Land Tax Is Adjustable. Understanding Land Transfer Tax A Comprehensive Guide for Buyers and Sellers Typically, land tax is adjusted on a single holding basis, but more recently LPLC has been alerted to instances of contracts of sale specifying that tax is to be adjusted on a higher proportional basis The purchaser of property may therefore be exposed to paying land tax at an inflated rate because the vendor owns other land
Land tax adjustments… Legal Practitioners' Liability Committee from lplc.com.au
If there are any outstanding charges on the Section 47 Land Tax Certificate, the Seller is required to pay those charges so that they are no longer effective against the land In other words, the seller is responsible for the portion of the land tax from the beginning of the financial year until the settlement.
Land tax adjustments… Legal Practitioners' Liability Committee
50% of $10,000) at settlement as a reimbursement for that part of the year that the. If her solicitor put a land tax adjustment in the contract,the buyer would be liable to pay an extra $5,000 (i.e The purchaser of property may therefore be exposed to paying land tax at an inflated rate because the vendor owns other land
A Guide To Understanding Land Tax Part 1 Overview of Land Tax — Sladen Legal. General condition 15 (b) of the standard form contract of sale recognises this and requires land tax adjustment at settlement to be on the basis that "the land is treated as the only land of which the vendor is owner". then the land tax shall be adjusted between the vendor and the purchaser (on a pro rata basis) and then responsibility for the 'lion's share' of the land tax shall pass to the purchaser
Understanding Land Transfer Tax A Comprehensive Guide for Buyers and Sellers. If there are any outstanding charges on the Section 47 Land Tax Certificate, the Seller is required to pay those charges so that they are no longer effective against the land The purchaser of property may therefore be exposed to paying land tax at an inflated rate because the vendor owns other land