How is land tax calculated in WA 2026?
Land tax in Western Australia for 2026 will be calculated based on the total unimproved value of all taxable land you own, applying progressive rates above a tax-free threshold. Specific rates are set annually, so 2026 rates will be released closer to the time.
Was this helpful?
5 readers found this helpful
5 readers found this helpful
How it works in practice
How Land Tax is Calculated
Land tax in Western Australia (WA) is an annual tax levied on the unimproved value of all taxable land you own as at midnight on 30 June each year. The calculation uses a progressive rate system, meaning higher-valued land attracts a proportionally higher tax.
First, the Valuer-General determines the unimproved value of your land. This is the value of the land only, assuming it is vacant and cleared, without any buildings or improvements. If you own multiple taxable properties, their unimproved values are aggregated to determine your total taxable land value.
Next, this aggregated value is applied against a set of progressive tax rates and thresholds. A tax-free threshold generally applies, below which no land tax is payable. For values exceeding this threshold, marginal tax rates are applied to specific bands of the unimproved value. The specific rates and thresholds are reviewed and published annually by the WA Department of Finance. While the exact figures for 2026 are not yet available, the methodology remains consistent.
Important exceptions
The primary exception is your principal place of residence (PPR), which is generally exempt from land tax, provided you reside there. Other exemptions include land used for primary production, charitable purposes, or certain retirement villages.
Partial exemptions may also apply in specific circumstances, such as when a portion of a property is used as a PPR and another portion for commercial purposes.
What you should do now
-
Understand that land tax is based on the unimproved value of your land, not its market value with improvements.
-
Check the WA Department of Finance website annually for the latest land tax rates and thresholds.
-
Determine if your property qualifies for any exemptions, such as being your principal place of residence.
-
If you own multiple taxable properties, aggregate their unimproved values to calculate your total land tax liability.
-
Review your annual land tax assessment notice carefully and lodge an objection if you believe it is incorrect.
Expert Notes
No expert notes have been added to this question yet.
People also asked
Explore highly relevant questions and get instant verified short answers.