Land Tax Assesments

Hi,
In 2019 my wife and I bought a new home without selling the old one. We both owned 50% each property. Our land tax assessment was sent to us in both names giving us $692,000 threshold.
We sold our old house in 2020 so then only owned our principal place.
In 2021 we bought an investment property. This year I put in a land tax return and have been allowed $822,000 threshold. My wife did not submit a return but I guess it would be the same result. Would someone please tell me which of these is wrong. In 2019 we get 1 threshold and this year 1 each.
Any help greatly appreciated

Regards
Geoff

 

you don't state where the properties are located and who owns them, but it sounds like NSW and both jointly owned.

You can only get one PPOR exemption, generally, and one threshold per taxpayer - which changes ever year and is $822,000 this year. Joint owners are considered one taxpayer in NSW

 

Yes NSW. Jointly owned. You say one threshold per taxpayer and we are considered both to be one tax payer. One of these assessments is wrong. Is it the one this year or the one in 2019?

 

No idea based on what you have written. Neither appears to be wrong.
On 31Dec2021 you have one investment property between you so this would count for land tax but you get one threshold.

On 31Dec19 you have one PPOR exempt and a second property which wouldn't have been exempt (unless the concession applying to changing PPORs applies - see Schedule 1A Land Tax Management Act, cl 7). So this would have been taxable if over the threshold

 

On 31Dec2021 you have one investment property between you so this would count for land tax but you get one threshold.

I got 1 threshold when I submitted my return. If my wife submits a return will she get 1 threshold?

 

If joint owners you would only get one threshold

 

So If my wife submits a return she will not get the threshold and will have to pay the tax. What if we were divorced and hated each other. That means first to get their return in pays nothing and the other pays.

 

It doesn't matter if you are married or not, or if you hate each other.

What do you mean by 'submit a return?' With land tax you register and the Revenue NSW sends you a bill

 

Ok register. I have been issued a bill for zero. Will my wife have to pay the tax because I registered before her?

 

land tax is not anything to do with income tax, maybe it is being lumped together because someone does it for you.

And each state does land tax diff, in NSW you get your own threshold & that is it, does not matter if you are joint owners with mr and mrs claus.

 

Timing doesn't matter. You should have registered the joint ownership if you registered

 

And each state does land tax diff, in NSW you get your own threshold & that is it, does not matter if you are joint owners with mr and mrs claus.
Hi Dabbler,
What do you make of my first post. One of these assessments is wrong.

 

I will assume a JOINT land tax return was issues for the joint ownership and if any individual owns additional land then a secondard assessement may also be issued to them for their share PLUS the one they personally own with a credit given for a share of tax jointly paid. This way each inidvidual gets just one threshold...Not one for joint and another one individually.

One threshold is allowed for all property owned at 31/12/20XX midnight. Only ONE property can be your "principal" place of residence in each year and that is a matter of fact . There are other exemptions incl for a former home (being sold) and for land intended for a future home. Refer to Schedule 1A and clauses 6, 7 particularly. LAND TAX MANAGEMENT ACT 1956 - SCHEDULE 1A

As the issue concernings a taxing law a solictor is best to advise you. Time limits apply to amend. The Commissioner can refuse to consider a request even if a error was made.