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Land Tax Calculator NSW

NSW land tax for 2026 on the total land value of investment property: $100 plus 1.6% above the $1,075,000 threshold, 2% above $6,571,000.

Exclude your principal place of residence and primary production land, which are exempt.

Land tax year

Assessed on land owned at midnight on 31 December of the previous year.

NSW land tax 2026

$6,900.00

Land tax on $1,500,000 of taxable land value in NSW is $6,900 for 2026, 0.46% of the value, with a 1.60% marginal rate above $1,075,000.

Tax-free threshold (2026)$1,075,000
Taxable value above the threshold$425,000
Land tax$6,900.00
Marginal rate1.60%
Effective rate on total value0.46%
Per week$132.69
How this was calculated
General rate: $100 + 1.6% of ($1,500,000 − $1,075,000)100 + (1500000 − 1075000) × 0.016$6,900.00
Land tax for 2026$6,900.00

Land tax on $1,500,000 of taxable land value in NSW is $6,900 for 2026, 0.46% of the value, with a 1.60% marginal rate above $1,075,000.

Source: Revenue NSW Last verified How we keep this accurate

How NSW land tax works

Land tax is an annual tax on the land value of property you own in NSW, other than your home. It is assessed on everything you own at midnight on 31 December, using the Valuer General’s land values averaged over the current and previous two years. Your principal place of residence and land used for primary production are exempt; investment properties, holiday homes, commercial premises and vacant land are taxable. The land value is the value of the land alone, without the house, which is usually well below the sale price.

Total taxable land value (2026)Land tax
Up to $1,075,000Nil
$1,075,001 – $6,571,000$100 + 1.6% of the value above $1,075,000
Over $6,571,000$88,036 + 2% of the value above $6,571,000

Thresholds were indexed each year until 2024 and are now frozen at $1,075,000 and $6,571,000.

Worked examples

  • $1,500,000 of taxable land value: $100 + 1.6% × $425,000 = $6,900.
  • $3,000,000: $100 + 1.6% × $1,925,000 = $30,900.
  • $7,000,000: $88,036 + 2% × $429,000 = $96,616.

Who pays and when

Revenue NSW issues assessments from January; you must register when your taxable land first exceeds the threshold, even if no notice arrives. Joint owners are assessed together on the jointly held land and then individually on their share, with a credit to avoid double tax. Land owned as part of a special or discretionary trust gets no tax-free threshold. Land tax is deductible against rental income for an investment property.

Frequently asked questions

What is the land tax threshold in NSW for 2026?

The general threshold is $1,075,000 of total taxable land value and the premium threshold is $6,571,000, the same as 2025 and 2024. Thresholds are no longer indexed. Only the land value above the threshold is taxed: $1,500,000 of land value attracts $6,900, and $1,000,000 attracts nothing.

Is my home subject to land tax in NSW?

No. Your principal place of residence is exempt if you live there and own it yourself; a home held by a company or trust is generally taxable, except through a concessional trust or certain fixed trusts. The exemption can continue for up to six years while you are absent if the home is not rented for more than six months a year, and for a home under construction. Any second property, including a holiday house, is taxable.

Is land tax calculated on the property value or the land value?

On the land value only, as determined by the NSW Valuer General and averaged over three years to smooth spikes. For a $1,200,000 house on a suburban block the land value might be $700,000 to $900,000. You can find the land value on your council rates notice or the Valuer General’s website, and object within 60 days of the notice.

How much is land tax on an investment property in NSW?

Nothing until the combined land value of all your taxable NSW land exceeds $1,075,000, then $100 plus 1.6% of the excess. One investment property with $800,000 of land value pays nothing; two with $800,000 each ($1,600,000 combined) pay $100 + 1.6% × $525,000 = $8,500 for the year, about $163 a week, which is deductible against the rent.

Do foreign owners pay more land tax?

Yes. Foreign persons pay surcharge land tax of 5% of the taxable value of residential land from the 2025 land tax year, with no threshold, on top of ordinary land tax. It is not included in this calculator. Australian citizens and permanent residents who ordinarily reside in Australia are not foreign persons.

Sources and assumptions

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