{"id":"nsw:act-2022-060","name":"Property Tax (First Home Buyer Choice) Act 2022","slug":"property-tax-first-home-buyer-choice-act-2022","collection":"act","jurisdiction":"nsw","status":"in_force","isInForce":true,"actNumber":"60 of 2022","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":28954,"registerId":"nsw-act-2022-060-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"Part 1","sectionType":"part","heading":"Preliminary","content":"# Part 1 Preliminary\n\nPart 1 Preliminary","sortOrder":0},{"sectionNumber":"1","sectionType":"section","heading":"Name of Act","content":"#### 1 Name of Act\n\n1 Name of Act\n\n> This Act is the [Property Tax (First Home Buyer Choice) Act 2022](/view/html/inforce/current/act-2022-060).","sortOrder":1},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"#### 2 Commencement\n\n2 Commencement\n\n> This Act commences on a day or days to be appointed by proclamation.","sortOrder":2},{"sectionNumber":"3","sectionType":"section","heading":"Definitions","content":"#### 3 Definitions\n\n3 Definitions\n\n> Schedule 6, Dictionary defines certain terms used in this Act.\n> \n> Note—\n> \n> The [Interpretation Act 1987](/view/html/inforce/current/act-1987-015) contains definitions and other provisions that affect the interpretation and application of this Act.","sortOrder":3},{"sectionNumber":"4","sectionType":"section","heading":"Relationship with Taxation Administration Act 1996","content":"#### 4 Relationship with Taxation Administration Act 1996\n\n4 Relationship with [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097)\n\n> This Act must be read together with the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097), which makes provision for the administration and enforcement of this Act and other taxation laws.","sortOrder":4},{"sectionNumber":"Part 2","sectionType":"part","heading":"Key terms","content":"# Part 2 Key terms\n\nPart 2 Key terms","sortOrder":5},{"sectionNumber":"5","sectionType":"section","heading":"Meaning of “first home buyer”","content":"#### 5 Meaning of “first home buyer”\n\n5 Meaning of “first home buyer”\n\n> > (1) In this Act—\n> > \n> > first home buyer means a person—\n> > \n> > > (a) who is an individual, and\n> > \n> > > (b) who is 18 years of age or older, and\n> > \n> > > (c) who has not at any time owned residential land in Australia, either solely or with another person, and\n> > \n> > > (d) who has not previously been a party to a relevant application approved by the Chief Commissioner, and\n> > \n> > > (e) if the individual has a spouse—whose spouse—\n> > > \n> > > > (i) has not at any time owned residential land in Australia, either solely or with another person, and\n> > > \n> > > > (ii) has not previously been a party to a relevant application approved by the Chief Commissioner.\n> \n> > (2) Land owned by a person on trust or as an executor of a will is taken not to be owned by the person for the purposes of subsection (1).\n> \n> > (3) A person is taken not to be a party to a relevant application if the relevant application was made by the person in the person’s capacity as a trustee or an executor of a will.\n> \n> > (4) A person is taken to have owned land in the Australian Capital Territory if the person has held a leasehold interest granted by the Commonwealth in the land.\n> \n> > (5) The Chief Commissioner may waive the requirement that an individual be 18 years of age or over to be a first home buyer in relation to a transfer of land if satisfied that—\n> > \n> > > (a) the individual as a first home buyer will occupy the land following the transfer in accordance with section 15, and\n> > \n> > > (b) the waiver is reasonable in the circumstances.\n> \n> > (6) In this section—\n> > \n> > relevant application means an application under—\n> > \n> > > (a) this Act, or\n> > \n> > > (b) provisions of the [Duties Act 1997](/view/html/inforce/current/act-1997-123), Chapter 2, Part 8 intended to assist persons to buy a first home, or\n> > \n> > > (c) provisions of an Act prescribed by the regulations.","sortOrder":6},{"sectionNumber":"6","sectionType":"section","heading":"Meaning of “land”","content":"#### 6 Meaning of “land”\n\n6 Meaning of “land”\n\n> In this Act—\n> \n> land means the following—\n> \n> > (a) a lot, including a strata-type lot, of land,\n> \n> > (b) a parcel other than a lot if—\n> > \n> > > (i) the parcel is owned by the Crown, and\n> > \n> > > (ii) the parcel is leased to a person other than the Crown, and\n> > \n> > > (iii) a valuation is reasonably available from the Valuer-General for the parcel.\n> \n> strata-type lot means—\n> \n> > (a) a lot within the meaning of the [Strata Schemes Development Act 2015](/view/html/inforce/current/act-2015-051), or\n> \n> > (b) a development lot or a neighbourhood lot within the meaning of the [Community Land Development Act 2021](/view/html/inforce/current/act-2021-006), or\n> \n> > (c) an exclusive land use entitlement.","sortOrder":7},{"sectionNumber":"7","sectionType":"section","heading":"Meaning of “exclusive land use entitlement”","content":"#### 7 Meaning of “exclusive land use entitlement”\n\n7 Meaning of “exclusive land use entitlement”\n\n> > (1) This section applies to an interest if the Chief Commissioner is satisfied—\n> > \n> > > (a) the interest gives the owner an exclusive right to occupy part of a building on land, and\n> > \n> > > (b) the interest is—\n> > > \n> > > > (i) shares or units in a relevant entity that owns or leases the land, or\n> > > \n> > > > (ii) a part ownership of the land if—\n> > > > \n> > > > > (A) ownership of the land is as tenants in common, and\n> > > > \n> > > > > (B) each part ownership gives an exclusive right to occupy a different part of the building on the land, and\n> > \n> > > (c) the interest is transferable, and\n> > \n> > > (d) the whole of the land is reasonably used in connection with the occupation of the building.\n> \n> > (2) The interest giving the exclusive right to occupy part of a building may be jointly owned.\n> \n> > (3) The owner of the interest is taken to be the owner of the part of the building that the owner is entitled to exclusively occupy because of the interest.\n> \n> > (4) The part of the building is taken to be a separate lot (the exclusive land use entitlement).\n> \n> > (5) An interest that gives an exclusive right to occupy part of a building only at certain times is not an interest to which this section applies.\n> \n> > (6) If there is more than 1 building on the land, this section applies to an exclusive right to occupy a whole building, but not all buildings, in the same way as it applies to part of a building.\n> \n> > (7) In this section—\n> > \n> > relevant entity means a company or unit trust where all shares in the company or units in the trust—\n> > \n> > > (a) are distributed to persons, and\n> > \n> > > (b) give the persons a right to occupy parts of a building on land owned by the company or trust.","sortOrder":8},{"sectionNumber":"8","sectionType":"section","heading":"Meaning of “owner of land”","content":"#### 8 Meaning of “owner of land”\n\n8 Meaning of “owner of land”\n\n> > (1) In this Act, owner of land means—\n> > \n> > > (a) for a lot within the meaning of the [Strata Schemes Development Act 2015](/view/html/inforce/current/act-2015-051)—the owner of the lot within the meaning of that Act, or\n> > \n> > > (b) for a development lot or neighbourhood lot within the meaning of the [Community Land Development Act 2021](/view/html/inforce/current/act-2021-006)—the owner of the lot within the meaning of that Act, or\n> > \n> > > (c) for an exclusive land use entitlement—the owner of the interest that gives the entitlement, or\n> > \n> > > (d) for land leased from the Crown in perpetuity by a person other than the Crown—the lessee, or\n> > \n> > > (e) for land subject to an eligible life estate—the owner of the life estate, or\n> > \n> > > (f) otherwise—the legal owner of the lot.\n> \n> > (2) If a lessee is taken to be the owner of land for the purposes of this Act, the person who owns the fee simple in the land is taken not to be an owner of the land for the purposes of this Act.\n> \n> > (3) If an exclusive land use entitlement arises from ownership of shares or units in a relevant entity that owns land, the relevant entity is taken not to be the owner of the land for the purposes of this Act.\n> \n> > (4) In this section—\n> > \n> > eligible life estate means a life estate—\n> > \n> > > (a) created directly by the terms of a will and not by the exercise of a discretion under a will, and\n> > \n> > > (b) conferred for the life of the owner of the life estate.\n> > \n> > relevant entity has the same meaning as in section 7.","sortOrder":9},{"sectionNumber":"9","sectionType":"section","heading":"Meaning of “residential land”","content":"#### 9 Meaning of “residential land”\n\n9 Meaning of “residential land”\n\n> > (1) In this Act, land is residential land if the Chief Commissioner is satisfied—\n> > \n> > > (a) the land contains either of the following that is suitable for occupation or use as a dwelling—\n> > > \n> > > > (i) a building,\n> > > \n> > > > (ii) a strata-type lot, including associated utility lots, and\n> > \n> > > (b) the land is, or is suitable to be, occupied or used predominantly for residential purposes.