How to check if land tax was unpaid

Hi

Silly question, if I wanted to find a potential property and whether or not there was landtax still outstanding / due to be paid by the current owner - how would I do so?

Looking at Sydney + Melbourne.

Similarly, I guess for council rates - I would need to check this with the relevant council right? Can I just call up and ask for a potential property even if I am not the owner?

Thanks!

 

Council rates will be apportioned at settlement.

Land tax is charged at a certain point in time based on ownership. If the current owner owes something, it doesnt transfer to you when you buy it.

 

do a land tax clearance search. Clearance certificates | Revenue NSW in nsw

Land tax runs with the land so if it is not paid at settlement the new owner can become liable.

Also check the contract about adjustments - default is it is not adjusted for the current year.

 

Its one of several steps in the conveyancing process. Any present rates, strata, land tax etc amount due is paid at the settlement together with adjustments for any arrears by the vendor adjustment and paid on that date to ensure that the debt IS cleared.

 

Hi hopefully someone can help me with this. I am selling a property and it settles in 3 weeks, I have a land tax bill to pay which is for the full year, do I pay the land tax and then it is apportioned at settlement? I.e I will get back a pro rate percentage of what I paid?

Thanks.

 

Probably not. Land tax is a tax applied AT a point in time not a period of time, excepting the ACT where land tax is a quasi council rates notice.

What does the sale contract say ? The solicitor may do a land tax adjustment if you dont co-ordinate this or pay it several days before and communicate with them. eg You pay it same day you could even find its paid twice . The buyer will want that tax paid before its settles or they will withhold and pay it for you from the settlement funds.

 

What did you agree to?