Date posted: 10/08/2020

Land tax relief for SA landlords and rental relief for their tenants

SA Government will give eligible landlords land tax relief which they will need to pass to tenants affected by COVID-19 restrictions.

In brief

  • Eligible landlords will be offered a 25% reduction on their 2019-20 land tax liability on properties rented to tenants impacted by COVID-19
  • Landlords would be required to pass on the full benefit of the A$50 million relief to their tenants
  • The land tax relief is also available to residential and non-residential land owners who are unable to secure a tenant because of COVID-19

South Australian landlords are being offered a 25% reduction on their 2019-20 land tax liability on properties rented to tenants impacted by COVID-19.

The relief is available when:

  • the land is used for residential or non-residential (commercial) purposes
  • the land is being leased to either:
    • a residential tenant
    • a non-residential (commercial) tenant with annual turnover of up to $50 million who has been financially impacted by the COVID-19 pandemic
  • the landlord reduces the rent of the affected tenant by at least as much as the land tax reduction 
  • the land tax is directly related to the land for which the rent has been reduced.

Financially impacted is considered to be:

  • for non-residential (commercial) tenants, a 30% drop in revenue due to COVID-19 and are eligible for the Federal Government's JobKeeper payment
  • for residential tenants, financial hardship due to COVID-19. Further information will be available as part of the application process.  

This relief is also available to residential and non-residential land owners who are unable to secure a tenant because of COVID-19.  

To be eligible for land tax relief, eligible landlords will need to demonstrate that the land was leased to 30 March 2020, but has since been vacant due to the impact of COVID-19.

Applications for the land tax relief are able to be submitted till 30 September 2020.

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