\n> \n> > (2) If a strata-type lot is residential land, associated utility lots are also taken to be residential land.\n> \n> > (3) In this section—\n> > \n> > associated utility lot means a utility lot if—\n> > \n> > > (a) the utility lot is transferred with the strata-type lot, and\n> > \n> > > (b) its use is restricted to the owner or occupier of the strata-type lot, and\n> > \n> > > (c) it is not suitable to be used—\n> > > \n> > > > (i) for human occupation, or\n> > > \n> > > > (ii) as a residence, office, shop or similar.\n> > \n> > building includes a moveable dwelling within the meaning of the [Local Government Act 1993](/view/html/inforce/current/act-1993-030) if the Chief Commissioner is satisfied the moveable dwelling is designed, constructed or adapted for use as a dwelling on a long-term basis.","sortOrder":10},{"sectionNumber":"10","sectionType":"section","heading":"Meaning of “approved trust”","content":"#### 10 Meaning of “approved trust”\n\n10 Meaning of “approved trust”\n\n> > (1) In this Act, a trust is an approved trust if—\n> > \n> > > (a) the trustee is an apparent purchaser of the land, or\n> > \n> > > (b) the trustee will hold the land for a person who—\n> > > \n> > > > (i) is under a legal disability, and\n> > > \n> > > > (ii) is under the guardianship of the trustee.\n> \n> > (2) In this section—\n> > \n> > apparent purchaser means an apparent purchaser referred to in the [Duties Act 1997](/view/html/inforce/current/act-1997-123), section 55.","sortOrder":11},{"sectionNumber":"11","sectionType":"section","heading":"Meaning of “transferee”","content":"#### 11 Meaning of “transferee”\n\n11 Meaning of “transferee”\n\n> > (1) In this Act—\n> > \n> > transferee means a person who will be the owner of land as a result of a transfer of—\n> > \n> > > (a) for an exclusive land use entitlement—the interest that gives the entitlement, or\n> > \n> > > (b) for land leased from the Crown in perpetuity by a person other than the Crown—the lease, or\n> > \n> > > (c) otherwise—the fee simple in the land.\n> \n> > (2) In this Act, for transferred land that will be subject to an approved trust—\n> > \n> > > (a) a reference to the transferee is taken to be a reference to the beneficiary under the approved trust, and\n> > \n> > > (b) the actual transferee is referred to as the trustee transferee.","sortOrder":12},{"sectionNumber":"Part 3","sectionType":"part","heading":"Eligibility","content":"# Part 3 Eligibility\n\nPart 3 Eligibility","sortOrder":13},{"sectionNumber":"12","sectionType":"section","heading":"Basis for making application","content":"#### 12 Basis for making application\n\n12 Basis for making application\n\n> > (1) A transferee may make an application to subject transferred land to property tax if at the time the application is made—\n> > \n> > > (a) the transferee is an eligible transferee, and\n> > \n> > > (b) the transfer is an eligible transfer.\n> \n> > (2) However, a transferee may not make an application if—\n> > \n> > > (a) there is more than 1 eligible transferee, and\n> > \n> > > (b) another eligible transferee does not agree to the application being made.\n> \n> > (3) A transferee may not make an application if the transferred land will be held on trust following the transfer of the land, unless the trust is an approved trust.\n> \n> > (4) For an approved trust referred to in section 10(1), a trustee transferee is eligible to make an application under this section on behalf of a beneficiary who would be eligible to make the application.","sortOrder":14},{"sectionNumber":"13","sectionType":"section","heading":"Eligible transferees","content":"#### 13 Eligible transferees\n\n13 Eligible transferees\n\n> > (1) A transferee is an eligible transferee if—\n> > \n> > > (a) the transferee is an eligible first home buyer, or\n> > \n> > > (b) the transferee is not an eligible first home buyer but—\n> > > \n> > > > (i) the transferee is a first home buyer, and\n> > > \n> > > > (ii) there is more than 1 transferee under the transfer, and\n> > > \n> > > > (iii) at least 1 other transferee is an eligible first home buyer, or\n> > \n> > > (c) for an approved shared equity scheme where all transferees other than approved equity partners are eligible transferees—the approved equity partners are also eligible transferees.\n> \n> > (2) In this section—\n> > \n> > approved equity partner has the same meaning as in the [Duties Act 1997](/view/html/inforce/current/act-1997-123).\n> > \n> > eligible first home buyer means a person who is—\n> > \n> > > (a) a first home buyer, and\n> > \n> > > (b) an Australian citizen or a permanent resident.\n> > \n> > permanent resident has the same meaning as in the [Duties Act 1997](/view/html/inforce/current/act-1997-123).","sortOrder":15},{"sectionNumber":"14","sectionType":"section","heading":"Eligible transfers","content":"#### 14 Eligible transfers\n\n14 Eligible transfers\n\n> > (1) A transfer is an eligible transfer if—\n> > \n> > > (a) it is for the acquisition of—\n> > > \n> > > > (i) residential land, or\n> > > \n> > > > (ii) vacant land the Chief Commissioner is satisfied will be residential land, and\n> > \n> > > (b) it is for the whole of the land, and\n> > \n> > > (c) the dutiable value of the land is not more than—\n> > > \n> > > > (i) for vacant land—$800,000, or\n> > > \n> > > > (ii) otherwise—$1,500,000, and\n> > \n> > > (d) it is not for the transfer of—\n> > > \n> > > > (i) business premises, or\n> > > \n> > > > (ii) a business, or\n> > > \n> > > > (iii) land used for primary production within the meaning of the [Land Tax Management Act 1956](/view/html/inforce/current/act-1956-026), section 10AA, or\n> > > \n> > > > (iv) a holiday home, and\n> > \n> > > (e) all transferees are eligible transferees, and\n> > \n> > > (f) the transfer of land occurs—\n> > > \n> > > > (i) before 1 July 2023, or\n> > > \n> > > > (ii) on or after 1 July 2023 but relates to, or is made in conformity with, an agreement for sale or transfer entered into before 1 July 2023.\n> \n> > (2) Subsection (1)(e) does not apply if—\n> > \n> > > (a) more than 1 transferee will own the land other than under an approved shared equity scheme, and\n> > \n> > > (b) at least 1 transferee is an eligible transferee, and\n> > \n> > > (c) eligible transferees will own at least 50% of the land, and\n> > \n> > > (d) no transferee is a company, unless the Chief Commissioner is reasonably satisfied the transfer should be an eligible transfer despite the transferee being a company.\n> \n> **s 14:** Am 2023 No 4, Sch 2.","sortOrder":16},{"sectionNumber":"15","sectionType":"section","heading":"Residence requirement","content":"#### 15 Residence requirement\n\n15 Residence requirement\n\n> > (1) If an application to subject transferred land to property tax is approved by the Chief Commissioner, at least 1 first home buyer who is a transferee must occupy the transferred land as a principal place of residence for a continuous period of at least 6 months.\n> \n> > (2) The occupation must start within 12 months after the land is transferred.\n> \n> > (3) The Chief Commissioner may, if satisfied there are good reasons to do so—\n> > \n> > > (a) approve a shorter period of occupation by a first home buyer, or\n> > \n> > > (b) approve a later day on which occupation by a first home buyer must start, or\n> > \n> > > (c) exempt a first home buyer from the occupation requirement.\n> \n> > (4) The Chief Commissioner may give the approval or exemption even if—\n> > \n> > > (a) it is more than 12 months after the land is transferred, or\n> > \n> > > (b) the first home buyer no longer occupies the land as a principal place of residence.\n> \n> > (5) This section does not apply to transferred land that is vacant land if the Chief Commissioner is satisfied—\n> > \n> > > (a) the land is intended to be used as the site of a home, and\n> > \n> > > (b) the home will be occupied by a first home buyer as a principal place of residence.\n> \n> > (6) This section does not apply if at the time the application is made—\n> > \n> > > (a) at least 1 of the first home buyers is a member of the Permanent Forces of the Australian Defence Force, within the meaning of the [Defence Act 1903](http://www.legislation.gov.au/) of the Commonwealth, and\n> > \n> > > (b) each first home buyer is enrolled to vote in State elections under the [Electoral Act 2017](/view/html/inforce/current/act-2017-066).","sortOrder":17},{"sectionNumber":"Part 4","sectionType":"part","heading":"Opting in","content":"# Part 4 Opting in\n\nPart 4 Opting in","sortOrder":18},{"sectionNumber":"16","sectionType":"section","heading":"Making the application","content":"#### 16 Making the application\n\n16 Making the application\n\n> > (1) A transferee, including a trustee transferee, who is eligible to make an application to subject land to property tax may make the application to the Chief Commissioner.\n> \n> > (2) The application must be made—\n> > \n> > > (a) for an agreement for sale or transfer—before the transfer of the land, or\n> > \n> > > (b) otherwise—before the earlier of—\n> > > \n> > > > (i) the end of the duty default period, or\n> > > \n> > > > (ii) the time at which the instrument effecting the transfer is endorsed under the [Duties Act 1997](/view/html/inforce/current/act-1997-123), section 289.