Legal Tip 240: Recovering Land Tax from a Joint Owner in NSW

Discussion in 'Legal Issues' started by Terry_w, 19th Sep, 2019.

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  1. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Under NSW land tax law joint owners of land are taxed as if a single owner but if one of the owners pays the land tax they can recover the share from the other owner.


    Example

    Lisa and Millhouse own a few properties together when their relationship breaks down. Millhouse refuses to contribute anything to the property. So Lisa pays the land tax in full fearful of the consequences of not paying.

    She can then sue her ex-lover to recover his share of the land tax.


    See

    s 45(3) of the Taxation Administration Act 1996 (NSW).

    TAXATION ADMINISTRATION ACT 1996 - SECT 45 Joint and several liability


    Similar provisions are likely to exist in other states too.
     
    Terry_w, 19th Sep, 2019
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