Regardless where you live in Australia, if you own property in Queensland, you might be receiving a tax bill from the state, even if your property sits below the current threshold for the levy.
From June 30 2023, changes to the way the threshold is calculated in Queensland will take effect. As interstate holdings will be taken into consideration, taxpayers in NSW with land below the threshold could be facing a tax bill for the first time.
Awareness of these changes have been generally low, but here at Accounting Tax Solutions, we are ensuring that our clients are kept up to date so that there are no surprise bills facing them next year.
The measure was flagged last December and the recent state budget had it featured, so for those who keep their ears to the ground, it shouldn’t come as too much as a surprise.
Nor should landowners in other states be too surprised should the rest of Australia follow suit. Queensland is the first of what we expect to be many to consider such changes to the threshold.
So, from next year, an owner’s liability on the land that they own will be determined on the value of all the land that they own Australia wide that is not exempt. Not just their non-exempt Queensland land.
Effectively, this is a tax rate hike for those who own land across borders, but not for those who only own land in Queensland.
For anyone who will be affected by this change, it is important that you seek support to ensure that you follow the correct protocols in place. It is required that you set up an online account with the Queensland Revenue Office and declare all of your holdings.
Here at Accounting Tax Solutions, we would be more than happy to support you with this, as well as go through this in more detail should you wish. We will be able to determine the amount you might be expected to pay, so that you can account for that over the course of the year.
Some unwitting owners may run up a bill that goes into the thousands.
There are a few land tax exemptions that apply to interstate land so do ensure that this applies to you. Reach out to us here at Accounting Tax Solutions on 07 5559 1200 if you have any questions or concerns about this upcoming change.