Changes for 2021-22

Rates

From 1 July 2021, there will be changes to residential and commercial rates as part of the ACT Government’s tax reform program.

As part of the ACT tax reform program, average general rates increase to offset revenue that would otherwise be lost due to the abolition of stamp duty. However, this did not occur in 2020-21 as part of the Government’s response to the COVID-19 pandemic.

During 2020-21, a one-off $150 rates rebate applied to help offset general rates increases in order to provide relief to households challenged by the COVID-19 pandemic. For around 110,000 residential property owners rates did not increase in 2020-21.

Average residential rates will increase in 2021-22 for the first time in two years, in line with the ACT Government’s tax reform program. Lower income and wealth households will be paying a lower proportion of total general rates revenue, meaning the general rates system will now be more progressive.

COVID 19 response measures affecting rates and levies (for the 2020-21 financial year) have ceased, including:

• the residential land rates rebate;
• a freeze on the FESL at 2019-20 levels; and
• for CCMIL, the percentage rate is returned to pre-COVID 19 levels having been halved for 2020-21.

Pensioner General Rates Rebate

The Pensioner General Rates Rebate cap is increased by $50 to $750 from 2021-22.

Safer Families Levy

The Safer Families Levy has increased by $5 to $35.

Duty

A new owner occupier base rate of duty has been introduced for non-commercial transfers.

• For an eligible owner occupier transaction, a reduced rate of duty of $0.68 for every $100, or part thereof, for properties with dutiable amount less than or equal to $200,000.
• The benefit is available for eligible owner occupier transactions with dutiable amounts up to $1,455,000.
• For non-eligible owner occupier transactions, the rates of duty remain unchanged.

The commercial stamp duty tax free threshold is increased by $100,000 to $1,600,000.

A duty concession for (owner occupier) off the plan units.

• Nil duty for off the plan units valued at $500,000 or below.
• The new concession targets off the plan units only.
• Eligibility criteria includes: contract date on or after 1 July 2021, and satisfaction of residency requirements.

The Home Buyer Concession is capped at the amount of duty payable on a $1 million transaction.

• Nil duty for property with a dutiable value of up to $1 million.

The Pensioner Duty Concession Scheme and Pensioner Duty Deferral Scheme are ongoing.

• Both schemes have been extended to operate permanently
• Thresholds for Pensioner Duty Concession Scheme are updated.

Land Rent

Income threshold amounts for land rent leases first granted before 1 October 2013 are updated, being indexed against annual average weekly earnings changes.

Land Tax

Marginal tax rates and fixed charges are updated.

Payroll Tax

The payroll tax exemption for apprentice and trainee wages introduced as part of the Government’s COVID 19 response is extended for wages paid until 30 June 2022.

Certificate and Statement Fees

The fee to obtain a certificate of rates, land tax and other charges has increased from $122 to $124, based on the indexation of WPI of 1.75 per cent.

Utilities (announced 14 September 2021)

The Utilities Concession is increase by $50 to $750 from 2021-22, with an additional one-off $250 rebate in 2021-22 (increasing the total concession to $1,000 in 2021-22 only).

The Utilities Concession is expanded to ACT households where an account holder also holds an ACT Services Access Card.

The information on this page is current as at 11 October 2021.