Changes to Average Unimproved Value (AUV)

From 1 July 2020, the period for calculating the AUV of ACT properties will be extended.

The AUV is the average of the property’s unimproved value over a number of years. Prior to 1 July 2020, it was an average based on the previous 3 years. For 2020-21, AUV will be averaged over the last 4 years and, from 2021-22, on it will be averaged over the last 5 years.

Parcels of land subject to a Lease Variation Charge will also be treated as a new lease for the purposes of calculating AUV from the date a chargeable variation to a nominal rent lease is executed.

The changes to AUV will affect the following taxes: General rates, Land Tax, Foreign Ownership Surcharge, Fire and Emergency Services Levy, and City Centre Marketing Improvement Levy.

For further information see Rates Amendment Act 2020 (external site).