Victorian Consolidated Legislation

Land Tax Act 2005 - SECT 59

Purchase of new principal residence

59. Purchase of new principal residence



(1) If a person-

   (a)  becomes the owner of land in a year for use and occupation as his or
        her principal place of residence; and

   (b)  as at 31 December in that year uses and occupies other land as his or
        her principal place of residence-

the land referred to in paragraph (a) is exempt land for the following year.
Note In this situation, the land referred to in paragraph (b) will be exempt
land in the circumstances set out in section 54(1)(a).

(2) If a trustee-

   (a)  becomes the owner of land in a year for use and occupation as the
        principal place of residence of a beneficiary under the trust; and

   (b)  as at 31 December in that year the beneficiary uses and occupies other
        land as his or her principal place of residence-

the land referred to in paragraph (a) is exempt land for the following year.
Note In this situation, the land referred to in paragraph (b) will be exempt
land in the circumstances set out in section 54(1)(b).

(3) An exemption under subsection (1) or (2) is revoked if the owner or
beneficiary does not continuously use and occupy the land as his or her
principal place of residence for at least 6 months, commencing within 12
months after the date on which the owner or trustee became the owner of the
land.

(4) The Commissioner may assess the land tax payable by the owner or trustee
in the circumstances referred to in subsection (3).