South Australian Consolidated Acts South Australian Consolidated Acts5—Exemption or partial exemption of certain land from land tax
(1) Land is wholly
exempt from land tax under this section if—
(a)
proper grounds for the exemption exist; and
(b) such
an exemption has been granted, and remains in force, under this section.
(2) Land is partially
exempt from land tax under this section if—
(a)
proper grounds for the partial exemption exist; and
(b) a
partial exemption has been granted, and remains in force, under this section.
(3) An owner of land
may apply, in a form approved by the Commissioner, for an exemption or partial
exemption from land tax.
(4) A person must not
make any false or misleading statement or representation in an application
made, or purporting to be made, under subsection (3).
Maximum penalty: $10 000.
(5) The Commissioner
may, if satisfied that proper grounds exist for doing so, wholly or partially
exempt land from land tax (whether or not an application for exemption has
been made).
(6) The Commissioner
must, on exempting land wholly or partially from land tax under this section,
give notice to an owner of the land—
(a)
stating the day (which may be antecedent or subsequent to the date on which
the exemption is granted) as from which the exemption is to be effective; and
(b)
stating the extent of the exemption; and
(c)
setting out the grounds on which the exemption is granted.
(7) If the factual
basis of an exemption as stated in a notice under subsection (6) is wrong
or inaccurate, the owner to whom the notice is given must, within 21 days
after receipt of the notice, notify the Commissioner of the error or
inaccuracy.
Maximum penalty: $5 000.
Expiation fee: $315.
(8) If—
(a) land
is exempted wholly or partially from land tax under this section; and
(b)
circumstances change so that—
(i)
proper grounds for an exemption cease to exist; or
(ii)
proper grounds for an exemption continue to exist but a
lesser exemption than the one actually given,
the owner must forthwith inform the Commissioner in writing of that fact and,
whether or not the Commissioner is so informed, the land will cease to be
exempt from land tax, or the extent of the exemption will be reduced (as the
case requires).
(9) An owner of land
who fails to comply with an obligation under subsection (8) is guilty of
an offence.
Maximum penalty: $5 000.
Expiation fee: $315.
(10) Proper grounds
for exempting land from land tax under this section exist as follows:
(a) land
may be wholly exempted from land tax if—
(i)
the land is owned by a natural person and constitutes his
or her principal place of residence (whether or not he or she is the sole
owner of the land); and
(ii)
the buildings on the land have a predominantly
residential character; and
(iii)
no part of the land is used for a business or commercial
purpose (other than the business of primary production) or the part of the
land so used is less than 25% of the total floor area of all buildings on the
land;
(b) land
may be partially exempted from land tax by reducing its taxable value in
accordance with the scale prescribed in subsection (12) if—
(i)
the land is owned by a natural person and constitutes his
or her principal place of residence (whether or not he or she is the sole
owner of the land); and
(ii)
the buildings on the land have a predominantly
residential character; and
(iii)
a part of the land of 25% or more but not more than 75%
of the total floor area of all buildings on the land is used for a business or
commercial purpose;
(c) land
may be wholly exempted from land tax if the land is a supported residential
facility within the meaning of the Supported Residential
Facilities Act 1992 and is licensed as such under that Act;
(d) land
may be wholly exempted from land tax if the land constitutes a caravan park;
(e) land
within a retirement village may be exempted from land tax if—
(i)
the land constitutes a residential unit—
(A) occupied, under a residence contract,
by a natural person as his or her principal place of residence; or
(B) available for occupation, under a
residence contract, by a natural person as his or her principal place of
residence and likely to be so occupied at some time during the ensuing
12 months; or
(ii)
the land is appurtenant to such a residential unit; or
(iii)
the land is a facility provided under the
retirement village scheme for the exclusive use of residents (and their
guests);
(f) land
within a retired persons' relocatable home park may be exempted from land tax
if—
(i)
the land constitutes the site for a relocatable home
and—
(A) there is a relocatable home on the site
owned by a natural person and occupied by the natural person as his or her
principal place of residence; or
(B) it is likely that within the ensuing
12 months there will be a relocatable home on the site owned by a natural
person and occupied by the natural person as his or her principal place of
residence; or
(ii)
the land is appurtenant to such a site; or
(iii)
the land is a facility provided by the owner of the land
for the exclusive use of residents (and their guests);
(g)
land used for primary production that is situated within a defined rural area
may be wholly exempted from land tax if—
(i)
the sole owner is a natural person who is engaged on a