\n> \n> > (3) The application may be revoked by the applicant if the applicant makes an application to the Chief Commissioner for revocation before the land is transferred.\n> \n> > (4) An application under this section must be in a form approved by the Chief Commissioner.\n> \n> > (5) The Chief Commissioner may require an applicant to provide further information if the Chief Commissioner considers it necessary for the proper administration of this Act.\n> \n> > (6) The Chief Commissioner may impose the requirement at any time, including after the application has been approved.\n> \n> > (7) In this section—\n> > \n> > duty default period for a relevant transaction, means the period of 3 months after the liability to pay duty arises under the [Duties Act 1997](/view/html/inforce/current/act-1997-123) for the transaction.","sortOrder":19},{"sectionNumber":"17","sectionType":"section","heading":"Decision on application","content":"#### 17 Decision on application\n\n17 Decision on application\n\n> > (1) The Chief Commissioner must approve an application to subject transferred land to property tax if the Chief Commissioner is satisfied—\n> > \n> > > (a) the application is made in accordance with this Act, and\n> > \n> > > (b) if the application relates to an agreement for sale or transfer—the transfer will conform or substantially conform with the agreement, and\n> > \n> > > (c) if applicable, the residence requirement in section 15 will be satisfied.\n> \n> > (2) For this section, a transfer substantially conforms with an agreement for sale or transfer if—\n> > \n> > > (a) the transfer would be in conformity with the agreement if the transferee, or a trustee transferee, was the purchaser under the agreement, and\n> > \n> > > (b) the transfer occurs at the same time as, or proximately with, the settlement of the agreement, and\n> > \n> > > (c) at the time the agreement was entered into, and at the settlement of the agreement—\n> > > \n> > > > (i) the purchaser under the agreement, other than a purchaser who purchased as a trustee, and the transferee under the transfer were related persons, or\n> > > \n> > > > (ii) if the purchaser purchased as a trustee—the purchaser and the beneficiary were related persons.\n> \n> > (3) In this section—\n> > \n> > related person means an individual who is a related person within the meaning of the [Duties Act 1997](/view/html/inforce/current/act-1997-123).\n> > \n> > transfer does not include an agreement for sale or transfer.\n> > \n> > transferee does not include a purchaser.","sortOrder":20},{"sectionNumber":"18","sectionType":"section","heading":"Land subject to property tax if application approved","content":"#### 18 Land subject to property tax if application approved\n\n18 Land subject to property tax if application approved\n\n> > (1) If an application to subject transferred land to property tax is approved by the Chief Commissioner—\n> > \n> > > (a) on the transfer of the land—each eligible transferee becomes an included owner, other than an eligible transferee who is a beneficiary under an approved trust, in which case the trustee transferee becomes the included owner, and\n> > \n> > > (b) on the transfer of the land—the proportion of the transferred land owned by included owners becomes subject to property tax, and\n> > \n> > > (c) on the giving of the approval—the duty chargeable on the transfer is reduced by the proportion referred to in paragraph (b).\n> > > \n> > > Note—\n> > > \n> > > If the proportion of the transferred land owned by included owners is 100%, the transfer is exempt from duty under the [Duties Act 1997](/view/html/inforce/current/act-1997-123), Chapter 2.\n> \n> > (2) Duty chargeable on the transfer is payable only by the transferees who are not eligible transferees.\n> \n> > (3) If only a proportion of land is subject to property tax, the land may be referred to as hybrid land.","sortOrder":21},{"sectionNumber":"19","sectionType":"section","heading":"Land wrongly opted in","content":"#### 19 Land wrongly opted in\n\n19 Land wrongly opted in\n\n> > (1) An approval of the Chief Commissioner is void and is taken never to have been given for the purposes of this Act if the Chief Commissioner is satisfied—\n> > \n> > > (a) the transfer to which the approval relates is not in conformity or substantial conformity with the agreement for sale or transfer as required by section 17, or\n> > \n> > > (b) the residence requirement in section 15 has not been satisfied, or\n> > \n> > > (c) the approval would not have been given had the Chief Commissioner been aware of all relevant information.\n> \n> > (2) If the approval is void, duty is chargeable as if the application had never been made.\n> \n> > (3) Duty chargeable is a charge on the land transferred until the duty is paid.","sortOrder":22},{"sectionNumber":"Part 5","sectionType":"part","heading":"Liability for property tax","content":"# Part 5 Liability for property tax\n\nPart 5 Liability for property tax","sortOrder":23},{"sectionNumber":"20","sectionType":"section","heading":"Liability for property tax","content":"#### 20 Liability for property tax\n\n20 Liability for property tax\n\n> > (1) An included owner of land subject to property tax is liable to pay property tax on the land each financial year.\n> \n> > (2) If there is more than 1 included owner of the land, each included owner is jointly and severally liable to pay the property tax.\n> \n> > (3) The liability for a financial year arises at the start of the financial year.\n> \n> > (4) If land becomes subject to property tax during a financial year, the liability is only for the part of the financial year commencing when the land becomes subject to property tax.\n> \n> > (5) If land ceases to be subject to property tax during a financial year, the liability is only for the part of the financial year until the land ceases to be subject to property tax.","sortOrder":24},{"sectionNumber":"21","sectionType":"section","heading":"Amount of property tax depends on class of land use","content":"#### 21 Amount of property tax depends on class of land use\n\n21 Amount of property tax depends on class of land use\n\n> The amount of property tax payable on land depends on the class of land use of the land.","sortOrder":25},{"sectionNumber":"22","sectionType":"section","heading":"Classes of land use","content":"#### 22 Classes of land use\n\n22 Classes of land use\n\n> > (1) For the purposes of this Act, class of land use means—\n> > \n> > > (a) land that is owner-occupied, or\n> > \n> > > (b) land that is not owner-occupied.\n> \n> > (2) Schedule 1 sets out circumstances in which certain land—\n> > \n> > > (a) is treated as being a particular class of land use for the purposes of this Act, or\n> > \n> > > (b) is otherwise treated differently for the purposes of this Act.","sortOrder":26},{"sectionNumber":"23","sectionType":"section","heading":"Mixed use land","content":"#### 23 Mixed use land\n\n23 Mixed use land\n\n> > (1) The Chief Commissioner may approve parts of land being treated as if they were separate lots (deemed lots) for the purposes of this Act.\n> \n> > (2) An included owner of land may apply to the Chief Commissioner to have parts of the land treated as deemed lots if the parts have different classes of land use.\n> > \n> > Example—\n> > \n> > a residential flat building in which 1 flat is owner-occupied and the rest are leased out by the owner\n> \n> > (3) The Chief Commissioner may approve the application if the Chief Commissioner is satisfied each deemed lot is identifiable using—\n> > \n> > > (a) an apportionment factor recorded in the Register of Land Values for the land, or\n> > \n> > > (b) if no apportionment factor is recorded in the Register of Land Values for the land—an apportionment factor approved for the land by the Chief Commissioner taking into account—\n> > > \n> > > > (i) the floor space or land area used for each class of land use, and\n> > > \n> > > > (ii) other factors the Chief Commissioner considers relevant.\n> \n> > (4) If no apportionment factor is recorded in the Register of Land Values for the land—\n> > \n> > > (a) the Chief Commissioner may ask the Valuer-General to determine an apportionment factor for the land, and\n> > \n> > > (b) the Valuer-General must—\n> > > \n> > > > (i) determine the apportionment factor in accordance with the [Valuation of Land Act 1916](/view/html/inforce/current/act-1916-002), Part 1B, Division 5 or 5A, and\n> > > \n> > > > (ii) record the apportionment factor in the Register of Land Values.","sortOrder":27},{"sectionNumber":"24","sectionType":"section","heading":"Property tax amount—class of land use","content":"#### 24 Property tax amount—class of land use\n\n24 Property tax amount—class of land use\n\n> > (1) The property tax amount must be calculated as if land had a single class of land use for a financial year.