LAND RENT ACT 2008 - SECT 16 Pre-1 October 2013 lease—loss of eligibility for discount for other

LAND RENT ACT 2008 - SECT 16

    (1)     This section applies—

        (a)     to a land rent lease first granted under a contract entered into before 1 October 2013; and

        (b)     if a lessee under the lease, who was previously eligible to pay discounted land rent for a year, becomes ineligible for the discount because—

              (i)     the lessee, or any of the lessees, becomes the owner of other real property; or

              (ii)     if a certificate of occupancy is issued for the lease—all the lessees stop living on the parcel of land under the lease.

    (2)     The lessee is taken to become ineligible for the discount on the 1st day of the 1st quarter after the circumstance in subsection (1) (a) or (b) happens.

    (3)     The land rent payable by the lessee for the land rent lease is, on and from the day the lessee becomes ineligible for the discount, the lesser of—

        (a)     the standard percentage of the unimproved value of the parcel of land under the lease; and

        (b)     the amount worked out as follows:

Note 1     Discount percentage and standard percentage are defined in the dictionary.

Note 2     Section 30 (Land rent—discount for part of year) applies if the lessee is eligible for a discount for only part of a year.

    (4)     In this section:

"discounted land rent payable for the year" means the discounted land rent that would have been payable for the lease if it had been a land rent lease, leased to the lessee, for the whole of the year.