Land tax is calculated by applying a progressive rate structure to the combined (aggregated) site value of land held by an owner at the relevant date of assessment.

These terms are explained in further detail below:

Relevant date of assessment

Land tax is levied each financial year with the payment the responsibility of the owner of the land as at midnight on 30 June immediately before the financial year the tax is levied for.

Valuations of land

The site value for land tax purposes is determined by the Valuer-General under the Valuation of Land Act 1971. The value as at midnight on 30 June immediately before the financial year the tax is levied for is applied for the purpose of calculating land tax.

Site value

The meaning of site value is defined in the Valuation of Land Act 1971. In broad terms, it is the value of the land excluding the value of any buildings or other improvements.

Site values are determined on an annual basis by the Valuer-General as part of a general valuation and each new valuation comes into force from 1 July to 30 June of a financial year, then it is superseded by a new valuation coming into force for the following 1 July.

Under the Valuation of Land Act 1971, the Valuer-General may make a separate valuation of any portion of any land or may value a number of portions of land as one.

Enquiries in relation to the valuation of land should be directed to the Office of the Valuer-General on 1300 653 346.

Any taxpayer who disagrees with the valuation of their land for the current financial year has the right to formally object to the Valuer-General.

See the Objections section for more information.

Taxpayers who received a Land Tax Assessment for the 2020-21 and/or 2021-22 financial year(s) after 1 July 2022, may send a request to RevenueSA for a review the site value no longer in force.

See the Request review of site value no longer in force section for more information.

Rates of land tax

Once an owner’s combined (aggregated) land value is determined, land tax is calculated using a progressive rate structure.

There are 2 rate scales of land tax: general and trusts.

The rates of land tax effective as at midnight on 30 June 2022 for the 2022-23 financial year are as follows:

General rates

Taxable value of land subject to tax

Amount of Tax

Does not exceed $534,000

Nil

Exceeds $534,000 but not $858,000

$0.50 for every $100 or part of $100 above $534,000

Exceeds $858,000 but not $1,249,000

$1,620 plus $1.00 for every $100 or part of $100 above $858,000

Exceeds $1,249,000 but not $2,000,000

$5,530 plus $2.00 for every $100 or part of $100 above $1,249,000

Exceeds $2,000,000

$20,550 plus $2.40 for every $100 or part of $100 above $2,000,000

Trust rates

Total Taxable Site Value

Amount of Tax

Does not exceed $25,000

Nil

Exceeds $25,000 but not $534,000

$125 plus $0.50 for every $100 or part of $100 above $25,000

Exceeds $534,000 but not $858,000

$2,670 plus $1.00 for every $100 or part of $100 above $534,000

Exceeds $858,000 but not $1,249,000

$5,910 plus $1.50 for every $100 or part of $100 above $858,000

Exceeds $1,249,000 but not $2,000,000

$11,775 plus $2.40 for every $100 or part of $100 above $1,249,000

Exceeds $2,000,000

$29,799 plus $2.40 for every $100 or part of $100 above $2,000,000

Aggregation of site value

The site values of all taxable land in an ownership will be combined (aggregated) and land tax will be assessed on the total taxable value. The land tax will then be apportioned (or allocated) to each taxable parcel of land in the ownership.

See the apportionment of land tax to individual parcels of land section for more information.

This is also the case for land held on behalf of the same trust. Exempt land is not included in the combined (aggregated) total.

Assessment of land tax

For taxpayers who only own land in one ownership

Where an owner solely owns more than one piece of land, the taxable value of all land owned by the same owner is combined (aggregated) for the calculation of land tax.

Example 1

Poppy owns 3 separate parcels of land valued at $150,000, $100,000 and $420,000 as at midnight on 30 June.

Poppy does not own any other land.

Poppy would pay land tax for the following financial year based on the combined (aggregate) value.

Land A$150,000
Land B$100,000
Land C$420,000
Total taxable site value$670,000

Land tax payable on $670,000 = $680.00 (calculated using the 2022-23 financial year general rates).

See the How is land tax assessed page for more information.

For taxpayers who own land jointly with others

Stage 1: Assessed in joint ownership

The taxable site values of all land within the joint ownership will be combined (aggregated) for the calculation of land tax.

A Land Tax Assessment will only be issued for the joint ownership if the total taxable site value is above the taxable threshold.

Stage 2: Assessed in individual's ownership

The taxable site value of all land owned solely by the individual, plus their share of the taxable site value of any land owned with others, will be combined (aggregated) for the calculation of land tax.

A deduction will be applied to the individual’s Land Tax Assessment, which equates to the proportion of their share of the land tax assessed in the joint ownership. If there was no land tax liability in the joint ownership (for example, combined site value of all land in the joint ownership was below the taxable threshold) no deduction will apply in the individual ownership.

A Land Tax Assessment will only be issued for the individual’s ownership if the total taxable site value of the land they own individually plus their share of the land they own with others is above the taxable threshold and the deduction they receive does not reduce the land tax payable to zero.

Example 2

Poppy and Daisy own 3 separate parcels of land valued at $150,000, $100,000 and $420,000 at midnight on 30 June. Each own a 50% share.

Stage 1

The joint ownership would pay land tax for the following financial year based on the combined (aggregated) value.

Land A$150,000
Land B$100,000
Land C$420,000
Total taxable site value$670,000

Land tax payable on $670,000 = $680.00 (calculated using 2022-23 financial year general rates).

Poppy also owns another parcel of land with a site value of $400,000

Stage 2

Poppy would pay land tax for the following financial year based on the combined (aggregated) value of the land Poppy owns, or partly owns.

Land A
(50% share of $150,000)
$75,000
Land B
(50% share of $100,000)
$50,000
Land C
(50% share of $420,000)
$210,000
Land D
(100% share of $400,000)
$400,000
Total taxable site value$735,000

Land tax payable on $735,000 = $1,005.00 (calculated using 2022-23 financial year general rates).

Poppy would also receive a deduction of $340.00 (being 50% of land tax assessed in the joint ownership).

Land tax assessment$1,005.00
less deduction (50% of $940.00)- $340.00
Total payable$665.00

See the How is land tax assessed page for more information.

Land held on trust

Land held on trust will be assessed with other land held on trust for the same trust will not be combined (aggregated) with other land the trustee owns in their own right. The only exception to this is where the trustee is also listed as the beneficiary or unit holder of the trust.

Land held on trust under a discretionary, fixed or unit trust is subject to a higher set of rates (trust land tax rates) and a lower land tax threshold (currently $25,000).

The general rate of land tax, rather than the trust rate of land tax, may apply to certain trusts.

See the land held on trust section for more information.

See the Guide to Legislation: Land Tax - land held on trust for more detailed information.

Related Corporations

Where 2 or more corporations are related, the land they own will be assessed for land tax as if the land was owned by one corporation.

See the related corporations section for more information.

Apportionment of land tax to individual parcels of land

Where there is more than one taxable parcel of land in an ownership, land tax assessed on the combined (aggregated) taxable value of that land will be apportioned (or allocated) to each taxable parcel of land proportionally, based on the individual parcel of land's site value.

Example 3

Using the scenario in example 1, the total land tax assessed for the ownership was $680.00

Poppy’s land tax is then is apportioned to each property in the ratio of its taxable site value to the total taxable site value of the ownership, as follows:

Land tax apportioned to:

Land A$150,000 / $670,000x $680.00= $152.24
Land B$100,000 / $670,000x $680.00= $101.49
Land C$420,000 / $670,000x $680.00= $426.27
  Total= $680.00