) (s), as then in force, applied is exempt from taxation leviable or payable in respect of that tax year.

Part 3 Provisions consequent on enactment of Land Tax Management (Amendment) Act 1989

9 Pending objections

(1)  In this clause:

1988 amending Act means the Land Tax Management (Amendment) Act 1988.

1989 amending Act means the Land Tax Management (Amendment) Act 1989.

new appeal provisions means the provisions of Part 5, as amended by the 1989 amending Act.

(2)  An objection made under the provisions of Part 5 as in force before the commencement of the new appeal provisions is to be dealt with under the new appeal provisions unless:

(a)  in the case of an objection made under the provisions of Part 5 as in force immediately before the commencement of the 1988 amending Act, the objector has (before the commencement of the new appeal provisions) requested the objection to be treated as an appeal or the time for making such a request has expired, and

(b)  in the case of an objection made under the provisions of Part 5 as in force immediately before the commencement of the 1989 amending Act, the objector has (before the commencement of the new appeal provisions) required a case to be stated to the Supreme Court or the time for requiring a case to be stated has expired.

Part 4 Provisions consequent on enactment of Land Tax (Amendment) Act 1990 and Land Tax Management (Amendment) Act 1990

10 Amendments not to affect previous liabilities

The amendments made by the Land Tax (Amendment) Act 1990 and the Land Tax Management (Amendment) Act 1990 do not affect any existing liability for land tax, except as provided by clause 11.

11 Special provision for retrospective changes to Land Tax Act 1956

(1)  This clause applies to an assessment of land tax on the taxable value of land owned by a person at midnight on 31 December 1989.

(2)  The Chief Commissioner is, under section 16, to make such amendments to an assessment to which this clause applies as may be necessary to give effect to section 3AE (Levy of land tax after 31 December 1989) of the Land Tax Act 1956.

(3)  A person’s liability under an assessment to which this clause applies is to be regarded as the liability under that assessment as required to be amended by the Chief Commissioner (whether or not the assessment has actually been amended).

(4)  If a certificate is issued under section 47 that conflicts with an earlier certificate under that section because of an amendment to an assessment required by this clause:

(a)  the later certificate replaces the earlier certificate, and

(b)  the earlier certificate has no further operation.

12 Land tax certificates

Section 47 (as amended by the Land Tax Management (Amendment) Act 1990) applies to a certificate issued under that section before (as well as after) the commencement of the amendments made to that section by that Act.

13 Applications for reductions—residential units and flats

An application for a reduction under section 3A or 3C of the Land Tax Act 1956 is to be regarded as an application for a reduction under section 9B or 9C, as appropriate, of this Act.

Part 5 Provisions consequent on enactment of Land Tax Management (Further Amendment) Act 1990

14 Payment by instalments

The amendments made by the Land Tax Management (Further Amendment) Act 1990 to sections 39, 40 and 41 do not apply in respect of a tax year before the tax year that commences on 1 January 1992.

15 Increased tax-free threshold for residential land

The amendments made by the Land Tax Management (Further Amendment) Act 1990 to section 10 (4) and (5) apply to land tax payable in respect of the year commencing on 1 January 1991 and any succeeding year.

Part 6 Provisions consequent on enactment of Stamp Duties (Miscellaneous Amendments) Act 1990

16 Stamp duty exemptions—effect on land tax

If a conveyance of land executed after 31 December 1990 and lodged with the Chief Commissioner of Stamp Duties before 1 July 1991 is exempt from duty under the Stamp Duties Act 1920, pursuant to Schedule 2D to that Act, the transferee under the conveyance is to be considered to have been the owner of the land on 31 December 1990 for the purposes of this Act.

Part 7 Provisions consequent on enactment of Land Tax Management (Amendment) Act 1991

17 Operation of amendments

The amendments made by the Land Tax Management (Amendment) Act 1991 (except the amendment made to clause 3 of this Schedule) do not apply in respect of a tax year before the tax year that commences on 1 January 1992 and do not affect any existing liability for land tax.

