In a decision handed down on Wed 28.1.2015, the NSW Civil and Administrative Tribunal affirmed a decision refusing the primary production land tax exemption that had been claimed by one of the taxpayers in respect of a property for the 2009 to 2013 land tax years.

In 2013, one of the taxpayers applied for the primary production land tax exemption under s 10AA of the Land Tax Management Act 1956 (NSW) in respect of the property. The application stated that [the tenants carried on] primary production activity on the property. In refusing the exemption, the Commissioner submitted that throughout the relevant period there were significant non-primary uses of the property, namely residential use, commercial use and non-use.

The Tribunal accepted that parts of the property were used during the relevant period to maintain horses, alpacas and poultry. However, the Tribunal was not satisfied on the balance of probability that the dominant use of the property for any year during the relevant period was for the maintenance of animals for the purpose of selling them or their natural increase or bodily produce.

(Delli-Carpini & Ors v Chief Comr of State Revenue [2015] NSWCATAD 12, NSW Civil and Administrative Tribunal, Isenberg SM, 28 January 2015.)

[LTN 17, 28/1/15]