What Is Land Tax and Who Has to Pay It in Tasmania?
Land tax in Tasmania is an annual state tax on the assessed value of general (non-exempt) land you own above a tax-free threshold, administered by the State Revenue Office Tasmania. It applies to investment properties, commercial land and vacant land, but your home and land genuinely used for primary production are treated differently — primary production land has its own zero rate rather than being taxed under the general scale.
How Is Land Tax Calculated in Tasmania?
The tax-free threshold is $125,000, above which land tax is charged on a two-band sliding rate scale, topping out at 1.5% on value above $500,000. Foreign owners of residential "General Land" acquired on or after 1 July 2022 also pay the Foreign Investor Land Tax Surcharge — an additional 2% of the assessed land value on their proportional interest.
Primary Production Land
A zero land tax rate applies to land classified as used for the business of primary production.
This is treated as a zero rate rather than a discretionary exemption you apply for after the fact — land genuinely classified as being used for primary production sits outside the general land tax scale entirely. Contact the SRO directly to confirm your land's classification.
Frequently Asked Questions
Does my home get taxed under land tax?
General land tax applies to non-exempt land — check with the SRO if you're unsure whether your specific circumstances qualify for an exemption.
Is farmland automatically exempt from land tax in Tasmania?
Land genuinely classified for primary production use sits under a zero rate rather than the general scale, but this isn't automatic just because land is zoned rural — confirm your land's classification with the SRO.
Where can I get an exact land tax figure for my property?
This page provides general information only — contact the SRO Tasmania, or speak with a registered tax agent, for a precise figure based on your specific circumstances.
Updated on 2026-07-12 — what changed
Initial publication of this page, verified directly against sro.tas.gov.au as of 12 July 2026. Detailed primary production eligibility criteria and any separate trust/company threshold were not fully confirmed — see the notice at the top of this page.