State Revenue Office Draft Revenue Rulings – Changes to exemptions for primary production land
The State Revenue Office of Victoria has released two new draft Rulings that deal with exemptions for State Land Tax as applicable to land used for Primary Production- draft Rulings LTA 010 and LTA 011.
All owners of property that have been exempt from State Land Tax due to the current primary production rules or any property owner intending to seek exemption for this land use need to be aware of the draft new rules as they potentially impact on the availability for the exemption based on land location, the use of the land and also on the nature of ownership of the relevant land depending on the ownership structure involved. The draft Rulings that are intended to apply in the 2023 year make significant changes to past practice that has applied to the exemption for State Land Tax that has been available until now.
It is strongly recommended that owners of property that are currently exempt from State Land Tax seek advice as to whether their ongoing or intended usage and business practice and structure will be impacted by these rulings as the amounts of tax involved could be substantial.
If you have any queries regarding these Rulings or the potential of the application of State Land Tax to your primary production land use, please contact Deborah McCloskey in our Property Law team on (03) 9739 7377
