REIV- UPDATE 20/08/2020

1. Land tax reduction increased to 50% for eligible landlords: Landlords of residential and commercial properties who provide a 50% or more outright rent waiver of at least 3 months’ rent to eligible tenants, can claim a 50% waiver of the property’s 2020 land tax and defer payment of the remaining tax to 31 March 2021. 2. A fund of $60 million for eligible small commercial landlords will be available via a hardship scheme, which will provide up to $3,000 per tenancy. 3. Owner-occupiers of commercial properties can obtain a 25% waiver of the property’s 2020 land tax and payment of the remaining tax can be deferred to 31 March 2021 if their business meets the conditions in either of these two categories: a. For a licensed pub, club or restaurant under a general, full club or on-premises liquor licence: at the premises level, annual turnover was no greater than $50 million in either the 2018-19 or 2019-20 financial year, and turnover at that premises has reduced by at least 30% since March 2020. b. For other businesses: annual aggregated turnover was no greater than $50 million in either the 2018-19 or 2019-20 financial year, and they are eligible for, and participating in, the Australian Government’s JobKeeper Payment.
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Applications for land tax relief under the new rules are not available yet but we expect the SRO website to open these soon as the eligibility criteria has already been updated.
 
 
UPDATES TO STAGE 4 RESTRICTIONS Over the last few days, the government has updated the Directions (as expected). Business Victoria has also updated some of their information in response to our enquiries. Please refer to the updated Reference Guide and pay special attention to the REIV notes in the document. Access here.
 
Stay safe, stay healthy
 
Leah Calnan REIV President 

 

20/08/2020