The federal and state governments recently introduced tax incentives to increase the supply of new housing for rent, including build-to-rent properties.
These incentives are designed to ease the severe housing crisis in Australia. However, the unfavourable tax treatment of build-to-rent investments has been a barrier to investment.
The Urban Developer presents a virtual course that will provide property developers with a legal understanding of the build-to-rent tax incentives in Australia. The course will cover the key features of the incentives, eligibility requirements, and compliance obligations.
The federal and state governments recently introduced tax incentives to increase the supply of new housing for rent, including build-to-rent properties.
These incentives are designed to ease the severe housing crisis in Australia. However, the unfavourable tax treatment of build-to-rent investments has been a barrier to investment.
The Urban Developer presents a virtual course that will provide property developers with a legal understanding of the build-to-rent tax incentives in Australia. The course will cover the key features of the incentives, eligibility requirements, and compliance obligations.
PART ONE
- Introduction to Build-to-Rent and the Housing Crisis in Australia
- Overview of the housing crisis in Australia
- Introduction to build-to-rent properties to increase housing supply
- Importance of tax incentives to encourage investment in build-to-rent projects
PART TWO
- Australian Government Build-to-Rent Tax Incentives
- Reduction in withholding tax rate for managed investment trusts from 30% to 15% from 1 July 2024
- Increase in rate of capital works (depreciation) deduction from 2.5% to 4% per year
- Eligibility criteria
PART THREE
- Build-to-Rent Tax Incentives in New South Wales
- 50% reduction in land tax until 2040
- Surcharge purchaser duty and surcharge land tax exemptions and refunds
- Eligibility criteria, compliance requirements, and timeframes
- Clawback provisions
PART FOUR
- Build-to-Rent Tax Incentives in Victoria
- 50% reduction in land tax
- Exemptions from absentee owner land tax surcharge
- Requirements for eligibility and compliance
- BTR special tax and continuous usage obligations
- General exemptions for absentee owner land tax surcharge and foreign purchaser additional duty
PART FIVE
- Build-to-Rent Tax Incentives in Queensland
- 50% reduction in land tax for up to 20 years
- Exemption from foreign investor land tax surcharge
- Exemption from additional foreign acquirer duty
- Proposed commencement date and ex gratia relief options
PART SIX
- Practical Considerations
- Strategies for maximising tax incentives in build-to-rent projects
- Practical tips for compliance and ongoing management of build-to-rent properties
- Q&A
Disclaimer
The Urban Developer cannot accept any liability or responsibility for loss occurring as a result of anyone acting or refraining from acting in reliance on any material contained in this presentation.