Part 8 Provisions consequent on enactment of Land Tax Management (Amendment) Act 1992

18 Operation of amendments

The amendments made by the Land Tax Management (Amendment) Act 1992 do not (except as specifically provided) apply in respect of a tax year before the tax year that commences on 1 January 1993 and do not affect any existing liability for land tax.

19 Lessees of Crown land

(1)  For the purposes of the application of section 21C to land owned by the Crown in respect of the tax years commencing on 1 January 1989, 1990, 1991 and 1992, the amendments made by Schedule 1 (13)–(16) of the Land Tax Management (Amendment) Act 1991 are taken to have commenced on 31 December 1988.

(2)  Clause 17 has effect subject to subclause (1) of this clause.

20 Retirement villages/nursing homes

The amendments made to section 10R by the Land Tax Management (Amendment) Act 1992 operate on and from 31 December 1990.

21 Amounts postponed under section 9A

A reference in section 9A to an amount of land tax postponed under that section includes a reference to an amount of land tax postponed under that section before its substitution by the Land Tax Management (Amendment) Act 1992.

22 Ascertainment of land value before commencement

The fact that a land value was ascertained under the provisions of Part 7 as substituted by the Land Tax Management (Amendment) Act 1992 after the date of assent to that Act but before the commencement of that Act does not affect the validity of such a land value and it is taken to have been validly ascertained.

Part 9 Provisions consequent on enactment of State Revenue Legislation (Amendment) Act 1994

23 Leases from public authorities

The amendments made to section 21C by the State Revenue Legislation (Amendment) Act 1994 do not create a liability for land tax in respect of a lease exempted from the operation of that section by section 21C (6) (d) before the date of commencement of the amendments.

Part 10 Provisions consequent on enactment of State Revenue Legislation Further Amendment Act 1997

24 Discretionary trusts and special trusts

A declaration made in relation to a land tax year by the Land Tax Management Regulation 1992, as in force immediately before its repeal by the State Revenue Legislation Further Amendment Act 1997, that a trust was not a discretionary trust or a special trust for the purposes of this Act continues to have effect in relation to the 1995, 1996 and 1997 land tax years despite the repeal of that regulation.

Part 11 Strata Schemes (Leasehold Development) Amendment Act 1999

25 Operation of amendments

Section 21D, as inserted by the Strata Schemes (Leasehold Development) Amendment Act 1999, does not impose any liability for land tax for a tax year that commenced before the commencement of that amendment and does not affect any liability for land tax for any such tax year.

Part 12 Provisions consequent on enactment of Valuation of Land Amendment Act 2000

26 Definition

In this Part, the 2000 amending Act means the Valuation of Land Amendment Act 2000.

27 Application of section 62K

Section 62K (1A), as inserted by the 2000 amending Act, applies to an application made under section 62K (1) before the commencement of that Act in the same way as it applies to an application made under that subsection after that commencement.

28 Application of section 62N

Section 62N (1), as amended by the 2000 amending Act, applies to an objection relating to an allowance determined before the commencement of that Act in the same way as it applies to an objection relating to an allowance determined after that commencement.

sch 2: Ins 1988 No 128, Sch 1 (17). Am 1989 No 222, Schs 1 (3), 2 (3); 1990 No 35, Sch 1 (10); 1990 No 88, Sch 1 (15); 1990 No 95, Sch 4; 1991 No 47, Sch 1 (12) (18); 1992 No 84, Sch 2 (9); 1993 No 46, Sch 1; 1994 No 48, Sch 5 (7); 1995 No 98, Sch 4 [4]; 1997 No 37, Sch 3 [13]; 1997 No 41, Sch 2 [7] [8]; 1997 No 152, Sch 4.20 [2]; 1999 No 31, Sch 5.58 [1]–[11]; 1999 No 52, Sch 2.1 [4] [5]; 2000 No 51, Sch 3 [11]; 2000 No 105, Sch 3 [8]; 2000 No 106, Sch 3 [17] [18].