Land tax is a recurring cost for property investors and owners in Victoria, calculated based on the total taxable value of land holdings. While land tax is unavoidable for many, there are legal strategies to minimise or avoid it. 

In this guide, we’ll explain how land tax works, who is liable, and strategies to reduce or legally avoid land tax in Victoria. 

What is Land Tax in Victoria?

Land tax is an annual tax imposed by the State Revenue Office (SRO) of Victoria on the cumulative taxable value of all non-exempt land you own as of 31 December each year. 

Who Pays Land Tax? 

• Owners of investment properties
• Owners of vacant land
• Businesses and developers with commercial or industrial property 

Who is Exempt? 

• Your primary place of residence (main home) is exempt.
• Farmland (if it meets primary production criteria).
• Certain charitable, religious, or public land. 

Need to discuss contact Julius Mather on 03 9404 2737