substantially full-time basis (either on his or her own behalf or as an
employee) in a relevant business; or
(ii)
the land is owned jointly or in common by 2 or more
natural persons at least 1 of whom is engaged on a substantially full-time
basis (either on his or her own behalf or as an employee) in a
relevant business and any other owner who is not so engaged is a relative of
an owner so engaged; or
(iii)
the land is owned solely, jointly or in common by a
retired person and the following conditions are satisfied:
(A) the retired person was, prior to his or
her retirement, engaged on a substantially full-time basis (either on his or
her own behalf or as an employee) in a relevant business; and
(B) the co-owner or co-owners of the land
(if any) are relatives of the retired person; and
(C) a close relative of the retired person
is currently engaged on a substantially full-time basis (either on his or her
own behalf or as an employee) in a relevant business; or
(iv)
the land is owned solely or by tenancy in common by the
executor of the will, or the administrator of the estate, of a deceased person
and the following conditions are satisfied:
(A) the deceased person was, prior to his
or her death, engaged on a substantially full-time basis (either on his or her
own behalf or as an employee) in a relevant business; and
(B) the co-owner or co-owners of the land
(if any) are relatives of the deceased person; and
(C) a close relative of the deceased person
is currently engaged on a substantially full-time basis (either on his or her
own behalf or as an employee) in a relevant business; or
(v)
the land is owned by a company, or by 2 or more
companies, or by a company or companies and 1 or more natural persons, and the
main business of each owner is a relevant business; or
(vi)
the land is owned by a company and 1 of the following
conditions is satisfied:
(A) a natural person owns a majority of the
issued shares of the company and is engaged on a substantially full-time basis
(either on his or her own behalf or as an employee) in a relevant business;
(B) 2 or more natural persons own in
aggregate a majority of the issued shares of the company and each of them is
engaged on a substantially full-time basis (either on his or her own behalf or
as an employee) in a relevant business;
(C) 2 or more natural persons who are
relatives own in aggregate a majority of the issued shares of the company and
at least 1 of them is engaged on a substantially full-time basis (either on
his or her own behalf or as an employee) in a relevant business.
(11) The regulations
may, however, prescribe additional criteria that must be satisfied if land is
to be eligible to be exempted wholly or partially from land tax under
subsection (10).
(12) The scale for
partial exemption from land tax under subsection (10)(b) is as follows:
(13) In this
section—
"close personal relationship" means the relationship between 2 adult
persons (whether or not related by family and irrespective of their gender)
who live together as a couple on a genuine domestic basis, but does not
include—
(a) the
relationship between a legally married couple; or
(b) a
relationship where 1 of the persons provides the other with domestic support
or personal care (or both) for fee or reward, or on behalf of some other
person or an organisation of whatever kind;
Note—
Two persons may live together as a couple on a genuine domestic basis whether
or not a sexual relationship exists, or has ever existed, between them.
"close relative"—a person is a close relative of another if—
(a) they
are spouses or domestic partners; or
(b) one
is a parent or child of the other; or
(c) one
is a brother or sister of the other;
"domestic partner"—a person is the domestic partner of a person if he or
she lives with the person in a close personal relationship;
"relative"—a person is a relative of another if—
(a) they
are spouses or domestic partners; or
(b) one
is an ascendant or descendant of the other, or of the other's spouse or
domestic partner; or
(c) one
is a brother or sister of the other or a brother or sister of the other's
spouse or domestic partner; or
(d) one
is an ascendant or descendant of a brother or sister of the other or of the
other's spouse or domestic partner;
"relevant business"—a business is a relevant business in relation to
land used for primary production that is situated within a defined rural area
if—
(a) the
business is a business of primary production of the type for which the land is
used or a business of processing or marketing primary produce; and
(b) the
land or produce of the land is used to a significant extent for the purposes
of that business;
"relocatable home" means a residence that is capable of being moved (in 1 or
more sections) from site to site but does not include a caravan, motor home or
other moveable structure that can be registered under the Motor
Vehicles Act 1959 ;
"retired persons' relocatable home park" means land comprising home
sites—
(a) that
are used (or to be used) for the purpose of establishing 2 or more
relocatable homes; and
(b) over
which rights of occupation for that purpose are granted, by lease or licence,
predominantly to persons who are over the age of 55 years and have
retired from full-time employment;
"spouse"—a person is the spouse of another if they are legally married.