A taxpayer has been unsuccessful before the NSW Civil and Administrative Tribunal in seeking to claim the primary production land tax exemption for a property for the 2009 to 2012 land tax years.
- The Commissioner had issued land tax assessments for 2 properties for which the taxpayer claimed the land tax exemption.
- However, before the Tribunal, the taxpayer conceded that one the properties was not exempt from land tax, but still sought the exemption for the other remaining land.
- The land was not zoned “rural land”.
The Tribunal was not satisfied that it was more likely than not that the dominant use of the land during the relevant period was for primary production in accordance with s 10AA(3) of the Land Tax Management Act 1956 (NSW).
It also held the taxpayer had not satisfied the commerciality tests contained in s 10AA(2).
It found there were some agistment and husbandry activities which had taken place on the land; however, it was of the view the activities were substantially in support of the livestock saleyards operation on the land.
(Vowles Properties Pty Ltd v Chief Comr of State Revenue [2014] NSWCATAD 73, NSW Civil and Administrative Tribunal, Isenberg SM, 4 June 2014).
[LTN 107, 5/6/14]