Land held on trust that is used and occupied by a beneficiary as their principal place of residence (PPR) may alter land tax liability for the land depending on the type of trust and whether you choose to notify us.
As a trustee of a trust, you may choose to notify us of a nomination of a:
- PPR beneficiary of a discretionary trust or unit trust scheme
- subsequent PPR beneficiary of a discretionary trust or unit trust scheme.
Although you can make your nomination at any time, it only takes effect from the tax year that you lodge it with us. If, for that tax year, you have already paid land tax on the affected land, you may be eligible for a refund.
- You can only nominate one PPR beneficiary per trust.
- The nomination of a PPR beneficiary will provide a concession, not an exemption, on the amount of tax payable by the trustee on the land.
- The nominated PPR beneficiary must use the land as their PPR and if they move out you must notify us as the concession no longer applies.
- The nominated PPR beneficiary must not pay rent to the trustee for residing at the land as their PPR.
- There must be a building affixed to the land which is designed and constructed primarily for residential purposes and can lawfully be used as a place of residence by the PPR nominated beneficiary.
- A trustee is not entitled to the PPR concessionary treatment if the land contains a separate residence used to derive income from the provision of residential accommodation from the land in the year preceding the tax year.
Gather required information
You need the following information to complete the Nomination of PPR subsequent PPR beneficiary and notification or change of beneficial interests. The form also contains specific instructions:
- details of the trust, including Australian Company Number (ACN)/Australian Business Number (ABN) number
- the purpose of the nomination
- details of the PPR beneficiary and the relevant land
- the date the beneficiary started occupying the land as their PPR
- any business activity conducted at the property.
Complete your nomination form
The nomination can be completed and submitted online.
Lodge your nomination
When you have completed the form, select 'submit' to lodge your nomination.
We will contact you in writing to let you know the outcome of your nomination.
If the nominated PPR beneficiary dies, or stops using or occupying the land as their PPR, you must notify us in writing within one month of the event occurring. Penalties can apply if you don't.
If another beneficiary then uses the land as their PPR, you can notify us by making another nomination.