Land tax is a tax levied on the owners of land.

In general, your principal place of residence (your home) or land used for primary production (a farm) is exempt from land tax.

Land that may attract land tax includes vacant land, investment properties, a holiday home or commercial properties.

Land tax is different in each State and Territory of Australia. For example, the NSW land tax general threshold for the 2025 year and onwards is $1,075,000, and the land tax rate is $100 plus 1.6% of the land’s value over the threshold (up to the premium threshold of $6,571,000 from 2025).

For amounts over the premium threshold, an amount of $88,036 plus 2.0% of land value above the threshold is payable.