Rent Out Your Old Home: $0, $2,850 or $1,500 a Year in Land Tax (NSW vs VIC vs QLD)

Rent out your old home and the ATO can keep treating it as your main residence for up to six years - no capital gains tax when you sell. But land tax belongs to your state; it's charged every year, and your state has its own rules. Same house, same tenant, three completely different answers. CHAPTERS: 0:00 Same house, two different answers 0:34 CGT is paid once - land tax is charged every year 1:02 The federal six-year rule in 30 seconds 1:28 Why the states are different (and the thresholds) 2:13 Which state is your old home in? 2:25 Helen's house - a 12-month lease at market rent 2:41 New South Wales - six years, but two tests 3:44 Victoria - six years, but no rent at all 4:48 Queensland - no fixed period 5:41 All three on one card (screenshot this) 6:01 Where the federal and state rules collide 6:26 Helen's land tax bill in each state 7:45 The Centrelink clock - 12 months 8:39 The three-question check 9:12 Recap WHAT'S IN THIS ONE: - The federal six-year rule in 30 seconds - and what it's actually built to protect (renting your home out) - Why the states can disagree: CGT is paid once, when you sell; land tax is charged every year, on what you own on one night (midnight 31 December in NSW and VIC, midnight 30 June in QLD) - Thresholds: NSW $1,075,000 of land value, VIC $50,000, QLD $600,000 (resident individuals) - New South Wales: a six-year concession, but you must pass one of two tests: rent only covering basic expenses like rates and water, OR leased for no more than 6 months in a calendar year - Victoria: up to six years - but since the 2021 land tax year, no income can be earned from the property in the year before at all - Queensland: no fixed absence period at all - the Commissioner decides on the facts, and a whole-house lease ends the exemption - Helen's house - $700,000 of land, a 12-month lease at market rent - in each state: $0 in NSW, $2,850 a year in VIC, $1,500 a year in QLD - The Centrelink clock: 12 months before your former home can count as an asset (Age Pension, DSP, Carer Payment, JobSeeker), and the net rent counts as income the whole time - The three-question check IMPORTANT - HELEN'S FIGURES ARE AN ILLUSTRATION. Each state values land its own way (NSW uses a 3-year average land value; VIC uses site value; QLD uses an averaged taxable value), and thresholds apply to ALL the taxable land you own added together. NSW's $0 holds only while the rented house is the only taxable land Helen owns. Which state is your old home in? Just the state in the comments. If you're in SA, WA or Tasmania, tell me - if enough of you ask, I'll cover the other states. Next: Retiring Overseas on the Age Pension - the 26-week rule, how much of your pension you keep, and couples living apart overseas. The capital gains side in full: Rent Out Your Home to Retire at 55? The 6-Year Rule. GENERAL ADVICE DISCLAIMER This video is general information only. It does not take into account your objectives, financial situation or needs, and it is not personal financial, tax or legal advice. Land tax rules and thresholds change - check your own position with your state revenue office (Revenue NSW, the State Revenue Office Victoria or the Queensland Revenue Office), with Services Australia for any payment, and with a registered tax agent or licensed financial adviser before acting. A note on how this is made: Every script starts with real research and is checked against current ATO and Services Australia figures - that part isn't automated. AI tools produce the narration and visuals. I write, verify, and stand behind every word. Thanks for being here. #AussieWealth #Superannuation #RetirementAustralia #LandTax #SixYearRule #CapitalGainsTax #PropertyAustralia #AgePension