The State Revenue Legislation Further Amendment Bill
2009 introduces new landholder duty provisions which are likely to
apply from 1 July 2009.
Under the current law, stamp duty, at the substantial conveyance
rates, is payable on the sale of interests in 'land-rich'
entities such as companies and trusts when the entity's land
assets comprise a specified proportion of its total assets.
Under the new model, duty will be assessed on the acquisition of
an interest in a landholder, whether or not the entity is
'land-rich'. The proportion of land assets will no longer
be relevant to the imposition of the duty.
A liability for landholder duty will be assessed on the
acquisition of a 'significant interest' in a landholder. A
unit trust or company is a landholder if it has landholdings with
an unencumbered value of at least $2million.
In relation to a private company or unit trust, a significant
interest will be an acquisition of 50% or more. There is no longer
a differentiation between private companies and private unit
The acquisition of 90% or more of public unit trusts and listed
companies will also be a significant acquisition that may attract
Duty under the landholder model will not only be assessed on the
value of the landholding; it will also be charged by reference to
the value of goods (including plant and equipment) of the
The new provisions will apply to share or unit acquisitions if
the agreement for sale or issue is completed after 1 July 2009.
However, transitional relief will be available for acquisitions
made under options or agreements entered into before 11 November
Certain interests that are quarantined under the current
'land-rich' provisions may need to be counted for the
purpose of determining whether there is an acquisition of a
In the case of a public landholder, transitional relief will
apply to the acquisition of a significant interest prior to 1
October 2009. There is also a concession where the acquisition of
an interest in a public landholder has been announced to the
The Council announced planning policies to encourage more inner suburban retirement village and aged care development.
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