\n> \n> > (2) The property tax amount for a class of land use for land for a financial year is—\n> > \n> > > (a) if subsection (5) applies—the property tax indexed amount for the class of land use for the land for the financial year, or\n> > \n> > > (b) otherwise—the lesser of the following—\n> > > \n> > > > (i) the property tax indexed amount for the class of land use for the land for the financial year, or\n> > > \n> > > > (ii) the property tax amount for the class of land use for the land for the previous financial year multiplied by 1.04.\n> \n> > (3) The property tax indexed amount for a class of land use for land for a financial year is calculated by adding the land value component for the class of land use for the land for the financial year to—\n> > \n> > > (a) for land that is owner-occupied—the fixed component for the financial year as set out in Schedule 2, section 1(1), or\n> > \n> > > (b) for land that is not owner-occupied—the fixed component for the financial year as set out in Schedule 2, section 1(2).\n> \n> > (4) The land value component for a class of land use for land for a financial year is calculated by multiplying—\n> > \n> > > (a) the land value of the land subject to property tax—\n> > > \n> > > > (i) at the beginning of the previous financial year, and\n> > > \n> > > > (ii) as if the proportion of the land subject to property tax were 100%, and\n> > \n> > > (b) the land value rate for the financial year, as set out in Schedule 2, section 2 for the class of land use.\n> \n> > (5) This subsection applies for the purposes of subsection (2)(a) if—\n> > \n> > > (a) the land was not subject to property tax in the previous financial year, or\n> > \n> > > (b) no included owner of the land was an included owner of the land in the previous financial year, or\n> > \n> > > (c) the land is a deemed lot under section 23 which has an apportionment factor that has been introduced or changed in the financial year or the previous financial year, or\n> > \n> > > (d) the class of land use of the land in the current financial year was not a class of land use of the land at any time in the previous financial year, or\n> > \n> > > (e) the land was consolidated with other land in the financial year or the previous financial year, or\n> > \n> > > (f) the land was subdivided in the financial year or the previous financial year.","sortOrder":28},{"sectionNumber":"25","sectionType":"section","heading":"Property tax payable","content":"#### 25 Property tax payable\n\n25 Property tax payable\n\n> > (1) If a single class of land use applies to land in a financial year—the property tax payable is the property tax amount for the class of land use for the land for the financial year.\n> \n> > (2) If more than 1 class of land use applies to land in a financial year—the property tax payable for the land for a financial year is calculated by—\n> > \n> > > (a) for each class of land use that applies—reducing the property tax amount for the class of land use for the land for the financial year proportionally to reflect the number of days in the financial year that the class of land use applied to the land, and\n> > \n> > > (b) adding together each amount calculated under paragraph (a) for each class of land use.\n> > \n> > Note—\n> > \n> > The property tax payable may be adjusted in certain circumstances. See, for example, sections 26–27.","sortOrder":29},{"sectionNumber":"26","sectionType":"section","heading":"Reduction in property tax if only proportion of land subject to property tax","content":"#### 26 Reduction in property tax if only proportion of land subject to property tax\n\n26 Reduction in property tax if only proportion of land subject to property tax\n\n> If only a proportion of land is subject to property tax, the property tax payable must be reduced proportionally.","sortOrder":30},{"sectionNumber":"27","sectionType":"section","heading":"Reduction in property tax for land subject to property tax for only part of year","content":"#### 27 Reduction in property tax for land subject to property tax for only part of year\n\n27 Reduction in property tax for land subject to property tax for only part of year\n\n> For land that becomes, or ceases to be, subject to property tax during a financial year, the property tax payable for the financial year must be reduced proportionally to reflect the number of days in the financial year for which the land is subject to property tax.","sortOrder":31},{"sectionNumber":"Part 6","sectionType":"part","heading":"Assessments and payment of property tax","content":"# Part 6 Assessments and payment of property tax\n\nPart 6 Assessments and payment of property tax","sortOrder":32},{"sectionNumber":"28","sectionType":"section","heading":"Issue of notice of assessment or reassessment","content":"#### 28 Issue of notice of assessment or reassessment\n\n28 Issue of notice of assessment or reassessment\n\n> > (1) The Chief Commissioner must give the included owner of land subject to property tax a notice of assessment of the property tax payable on land for a financial year as soon as practicable after—\n> > \n> > > (a) for land that becomes subject to property tax after the start of the financial year—the land becomes subject to property tax, or\n> > \n> > > (b) otherwise—the start of the financial year.\n> \n> > (2) The Chief Commissioner must give the included owner of land subject to property tax a notice of reassessment during a financial year as soon as practicable after the Chief Commissioner is notified of a change affecting the property tax payable, including—\n> > \n> > > (a) a change of land use class applying to the land, or\n> > \n> > > (b) a change in the value of the land, or\n> > \n> > > (c) a change in the proportion of the land subject to property tax.\n> \n> > (3) A reassessment may be made more than 5 years after the initial assessment.\n> > \n> > Note—\n> > \n> > See the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097), section 9(3)(c).\n> \n> > (4) Property tax is payable by the included owner of the land in accordance with the notice of assessment or reassessment.\n> \n> > (5) No payment of property tax is required earlier than 30 days after the notice is given to the included owner of the land.","sortOrder":33},{"sectionNumber":"29","sectionType":"section","heading":"Time for payment","content":"#### 29 Time for payment\n\n29 Time for payment\n\n> > (1) As far as practicable, a notice of assessment or reassessment must give an included owner of land subject to property tax an option of paying the property tax in a single instalment or in multiple approximately equal instalments.\n> \n> > (2) If a notice relating to a financial year is issued before 1 August in the financial year, it must provide as far as practicable for—\n> > \n> > > (a) a single annual instalment to be payable by 31 August in the financial year, or\n> > \n> > > (b) 4 quarterly instalments to be payable by 31 August, 30 November, 28 February and 31 May in the financial year.\n> \n> > (3) The Chief Commissioner may give reminder notices to included owners who are paying in more than 1 instalment about upcoming instalment payments.\n> \n> > (4) Failure to give a notice of assessment or reassessment or a reminder notice does not affect the liability of an included owner to pay property tax at the times set out in this section.","sortOrder":34},{"sectionNumber":"30","sectionType":"section","heading":"Included owner of land taken to have opted to pay in instalments","content":"#### 30 Included owner of land taken to have opted to pay in instalments\n\n30 Included owner of land taken to have opted to pay in instalments\n\n> The included owner of land subject to property tax is taken, for the purposes of this section, to have opted to pay property tax for a financial year in instalments, if—\n> \n> > (a) the notice of assessment has been given to the included owner for the land for the financial year, and\n> \n> > (b) the full amount of property tax payable for the financial year is not paid by the time specified in the notice for payment of the single instalment.","sortOrder":35},{"sectionNumber":"31","sectionType":"section","heading":"Unpaid property tax—tax default","content":"#### 31 Unpaid property tax—tax default\n\n31 Unpaid property tax—tax default\n\n> The included owner of land is taken to have committed a tax default for the purposes of the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097), Part 5 if an amount of property tax required to be paid under this Act by a particular time is not paid in full within that time.","sortOrder":36},{"sectionNumber":"Part 7","sectionType":"part","heading":"Deferral and recovery of unpaid property tax","content":"# Part 7 Deferral and recovery of unpaid property tax\n\nPart 7 Deferral and recovery of unpaid property tax","sortOrder":37},{"sectionNumber":"32","sectionType":"section","heading":"Definitions","content":"#### 32 Definitions\n\n32 Definitions\n\n> In this Part—\n> \n> basic living expenses means—\n> \n> > (a) reasonable expenses for food, shelter, clothing and medical treatment of the relevant individual and the dependants of the individual, and\n> \n> > (b) other expenses the Chief Commissioner considers to be basic living expenses.