COVID-19
Queensland State Government Land Tax Relief

The Queensland Government has announced a number of land tax relief measures due to Covid-19, including:

  • a land tax rebate reducing land tax liabilities by 25% for eligible properties for the 2019-20 assessment year;
  • a waiver of the 2% land tax foreign surcharge for foreign entities for the 2019-20 assessment year; and
  • a 3 month deferral of land tax liabilities for the 2020-21 assessment year.

Of these relief measures, the 25% rebate is the only one requiring application.  The Queensland Government will reassess land tax to apply the waiver, and will provide a refund where the assessment amount has already been paid.

Eligibility

According to the Queensland government website, you may be eligible for the land tax rebate if at least one of the following circumstances applies to you:

  • You are a landowner who leases all or part of a property to one or more tenants and all the following apply:
    • The ability of one or more tenants to pay their normal rent is affected by the coronavirus (COVID-19) pandemic.
    • You will provide rent relief to the affected tenant(s) of an amount at least commensurate with the land tax rebate.
    • You will comply with the leasing principles even if the relevant lease is not regulated.

or,

  • You are a landowner and all the following apply:
    • All or part of your property is available for lease.
    • Your ability to secure tenants has been affected by the COVID-19 pandemic.
    • You require relief to meet your financial obligations.
    • You will comply with the leasing principles even if the relevant lease is not regulated.

If you are eligible for the land tax rebate under both the above circumstances, it is expected that you will apply the rebate paid firstly to provide rent relief to your tenants.  You can then apply any remaining rebate to your own financial obligations, such as debt and other expenses.

The rebate only applies to each property that meets the eligibility requirements and conditions, rather than to entire taxable landholdings.

Where there are multiple tenants for a single property, including mixed-use developments, provided that the eligibility requirements are met for at least one tenancy then the whole property is eligible for the rebate.

The rebate does not need to be repaid if the eligibility requirements and conditions are met.

Applications for the land tax rebate are open through until 30 June 2020.