Sample land tax calculations

Basic land tax calculation

Use the following formula to calculate basic land tax: (A minus B) multiplied by C plus D = Land tax payable.

Reference Amount
A is the total land value $610,000
B is the land tax threshold $549,000
C is the land tax rate 1.6%
D is the standard tax $100

Total land tax payable on total land value of $610,000 is: ($610,000 minus $549,000) multiply by 1.6% plus $100 = $1,076.

Premium land tax calculation

Use the following formula to calculate premium land tax: (A minus B) multiplied by C plus D = Total premium land tax payable.

Reference Amount
A is the total land value $3,881,000
B is the premium land tax threshold $3,357,000
C is the land tax rate 2%
D is the basic land tax payable $45,028

Total premium land tax payable on total land value of $3,881,000 is: ($3,881,000 minus $3,357,000) multiply by 2% plus $45,028 = $55,508.

Special trusts land tax calculation

Use the following formula to calculate special trusts land tax:  A multiplied by B = total special trust land tax payable.

Reference Amount
A is the total land value $600,000
B is the land tax rate 1.6%

Total special trust land tax payable on total land value of $600,000 is: $600,000 multiply by 1.6% = $9,600.

Last updated: 23 March 2017