\n> \n> grounds for deferral means the grounds for deferral set out in section 33.","sortOrder":38},{"sectionNumber":"33","sectionType":"section","heading":"Grounds for deferral","content":"#### 33 Grounds for deferral\n\n33 Grounds for deferral\n\n> For land that is owner-occupied, there are grounds for deferral if the payment of the property tax would cause an individual to be unable to meet basic living expenses.","sortOrder":39},{"sectionNumber":"34","sectionType":"section","heading":"Applying for deferral of payment of property tax","content":"#### 34 Applying for deferral of payment of property tax\n\n34 Applying for deferral of payment of property tax\n\n> > (1) A person (the applicant) who is liable to pay property tax on land may apply to the Chief Commissioner to defer the payment of property tax on the land if there are grounds for deferral.\n> \n> > (2) The application must be in a form approved by the Chief Commissioner.\n> \n> > (3) The Chief Commissioner may, if satisfied grounds for deferral exist—\n> > \n> > > (a) approve the application, and\n> > \n> > > (b) defer some or all of the property tax payable for—\n> > > \n> > > > (i) a financial year, or\n> > > \n> > > > (ii) if satisfied the grounds for deferral will continue for more than a financial year—a longer period.\n> \n> > (4) The Chief Commissioner may make a deferral for more than a financial year subject to conditions the Chief Commissioner considers to be reasonable and appropriate.","sortOrder":40},{"sectionNumber":"35","sectionType":"section","heading":"Assessing grounds for deferral","content":"#### 35 Assessing grounds for deferral\n\n35 Assessing grounds for deferral\n\n> In making a decision about whether an individual can meet basic living expenses, the Chief Commissioner must consider the following—\n> \n> > (a) the income and expenses of the individual,\n> \n> > (b) whether the individual has disposed of assets since a property tax liability was previously deferred or since property tax became payable for the financial year,\n> \n> > (c) the ability of the individual to rearrange current financial commitments or otherwise manage the individual’s financial affairs,\n> \n> > (d) whether the individual’s ability to manage the individual’s financial affairs is impaired because of ill health, including a mental illness, intellectual disability or cognitive impairment,\n> \n> > (e) other matters the Chief Commissioner reasonably considers to be relevant.","sortOrder":41},{"sectionNumber":"36","sectionType":"section","heading":"Effect of deferral","content":"#### 36 Effect of deferral\n\n36 Effect of deferral\n\n> > (1) Unpaid property tax continues to be a charge on land even if the Chief Commissioner approves deferral of payment.\n> \n> > (2) Interest is payable on the deferred unpaid property tax.\n> \n> > (3) The rate of interest is the relevant interest rate set out in section 37.\n> \n> > (4) Unpaid property tax, the payment of which is deferred, is payable in the next financial year or at a later time specified by the Chief Commissioner unless—\n> > \n> > > (a) a further application to defer the payment is approved by the Chief Commissioner, or\n> > \n> > > (b) the Chief Commissioner specifies a later date for payment.","sortOrder":42},{"sectionNumber":"37","sectionType":"section","heading":"Relevant interest rate","content":"#### 37 Relevant interest rate\n\n37 Relevant interest rate\n\n> > (1) The relevant interest rate for a period is—\n> > \n> > > (a) the rate for the period specified by the Chief Commissioner by notice in the Gazette, or\n> > \n> > > (b) if no rate is specified for the period under paragraph (a)—the monthly NSW Treasury Corporation 10 year bond yield published by the Reserve Bank of Australia in the following months—\n> > > \n> > > > (i) 1 January–31 March in a year—the rate published for November in the preceding year,\n> > > \n> > > > (ii) 1 April–30 June in a year—the rate published for February in the same year,\n> > > \n> > > > (iii) 1 July–30 September in a year—the rate published for May in the same year,\n> > > \n> > > > (iv) 1 October–31 December in a year—the rate published for August in the same year.\n> \n> > (2) An amount under subsection (1)(b) must be—\n> > \n> > > (a) expressed as a percentage, and\n> > \n> > > (b) rounded to 2 decimal places with 0.005% being rounded up.","sortOrder":43},{"sectionNumber":"38","sectionType":"section","heading":"Recovery of unpaid amounts","content":"#### 38 Recovery of unpaid amounts\n\n38 Recovery of unpaid amounts\n\n> > (1) An amount of unpaid property tax is—\n> > \n> > > (a) a charge on the land, and\n> > \n> > > (b) the first charge on the land.\n> \n> > (2) The following are taken to be unpaid property tax for the purposes of this Act—\n> > \n> > > (a) unpaid interest on unpaid property tax,\n> > \n> > > (b) unpaid penalties imposed under the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097) in relation to property tax.\n> \n> > (3) A charge on land under this Act must be paid before the land is transferred.\n> \n> > (4) The maximum amount payable under the charge if the land is transferred is 75% of the dutiable value of the land.\n> \n> > (5) The Chief Commissioner must waive payment of that part of the charge that is more than 75% of the dutiable value of the land if the charge is only a charge on that land and no other land.","sortOrder":44},{"sectionNumber":"39","sectionType":"section","heading":"Transfer authorised with charge attached in certain circumstances","content":"#### 39 Transfer authorised with charge attached in certain circumstances\n\n39 Transfer authorised with charge attached in certain circumstances\n\n> > (1) The Chief Commissioner may authorise a transfer of land with the charge still attached if the Chief Commissioner is satisfied—\n> > \n> > > (a) the transfer is a relevant transfer, and\n> > \n> > > (b) the land is the principal place of residence of the transferee before the transfer, and\n> > \n> > > (c) circumstances of hardship would exist if the payment of property tax were not deferred.\n> \n> > (2) In this section—\n> > \n> > relevant transfer means—\n> > \n> > > (a) a transfer of land by the legal personal representative of a deceased person to a beneficiary if—\n> > > \n> > > > (i) the transfer is made in accordance with the trusts contained in the will of the deceased person, or\n> > > \n> > > > (ii) the transfer occurs as a result of intestacy, or\n> > \n> > > (b) a transfer of land that is matrimonial property or relationship property within the meaning of the [Duties Act 1997](/view/html/inforce/current/act-1997-123), section 68 to the following persons if the transfer would not be subject to duty under the section—\n> > > \n> > > > (i) a party to the marriage or relationship,\n> > > \n> > > > (ii) a child of the party,\n> > > \n> > > > (iii) a trustee of the child.","sortOrder":45},{"sectionNumber":"40","sectionType":"section","heading":"Person must not be required to sell principal place of residence","content":"#### 40 Person must not be required to sell principal place of residence\n\n40 Person must not be required to sell principal place of residence\n\n> The Chief Commissioner must not require a person who is liable to pay property tax to sell—\n> \n> > (a) land that is owner-occupied, or\n> \n> > (b) land subject to property tax if it is the only land owned by the person.","sortOrder":46},{"sectionNumber":"41","sectionType":"section","heading":"Functions of Hardship Review Board","content":"#### 41 Functions of Hardship Review Board\n\n41 Functions of Hardship Review Board\n\n> The Hardship Review Board may—\n> \n> > (a) conduct a review of a decision by the Chief Commissioner to defer, or refuse to defer, payment of property tax, and\n> \n> > (b) exercise its functions under the [State Debt Recovery Act 2018](/view/html/inforce/current/act-2018-011) and the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097) in relation to property tax.","sortOrder":47},{"sectionNumber":"Part 8","sectionType":"part","heading":"Transactions involving land subject to property tax","content":"# Part 8 Transactions involving land subject to property tax\n\nPart 8 Transactions involving land subject to property tax","sortOrder":48},{"sectionNumber":"42","sectionType":"section","heading":"Transfers of land subject to property tax","content":"#### 42 Transfers of land subject to property tax\n\n42 Transfers of land subject to property tax\n\n> Each of the following transactions of land subject to property tax is taken to be a transfer of the land to the person specified—\n> \n> > (a) a transfer of the land—the transferee,\n> \n> > (b) an agreement for the sale or transfer of land—the purchaser or transferee,\n> \n> > (c) a declaration of trust over the land—the person declaring the trust,\n> \n> > (d) a surrender of the land—the person to whom the land is surrendered,\n> \n> > (e) a vesting of the land because of the following—the person in whom the land is vested—\n> > \n> > > (i) an order of a court of an Australian or other jurisdiction,\n> > \n> > > (ii) legislation of an Australian or other jurisdiction.","sortOrder":49},{"sectionNumber":"43","sectionType":"section","heading":"Transfer of land subject to property tax—transferor not included owner","content":"#### 43 Transfer of land subject to property tax—transferor not included owner\n\n43 Transfer of land subject to property tax—transferor not included owner\n\n> > (1) For a transfer of land subject to property tax from a transferor who is not an included owner—\n> > \n> > > (a) if the transferee is already an included owner of the land—\n> > > \n> > > > (i) duty is not chargeable on the transaction, and\n> > > \n> > > > (ii) the land remains subject to property tax with the proportion subject to property tax being increased by the proportion of the land transferred, or\n> > \n> > > (b) if the transferee is not already an included owner of the land—\n> > > \n> > > > (i) duty is chargeable on the transaction, and\n> > > \n> > > > (ii) the land remains subject to property tax with the proportion subject to property tax being unchanged.