Just weeks out from the South Australian election, the State Government has announced land tax relief.
National Seniors has been actively lobbying the Government, the Opposition and the cross-benches for the land tax-free threshold to be increased from $110,000 to a level where people would be able to at least afford one house or apartment without being taxed, as is the case everywhere else in Australia.
National Seniors is pleased that the South Australian Government has this week acted and almost tripled the tax-free threshold to $300,000.
The median house price in Adelaide is just below $350,000. The vast majority of people who own one, or maybe even two, investment properties will no longer have to worry about land tax.
Land tax is levied on site value, not on land and home. RevenueSA estimates about 75,000 owners will no longer have to pay tax.
Serious property investors also benefit as the next bracket ($300,001 and $550,000) will be taxed at 0.5 per cent, where previously 0.7 per cent applied.