Tax Tip 96: QLD Land Tax for Non Residents

Discussion in 'Accounting & Tax' started by Terry_w, 14th Jan, 2016.

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  1. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker Business Member

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    Did you know that "Absentee" land owners in QLD have a lower land tax threshold? Currently $350,000 compared to $600,000 for non trustees who are not 'absent'

    Land tax in QLD for individuals
    Schedule 1 Land Tax Act 2010 (QLD)
    LAND TAX ACT 2010 - SCHEDULE 1 -- RATE OF LAND TAX—INDIVIDUALS OTHER THAN ABSENTEES AND TRUSTEES

    Land tax in QLD for absentees and trustees
    Schedule 2
    LAND TAX ACT 2010 - SCHEDULE 2 -- RATE OF LAND TAX—COMPANIES, ABSENTEES AND TRUSTEES

    'Absentee' is defined at s 31
    LAND TAX ACT 2010 - SECT 31 31 Meaning of absentee

    31(1) says
    This could include Australian citizens or permanent residents who ordinarily reside overseas. Note that 'ordinarily reside' is not defined in the act.

    Subsection 3 also provides a concession for some employees overseas for work for an Australian employer or State of Commonwealth public officers.

    So if you own QLD properties and are planning on retirement overseas keep this in mind
     
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  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker Business Member

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  3. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker Business Member

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    There is an announcement in the latest QD Budget which may be of interest:

    Australian citizens and Australian permanent residents living overseas to be assessed as resident individuals From 30 June 2019, Australian citizens and Australian permanent residents holding permanent visas living, working or travelling overseas for an extended period will no longer be assessed as absentees. This means for land tax assessed from the 2019-20 financial year onwards, they will benefit from the higher tax-free threshold and lower rates of tax that currently only apply to resident individuals. They will also not have to pay the absentee surcharge. This change brings Queensland into line with other major Australian States.

    https://budget.qld.gov.au/files/19-004_Budget 2019-20 Budget Statements - LANDTAX_3.pdf
     
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  4. Propagate

    Propagate Well-Known Member

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    Paging @Sick_of_scams - does this help your situation? Had to do some PCHat searching to find you, I remembered someone on here a few months ago in dire straits due to absentee tax in QLD, thought it might have been you?
     
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  5. Sick_of_scams

    Sick_of_scams Well-Known Member

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    Hello, it was me as well as many others. YES it does help thank you! My Facebook group page has gone into meltdown with comments from relieved Aussies. We were doing a lot of campaigning, had MPs coming on board with a meeting set up with Australian Pensioners and Superannuants League who have done great work. Also had A Current Affair interested. The backlash and upcoming 2020 elections I believed were a contributing factor to amending the legislation. Many have horrendous taxes still to back pay plus legal costs. But for now investing in QLD is not off the cards like before.
     
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