Land Tax Act 2000

Subject to this Division, an owner of land is liable to pay foreign investor land tax in respect of the land for a financial year if, at the commencement of the financial year – the land is general land – that is vacant land on which a building may be lawfully constructed and occupied as a place of residence so that the land is capable of being lawfully used, solely or primarily, for residential purposes; or that is capable of being lawfully used solely, or primarily, for residential purposes; or that includes a building, or part of a building, which is being, or has begun to be, constructed, refurbished, renovated or extended, if the work, when completed, will result in the land being capable of being lawfully used solely, or primarily, for residential purposes; and one or more owners of the land are foreign persons – who acquired an interest in the land, as a result of a dutiable transaction under the Duties Act 2001, or by right of survivorship, on or after 1 July 2022; or who became foreign persons, other than foreign natural persons, on or after 1 July 2022.

For the purposes of this section, if – an owner of land is a foreign person who acquired an interest in land before 1 July 2022; and on or after 1 July 2022, the foreign person acquired a further interest in the land as a result of a dutiable transaction under the Duties Act 2001 or by right of survivorship – all of the foreign person’s interest in the land is taken to have been acquired on or after 1 July 2022.

If, at the commencement of a financial year, foreign investor land tax is payable in respect of land, this section applies only to the percentage of the land – in which a foreign person holds, at the commencement of that financial year, an interest that is acquired on or after 1 July 2022; or held by a foreign person (except a foreign natural person) who became a foreign person on or after 1 July 2022.

For the avoidance of doubt, an interest under subsection (3) includes an interest that the person is taken, by virtue of subsection (2), to have acquired on or after 1 July 2022.