Changes in ownership
In certain circumstances, we may consider that both the existing owner and the incoming owner of the land are the owners for land tax purposes. In particular, you are considered the owner (but not the only owner) if:
- You have disposed of the land (e.g. under a contract of sale or a declaration of trust, etc.) but retain possession of it,
- You have purchased the property under a contract of sale and have taken possession,
- You are the vendor of the land under a contract of sale until the purchaser has taken possession and paid at least 15 per cent of the purchase price.
- Subject to conditions, once the purchaser under a contract of sale has taken possession and paid at least 15 per cent of the purchase price, the vendor will no longer be considered an owner.
A purchaser or assignee/transferee of a purchase on credit or deferred payment is also the owner of land.
We may also find that you are not the owner of the land if you have in good faith disposed of the land for no consideration and the new owner has taken possession. The new owner will be considered the owner of the land.
Mortgagees in possession
If there is a mortgage over your land, and your lender has taken possession of the land, then both you and your lender will be considered the owners of the land.
Possession of land
Generally, you are considered to have possession of the land if you have a right to occupy the land and a right to the income and profits derived from the land.