\n> \n> > (2) The regulations may prescribe exceptions to this section.","sortOrder":50},{"sectionNumber":"44","sectionType":"section","heading":"Transfer of land subject to property tax—transferor included owner","content":"#### 44 Transfer of land subject to property tax—transferor included owner\n\n44 Transfer of land subject to property tax—transferor included owner\n\n> > (1) For a transfer involving land subject to property tax from a transferor who is an included owner—\n> > \n> > > (a) if the transferee is already an included owner of the land—\n> > > \n> > > > (i) duty is not chargeable on the transaction, and\n> > > \n> > > > (ii) the land remains subject to property tax with the proportion subject to property tax being unchanged, or\n> > \n> > > (b) if the transferee is not already an included owner of the land and each current included owner will no longer be an included owner of the land after the transaction—\n> > > \n> > > > (i) duty is chargeable on the transaction, and\n> > > \n> > > > (ii) the land ceases to be subject to property tax, or\n> > \n> > > (c) if the transferee is not already an included owner of the land and a current included owner will be an included owner of the land after the transaction—\n> > > \n> > > > (i) duty is chargeable on the transaction, and\n> > > \n> > > > (ii) the land remains subject to property tax with the proportion subject to property tax being the lesser of—\n> > > > \n> > > > > (A) the proportion of the land subject to property tax before the transaction, or\n> > > > \n> > > > > (B) the proportion of the land owned by included owners after the transaction.\n> \n> > (2) Sections 45 and 46 create exceptions to this section.\n> \n> > (3) The regulations may prescribe other exceptions to this section.","sortOrder":51},{"sectionNumber":"45","sectionType":"section","heading":"Exception—transfer to related person","content":"#### 45 Exception—transfer to related person\n\n45 Exception—transfer to related person\n\n> > (1) This section applies to a transfer of land from an included owner of land to a person who is not an included owner of the land if—\n> > \n> > > (a) the included owner and the person are related persons, and\n> > \n> > > (b) the duty that would be chargeable under the transaction is less than the general rate of duty chargeable under the [Duties Act 1997](/view/html/inforce/current/act-1997-123), section 32.\n> \n> > (2) No duty is chargeable on the transfer.\n> \n> > (3) The related person becomes an included owner.\n> \n> > (4) The land remains subject to property tax with the proportion subject to property tax being unchanged.\n> \n> > (5) This section does not apply to a transfer as a result of—\n> > \n> > > (a) the death of the included owner, or\n> > \n> > > (b) the break down of the included owner’s marriage or de facto relationship.\n> \n> > (6) In this section—\n> > \n> > related person has the same meaning as in the [Duties Act 1997](/view/html/inforce/current/act-1997-123).","sortOrder":52},{"sectionNumber":"46","sectionType":"section","heading":"Exception—transfer to spouse on death or break down of relationship","content":"#### 46 Exception—transfer to spouse on death or break down of relationship\n\n46 Exception—transfer to spouse on death or break down of relationship\n\n> > (1) This section applies to a transfer of land from an included owner—\n> > \n> > > (a) as a result of a relevant event for the included owner, and\n> > \n> > > (b) to a person (the former spouse) who was the spouse of the included owner immediately before the relevant event.\n> \n> > (2) No duty is chargeable on the transfer.\n> \n> > (3) The former spouse becomes an included owner.\n> \n> > (4) The land remains subject to property tax with the proportion subject to property tax being unchanged.\n> \n> > (5) In this section—\n> > \n> > eligible life estate has the same meaning as in section 8.\n> > \n> > relevant event, for an included owner, means—\n> > \n> > > (a) the death of the included owner, or\n> > \n> > > (b) the break down of the included owner’s marriage or de facto relationship.\n> > \n> > transfer of land includes the creation of an eligible life estate in the land.","sortOrder":53},{"sectionNumber":"47","sectionType":"section","heading":"Consolidation of land","content":"#### 47 Consolidation of land\n\n47 Consolidation of land\n\n> > (1) This section applies if land subject to property tax (property tax land) is consolidated with land not subject to property tax.\n> \n> > (2) The consolidated land is subject to property tax with the proportion subject to property tax being the proportion obtained by multiplying—\n> > \n> > > (a) the proportion of the property tax land subject to property tax, and\n> > \n> > > (b) the ratio of—\n> > > \n> > > > (i) the land value the property tax land would have had if the consolidation had not occurred, and\n> > > \n> > > > (ii) the land value of the consolidated land.\n> \n> > (3) For the purposes of this section the Chief Commissioner may use—\n> > \n> > > (a) the land value recorded in the Register of Land Values for the land, or\n> > \n> > > (b) if no land value is recorded in the Register of Land Values for the land—a land value for the land determined by the Chief Commissioner using—\n> > > \n> > > > (i) a method prescribed by the regulations, or\n> > > \n> > > > (ii) if no method is prescribed—a method the Chief Commissioner considers appropriate.\n> \n> > (4) If no land value is recorded in the Register of Land Values for the land—\n> > \n> > > (a) the Chief Commissioner may ask the Valuer-General to determine the land value for the land, and\n> > \n> > > (b) the Valuer-General must—\n> > > \n> > > > (i) determine the land value in accordance with the [Valuation of Land Act 1916](/view/html/inforce/current/act-1916-002), and\n> > > \n> > > > (ii) record the land value in the Register of Land Values.","sortOrder":54},{"sectionNumber":"48","sectionType":"section","heading":"Subdivision of land","content":"#### 48 Subdivision of land\n\n48 Subdivision of land\n\n> > (1) This section applies if land subject to property tax is subdivided.\n> \n> > (2) Each lot resulting from the subdivision is subject to property tax in the same proportion as the subdivided lot was subject to property tax.","sortOrder":55},{"sectionNumber":"Part 9","sectionType":"part","heading":"Miscellaneous","content":"# Part 9 Miscellaneous\n\nPart 9 Miscellaneous","sortOrder":56},{"sectionNumber":"49","sectionType":"section","heading":"Identification of land subject to property tax","content":"#### 49 Identification of land subject to property tax\n\n49 Identification of land subject to property tax\n\n> > (1) The Chief Commissioner must issue a certificate (a property tax status certificate) to a person, if the person—\n> > \n> > > (a) makes an application for the certificate in a form approved by the Chief Commissioner, and\n> > \n> > > (b) pays the fee, if any, prescribed by the regulations.\n> \n> > (2) The property tax status certificate must include—\n> > \n> > > (a) identification details for the land, and\n> > \n> > > (b) whether the land is subject to property tax, and\n> > \n> > > (c) if requested to do so in the application—the amount of unpaid property tax outstanding as a charge on the land, and\n> > \n> > > (d) other information prescribed by the regulations.\n> \n> > (3) A purchaser of land is entitled to rely on the accuracy of a property tax status certificate issued by the Chief Commissioner.\n> \n> > (4) The property tax status certificate may be included as part of another certificate or document issued by the Chief Commissioner.","sortOrder":57},{"sectionNumber":"50","sectionType":"section","heading":"Early release of charge on land","content":"#### 50 Early release of charge on land\n\n50 Early release of charge on land\n\n> The Chief Commissioner may release a charge imposed under this Act for the payment of unpaid property tax before the property tax is paid if the Chief Commissioner is satisfied the property tax will be paid.","sortOrder":58},{"sectionNumber":"51","sectionType":"section","heading":"Notification of change of land use","content":"#### 51 Notification of change of land use\n\n51 Notification of change of land use\n\n> > (1) Each included owner of land must ensure the Chief Commissioner is given notice of a change of use of land that will change the property tax payable on the land.