Land-Rich duty

Prior to 6 December 2016, Chapter 3, Part 2 of the Duties Act 2001 imposed duty on acquisitions of certain interests in Land Rich Corporations.

Land Rich Corporations were defined as private companies or private unit trust schemes that had:

• land holdings in Tasmania with an unencumbered value of $500,000 or more; and
• land holdings in all places, whether within or outside Australia, comprising 60% or more of the unencumbered value of all its property.

Persons who acquired a majority interest in a land rich corporation (an interest of 50% or more whether in one transaction or over a series of transactions) are required to:

• lodge a Land rich acquisition statement, and
• pay duty calculated by reference to the unencumbered value of the land holdings of the corporation.

Further information is available in the Land rich provisions guideline.