LAND TAX

RESIDENTIAL EXEMPTIONAPPLICATION:

MOVING FROM ONE PRIVATE RESIDENCE TO A NEWLY CONSTRUCTED OR REFURBISHED RESIDENCE

IMPORTANT

FIRST PROPERTY (ORIGINAL RESIDENCE)

Land Identity (as shown on notice of assessment) /
Address of Original Residence

SECOND PROPERTY (NEW RESIDENCE)

Land Identity (shown on notice of assessment) /
Address of Newly Constructed or Refurbished Residence

OWNERS NAME(S):

  1. Are either of the above properties held in trust? (If yes, read the reverse of this form).

2.Date of purchase of property for Newly Constructed Residence or Refurbished residence. Must have been acquired in the previous financial year.
3.Date of executed building contract (only applicable for non Owner Builders)
(A copy of the executed building contract, which clearly states the completion date of the building, must be attached).
or Date of Local Government approval (applicable for Owner-Builders)
(A Local Government approval letter e.g. licence or permitmust be attached)
4.Expected completion date for the Newly Constructed or Refurbished residence.
5.Will all the owners be the first occupants of the Newly Constructed or Refurbished residence? If no, please provide names of first expected occupants.
6.Date of expected occupation of Newly Constructed or Refurbished Residence.
7. Has any income been derived from the properties while they were both owned? If so, please provide relevant dates and details.
8.Does the owner(s) have another private residential property, additional to the properties stated above, that is used as their residence? If so, please provide details.

Please complete in conjunction with notes overleaf

The owner is required to notify the Commissioner (through the completion of confirmation form FLT27AB) when the construction or refurbishment of the residence is completed and they occupy the home. Failure to lodge the confirmation form may result in the exemption being reassessed, requiring land tax to be paid.

LAND TAX ASSESSMENT ACT 2002

SECTION 27A

APPLICATION FOR RESIDENTIAL EXEMPTION - MOVING FROM ONE PRIVATE RESIDENCE TO A NEWLY CONSTRUCTED OR REFURBISHED RESIDENCE

Section 27A of the Land Tax Assessment Act 2002 provides an exemption from land tax for two consecutive years where two properties are owned in transitional circumstances at midnight on 30 June in the financial year before the first assessment year. For the exemption to apply, the second property must consist of a residence that is to be refurbished, or a new home that is to be constructed, and the owner intends to occupy the property as his or her primary residence once the refurbishment or construction is completed.

Refer to Fact Sheet ‘Land Tax Exemptions - Transitional, Newly Constructed and Refurbished Private Residences’which addresses the circumstances in which the Commissioner will grant an exemption from land tax if moving from one private residence to another private residence.

Application for exemption may be made when a building contract has been executed, or building/refurbishment approval has been issued by Local Government.

Section 27A provides an exemption for the second property for two consecutive years in the following circumstances:

  • the owner owns two residences, the first one occupied and therefore exempt from land tax, and the other being constructed or refurbished, having been acquired in the financial year immediately before the first assessment year;
  • the commencement date for construction or refurbishment of the property acquired second is in the first assessment year or is in the previous financial year andpart of the construction or refurbishment is carried out in the first assessment year;
  • the construction or refurbishment of the second property is completed and it is occupied by the owner as their primary residence in the second assessment year;
  • the first residence is sold and delivered to the purchaser prior to 30 June at the end of the second assessment year;
  • no income has been derived by anyone from either property while it was not the primary residence of the owner (if any income derived from the property, provide details at question 7).

Example:

In order to qualify for an exemption under section 27A for a second property for the two consecutive assessment years 2017-18 and 2018-19, the second property must have been acquired between 1 July 2016 and 30 June 2017. The second property must be completed and occupied as the primary residence between 1 July 2018 and 30 June 2019 and the first acquired property must have been sold and delivered to the purchaser on or before 30 June 2019.

If any of these conditions is not met, any exemption in respect of the second property will be removed and an assessment issued.

As the land tax exemptions are to be applied in transitional circumstances only, the Commissioner will not ‘roll forward’ the land tax exemptions to later assessment years while the owner owns both properties.

Upon completionand occupation of the constructed/refurbished private residence, and sale/delivery of the original residence, the owner must notify the Commissioner by lodging Form FLT27AB‘Residential Exemption Confirmation: Moving from One Private Residence to a Newly Constructed or Refurbished Residence’.

Commencement date: If the residence is to be constructed or refurbished under a building contract, the date when the contract is made. If an owner-builder, the date when the building licence for construction or refurbishment is issued under part XV of the Local Government (Miscellaneous Provisions) Act 1960orthe date when the building permit is granted under the Building
Act 2011.

Completion date:The date when the construction or refurbishment is completed to the point where the residence is ready for occupation.

IMPORTANT - LAND OWNED BY A COMPANY AND/OR LAND HELD IN TRUST:If the land for which exemption is claimed is held in trust, or is owned by a company, this exemption does not apply. Please contact the Office of State Revenue to obtain further information as most land owned by a company or held in trust no longer qualifies for residential exemption. Please note: the applicant must provide a postal address for further correspondence.

Need more information?

Web Enquiry:

Website:

Please return completed form to:

Office of State Revenue,

GPO Box T1600, PERTH WA 6845

or as an attachment via our Web Enquiry

Telephone:(08) 9262 1200

Country Callers:1300 368 364 (Local Call Charges)