\n> \n> > (2) The notice must be given in a form approved by the Chief Commissioner.\n> \n> > (3) The notice must be given within 3 months after the change of use.","sortOrder":59},{"sectionNumber":"52","sectionType":"section","heading":"Failure to give information","content":"#### 52 Failure to give information\n\n52 Failure to give information\n\n> > (1) A person liable for property tax who fails to give information as required by this Act or as reasonably required by the Chief Commissioner for the purposes of this Act is taken to have committed a tax default for the purposes of the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097), Part 5.\n> \n> > (2) For the tax default—\n> > \n> > > (a) the interest payable in accordance with that Part accrues on the amount of unpaid property tax for the relevant period, and\n> > \n> > > (b) penalty tax is payable in accordance with that Part on the amount of unpaid property tax.\n> \n> > (3) In this section—\n> > \n> > relevant period means the period—\n> > \n> > > (a) commencing on the last day permitted for giving the information, and\n> > \n> > > (b) ending on the earlier of—\n> > > \n> > > > (i) the day on which the information is given, or\n> > > \n> > > > (ii) the day on which the assessment calculated on the basis of the information is made, or\n> > > \n> > > > (iii) the day on which the property tax payable by the person is paid in full.","sortOrder":60},{"sectionNumber":"53","sectionType":"section","heading":"Act to bind Crown","content":"#### 53 Act to bind Crown\n\n53 Act to bind Crown\n\n> This Act binds the Crown in right of New South Wales and, to the extent the legislative power of the Parliament of New South Wales permits, the Crown in all its other capacities.","sortOrder":61},{"sectionNumber":"54","sectionType":"section","heading":"Regulations","content":"#### 54 Regulations\n\n54 Regulations\n\n> The Governor may make regulations, not inconsistent with this Act, about matters that by this Act are required or permitted to be prescribed or that is necessary or convenient to be prescribed for carrying out or giving effect to this Act.","sortOrder":62},{"sectionNumber":"55","sectionType":"section","heading":"Bills to increase property tax","content":"#### 55 Bills to increase property tax\n\n55 Bills to increase property tax\n\n> > (1) This section applies to a Bill that proposes to increase property tax above the indexed amounts set out in this Act when it was first made whether by amending this Act or otherwise.\n> \n> > (2) Parliament recognises ownership of land is a key part of many people’s financial security and that investment in land is a long-term investment.\n> \n> > (3) To enable people to properly calculate the costs of investing in land, Parliament recommends that property tax not be increased in the future above the indexed amounts set out in this Act when it is first made.\n> \n> > (4) The Bill must not be introduced into a House of Parliament unless notice of the proposed Bill is given in the House at least 30 sitting days before the Bill is introduced.\n> \n> > (5) Before the notice is given, the Minister proposing the Bill, must ensure—\n> > \n> > > (a) reasonable steps are taken to adequately notify members of the public and relevant organisations about the proposed increase of property tax, and\n> > \n> > > (b) members of the public and relevant organisations are given a reasonable opportunity to make written submissions to the Minister about the proposal.\n> \n> > (6) The Minister proposing the Bill must also ensure—\n> > \n> > > (a) a summary of the opinions expressed in the submissions is tabled in each House of Parliament with the notice referred to in subsection (4), and\n> > \n> > > (b) copies of all submissions are made available to members if requested.","sortOrder":63},{"sectionNumber":"56","sectionType":"section","heading":"Owners of land under Help to Buy arrangement","content":"#### 56 Owners of land under Help to Buy arrangement\n\n56 Owners of land under Help to Buy arrangement\n\n> > (1) For the purposes of assessing property tax on land purchased, or to be purchased, under a Help to Buy arrangement, no account is to be taken of an interest the Commonwealth or Housing Australia has, or will have, in the land.\n> \n> > (2) In this section—\n> > \n> > Help to Buy arrangement has the same meaning as in the [Help to Buy Act 2024](http://www.legislation.gov.au/) of the Commonwealth.\n> > \n> > Housing Australia has the same meaning as in the [Housing Australia Act 2018](http://www.legislation.gov.au/) of the Commonwealth.\n> \n> **s 56:** Ins 2025 No 31, Sch 1.5.","sortOrder":64},{"sectionNumber":"Schedule 1","sectionType":"schedule","heading":"Special treatment of certain land","content":"# Schedule 1 Special treatment of certain land\n\nSchedule 1 Special treatment of certain land\n\nsection 22","sortOrder":65},{"sectionNumber":"Schedule 2","sectionType":"schedule","heading":"Calculating property tax","content":"# Schedule 2 Calculating property tax\n\nSchedule 2 Calculating property tax\n\nsection 24\n\n**sch 2:** Am 2023 No 18, Sch 7\\[1\\].","sortOrder":77},{"sectionNumber":"Schedule 3","sectionType":"schedule","heading":"Meaning of owner-occupied","content":"# Schedule 3 Meaning of owner-occupied\n\nSchedule 3 Meaning of owner-occupied","sortOrder":83},{"sectionNumber":"Schedule 4","sectionType":"schedule","heading":"Savings, transitional and other provisions","content":"# Schedule 4 Savings, transitional and other provisions\n\nSchedule 4 Savings, transitional and other provisions","sortOrder":92},{"sectionNumber":"Schedule 5","sectionType":"schedule","heading":null,"content":"# Schedule 5\n\nSchedule 5 (Repealed)\n\n**sch 5:** Rep 1987 No 15, sec 30C.","sortOrder":98},{"sectionNumber":"Schedule 6","sectionType":"schedule","heading":"Dictionary","content":"# Schedule 6 Dictionary\n\nSchedule 6 Dictionary\n\nsection 3\n\napproved shared equity scheme has the same meaning as in the [Duties Act 1997](/view/html/inforce/current/act-1997-123).\n\napproved trust—see section 10.\n\nbasic living expenses, for Part 7—see section 32.\n\nbreak down of a person’s marriage or de facto relationship means—\n\n> (a) a de facto relationship between the person and the person’s spouse breaking down, or\n\n> (b) a marriage between the person and the person’s spouse—\n> \n> > (i) being dissolved, or\n> \n> > (ii) being annulled, or\n> \n> > (iii) breaking down irretrievably.\n\nChief Commissioner means the Chief Commissioner of State Revenue under the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097).\n\nclass of land use—see section 22.\n\ncompany has the same meaning as in the [Land Tax Management Act 1956](/view/html/inforce/current/act-1956-026).\n\nduty means duty under the [Duties Act 1997](/view/html/inforce/current/act-1997-123), Chapter 2.\n\ndutiable value has the same meaning as in the [Duties Act 1997](/view/html/inforce/current/act-1997-123).\n\neligible transfer—see section 14(1).\n\neligible transferee—see section 13(1).\n\nexcluded residence means the following residences if located on the same lot as the lot used and occupied by the owner of the lot for residential purposes—\n\n> (a) 1 room,\n\n> (b) 1 suite of rooms,\n\n> (c) 1 flat,\n\n> (d) 1 suite of rooms and 1 room,\n\n> (e) 1 flat and 1 room,\n\n> (f) 2 rooms that are separately occupied.\n\nexclusive land use entitlement—see section 7(4).\n\nfamily—see Schedule 3, section 7.\n\nfinancial year means a year ending on 30 June.\n\nfirst home buyer—see section 5.\n\ngrounds for deferral, for Part 7—see section 32.\n\nhybrid land—see section 18(3).\n\nincluded owner—see section 18.\n\nincluded owner, for Schedule 1—see Schedule 1, section 1.\n\nincluded owner, for Schedule 3—see Schedule 3, section 1.\n\nland—see section 6.\n\nland-related costs, for Schedule 1, Part 1—see Schedule 1, section 1.\n\nland value of land for a financial year means the value entered in the Register as the land value of the land as at 1 July in the previous financial year.\n\nowner of land—see section 8.\n\nowner-occupied—see Schedule 3, section 2.\n\nprincipal place of residence—see Schedule 3, section 3.\n\nRegister of Land Values means the Register of Land Values under the [Valuation of Land Act 1916](/view/html/inforce/current/act-1916-002).\n\nresidential land—see section 9.\n\nspouse—see Schedule 3, section 8.\n\nstrata-type lot—see section 6.\n\nsuite of rooms means a suite of rooms—\n\n> (a) that is not a flat, and\n\n> (b) where all occupants of the suite are entitled to occupy all the rooms.\n\ntransfer includes an agreement for sale or transfer.\n\ntransferee—see section 11.\n\ntrustee transferee—see section 11.\n\nunpaid property tax—see section 38(2).\n\nutility lot means a lot designed to be used primarily for storage or accommodation of boats, motor vehicles or goods and not for human occupation as a residence, office, shop or similar.\n\nvacant land has the same meaning as in the [Duties Act 1997](/view/html/inforce/current/act-1997-123), section 25.