Revenue NSW has issued the following 2 Revenue Rulings:

  • LT 102: Exemption – Land Used and Occupied Primarily for a Boarding House – 2018 Tax Year. Where land is used primarily as a boarding house, an exemption from land tax or a reduction in the taxable land value of the land is available if the land is primarily used to provide boarding house accommodation in accordance with guidelines NSW Treasurer has made. The purpose of this ruling is to outline the approved guidelines applying, and to explain the conditions that entitle the owner to claim an exemption or a reduction in the taxable land value. A declaration must be completed each year by owners who wish to claim the concession.
  • LT 103: Exemption – Land Used and Occupied Primarily for Low Cost Accommodation – 2018 Tax Year. Where land is situated within a 5 kilometre radius of 1 Martin Place, Sydney (the former Sydney GPO Building) and is used to provide rental accommodation, the land is exempt from land tax, or is entitled to a reduction in the taxable value of the land if the land is used and occupied primarily for low-cost accommodation in accordance with the following guidelines approved by the Treasurer. The purpose of this ruling is to outline the approved guidelines applying, and to explain the conditions that entitle the owner to claim an exemption or a reduction in the taxable land value. A declaration must be completed each year by owners who wish to claim the concession.

Both Rulings apply from 1 January 2018 to 31 December 2018 and relate to 2018 Land Tax Years.

27 January 2018

[LTN 17,25/1/18; FJM; Tax Month January 2018]

Study questions (see below*)

  1. Are both rulings about exemptions from land transfer duty?
  2. Are guidelines made by the Treasurer relevant to the exemption for Boarding Houses?
  3. Is the definition of Boarding House in paragraph 6 of the ruling (hint, you’ll have to click on the link)?
  4. Is the exemption for ‘low cost housing’ for properties outside a 5km radius from the old GPO?
  5. Are there any guidelines for this exemption?

 

*[answers:1.no(LandTax);2.yes;3.no(7);4.no(inside);5.yes]

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