| What is a landholder? | How landholder duty is assessed | Value of a landholder |
|---|---|---|
| A landholder is any corporation or unit trust scheme that has an entitlement, either directly or through a linked entity, to land assets in WA with an unencumbered value of $2 million or more. | Landholder duty is assessed at the general rate of duty on the value of the acquirer’s interest in the landholder (based on the value of the landholder) immediately after the acquisition. | The value of the landholder includes all land assets and chattels held by the landholder and a proportional value of these held by any linked entities. |
Land assets include land, mining tenements, derivative mining rights and things fixed to land. An acquisition is subject to landholder duty if:
- it is an acquisition of a significant interest which is:
- a 90% or greater interest in a landholder that is listed on the ASX or other prescribed financial market or Â
- a 50% interest in a landholder that is not listed on the ASX or other prescribed financial market.
- a person who has a significant interest acquires a further interest.
See information about linked entities in section 156 of the Duties Act 2008 and Commissioner's Practice DA 41 'Landholder Duty - Extent of Interest in Discretionary Trust'.
A person liable for landholder duty may also be required to pay foreign landholder duty.
Apply for an exemption from landholder duty for:
- transfer of shares in a family farming corporation
- acquisitions for charitable purposes
- landholder acquisitions between connected entities
Lodgment
Show moreYou must lodge a landholder acquisition statement or copy of an agreement for the acquisition within two months after the acquisition occurs, along with the information in the duties information requirements.
An acquisition occurs:
- when any agreement for the acquisition is made or
- if there is no agreement, when the share or unit register of the landholder is updated.
Apply to lodge periodical statements if you have a significant interest in a landholder and will regularly be acquiring further interests.
Valuation
Show moreLandholder transactions may require valuation before an assessment can be issued. See information about valuing land for duties purposes.
In some cases we will request that the provide a valuation of land (including mining tenements).
For more complex transactions, we will usually require the taxpayer to provide a written valuation of land. If you need to provide a written valuation and fail to do so, we may apply penalty tax and recover from you the costs of obtaining our own valuation.
In certain circumstances the Commissioner may consider making an interim assessment or a compromise assessment of the amount of duty to be paid. A complete assessment will be made following an interim assessment.