\n\n**sch 6:** Am 2023 No 18, Sch 7\\[2\\].","sortOrder":99}],"analysis":{"kimi_summary":{"content_quality":"ok","complexity_score":7,"scope_assessment":{"changed":false,"description":"The legislation appears to remain within its original scope as a first home buyer assistance scheme with an opt-in property tax alternative to stamp duty. The 2025 amendment (section 56) regarding Help to Buy arrangements is a natural extension of the existing shared equity framework rather than a significant expansion beyond the original purpose. The core mechanics — eligibility criteria, tax calculation methodology, and transaction rules — remain consistent with the original 2022 enactment."},"complexity_factors":["Extensive cross-referencing with at least 8 other Acts including the Duties Act 1997, Taxation Administration Act 1996, Land Tax Management Act 1956, and Valuation of Land Act 1916","47+ defined terms in Schedule 6 Dictionary plus additional local definitions within individual sections","Nested conditional logic in eligibility criteria — section 13 has multiple tiers of eligibility (eligible first home buyer vs first home buyer vs approved shared equity schemes)","Complex mathematical formulas for tax calculation in Schedule 2 involving indexation factors, Gross State Product calculations, and land value indexation","Multiple exceptions to general rules in Part 8 (transactions) with sections 45 and 46 creating specific carve-outs for related persons and spousal transfers","Layered definitions of 'owner-occupied' requiring analysis of principal place of residence, family membership, business use restrictions, and lot consolidation rules across Schedule 3","Hybrid land concept (section 18(3)) where only portions of property may be subject to the tax, requiring proportional calculations","Deferred payment mechanics in Part 7 with interest calculations tied to NSW Treasury Corporation bond yields and Hardship Review Board oversight","Temporal limitations and transitional provisions in Schedule 4 creating different rules for different time periods","Recent amendment (section 56, inserted 2025) adding Help to Buy scheme interactions with Commonwealth legislation"],"plain_english_summary":"**What this law does:**\n\nThis Act creates a new way for first home buyers in New South Wales to pay tax on their property. Instead of paying a large upfront **stamp duty** (a one-off tax when you buy property), eligible first home buyers can choose to pay a smaller annual **property tax** instead.\n\n**Who it affects:**\n\n*   **First home buyers** who meet strict eligibility criteria — they must be Australian citizens or permanent residents, at least 18 years old (usually), and never have owned residential property in Australia before.\n*   Their **spouses or partners** must also meet the same property ownership rules.\n*   The scheme applies to residential land worth up to **$1.5 million** (or vacant land up to **$800,000**).\n\n**How it works:**\n\n*   Buyers **opt in** by applying to the Chief Commissioner of State Revenue before completing their purchase.\n*   If approved, they pay **no stamp duty** (or reduced duty if buying with others who don't qualify).\n*   Instead, they pay an annual property tax based on the **land value** — a fixed amount plus a percentage of the land's value.\n*   The tax is lower if the owner lives in the home (**owner-occupied**) versus renting it out.\n*   The tax stays with the land until it's sold to someone outside the scheme, creating a **charge** (like a debt secured against the property) that must be paid when the property is transferred.\n\n**Why it matters:**\n\nThis gives first home buyers an alternative to the \"barrier to entry\" of large upfront stamp duty costs, potentially making it easier to enter the housing market. However, it creates an ongoing annual cost that continues as long as the buyer owns the property, and the tax liability can be **deferred** (postponed) in cases of financial hardship, though interest accrues.\n\n**Key protections:**\n\n*   Buyers must live in the home for at least **6 months** within the first year (with exceptions for Defence Force members and certain hardship cases).\n*   The law includes complex rules for what happens when property is sold, transferred to family members, or consolidated/subdivided.\n*   Future governments face procedural hurdles if they want to increase the tax rates above indexed amounts."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"issue_detection":{"absurdities":[],"contradictions":[]},"summary":{"complexity_score":5,"scope_assessment":{"changed":true,"description":"The existence of four separate amendment versions between 2022 and 2025 strongly suggests the scope or operation of the scheme has changed from its original intent. Most notably, the NSW government that succeeded the one that introduced this scheme signalled a desire to wind back or modify the opt-in property tax model, and the December 2025 amendments likely reflect further adjustments to eligibility, pricing thresholds, or the availability of the scheme itself."},"complexity_factors":["Multiple amendments across different dates (2023 and 2025) mean the current rules may differ substantially from the original law, requiring readers to track changes","The choice mechanism between two different tax regimes (stamp duty vs annual property tax) involves understanding two separate taxation frameworks","Eligibility thresholds and property price caps require cross-referencing with regulations and other legislation","Interaction with existing stamp duty legislation and first home buyer grant schemes adds layering","The ongoing annual tax obligation creates long-term implications that buyers must understand before choosing, including what happens when the property is sold or transferred","Limited substantive content is visible in the provided text — the actual operative provisions (eligibility, rates, thresholds) are not displayed, reducing the ability to fully assess complexity"],"plain_english_summary":"This NSW law let eligible first home buyers choose to replace the large, one‑off stamp duty payment with a smaller annual property tax based on land value, easing the upfront cost of buying a first home.\n\nIt aimed to help people get into the market sooner, but the scheme has been amended several times — check current rules before relying on the original settings."},"flash_summary":{"complexity_score":7,"scope_assessment":{"changed":false,"description":"The Act establishes a new, optional property-tax pathway for qualifying first-home buyers and specifies detailed eligibility, calculation, recovery and transitional rules. The text contains no express indication that the legislated scope was altered from any prior stated intent; eligibility windows and transitional provisions (s14(1)(f), Sch 4 Pt 2) limit which transfers may opt in."},"complexity_factors":["Extensive defined terms and cross-references to other Acts (Duties Act 1997, Taxation Administration Act 1996, Valuation of Land Act 1916) (see Dictionary, ss4, sch6).","Multiple eligibility rules and exceptions for transferees and transfers (first-home buyer tests, eligible transferees, price caps and time limits) (ss5,13–14).","Chief Commissioner discretion across approvals, waivers, apportionments and exemptions (ss5(5),16(5)–(6),23,24(5),50).","Complex tax calculation and indexation formulas tied to Gross State Product per capita and land-value indexes (Sch 2 ss1–4).","Mixed-use and apportionment rules requiring deemed lots, Valuer‑General input and Register of Land Values data (ss23–24,47, Sch 2 s4).","Transaction and transfer rules with multiple exceptions (related persons, death/relationship breakdown, consolidations and subdivisions) creating numerous practical edge cases (ss42–48,45–46).","Administrative and compliance burdens: application forms, timing constraints, notices of assessment, obligations to notify change of use, and potential tax-default penalties (ss16–17,28–31,51–52).","Deferral regime with means-testing, interest rate setting and charge-on-land with caps and waiver powers (ss33–38).","Transitional and savings provisions that affect eligibility windows and retrospective application during a transitional period (Sch 4 Pt 2 ss2–3)."],"plain_english_summary":"Mechanically, the Act allows eligible first-home buyers to opt for an ongoing annual property tax on purchased residential land instead of paying transfer duty; the Chief Commissioner approves applications and calculates tax from fixed and land‑value components indexed to economic and valuation measures (s16, s24, Sch 2). It applies to buyers and transfers that meet age, prior-ownership, citizenship/residency, price and residence tests, and provides for deferrals, interest, charges on land and recovery processes (ss5,14,15,33–38)."}},"importantCases":[],"_links":{"self":"/api/acts/property-tax-first-home-buyer-choice-act-2022","history":"/api/acts/property-tax-first-home-buyer-choice-act-2022/history","analysis":"/api/acts/property-tax-first-home-buyer-choice-act-2022/analysis","conflicts":"/api/acts/property-tax-first-home-buyer-choice-act-2022/conflicts","importantCases":"/api/acts/property-tax-first-home-buyer-choice-act-2022/important-cases","documents":"/api/acts/property-tax-first-home-buyer-choice-act-2022/documents"}}