Assessing and coding real estate details 106-07100130

Real Estate/Business Type

Description

House (HSE)

House on land up to 2 hectares. The buyer owns the home and land. Single, stand alone, detached dwellings. 2 hectares or less, usually a single title.

Townhouse (THS)

A self-contained property sometimes attached and sometimes freestanding, within a complex of 3 or more dwellings. The buyer owns the dwelling but shares ownership of the land and common property with other owners in the complex (strata-titled). Usually there is a small outdoor space. Usually a single title.

Self-contained flat (SCF)

Self-contained flat or a secondary dwelling is a self-contained unit of accommodation with a cooking area, bathroom and toilet for the exclusive use of the people living in it. If the occupiers need to leave the unit to gain access to any one of these amenities it is not self-contained. It is located within, attached to or separate from another dwelling on the same title.

Unit (UNT)

A unit/flat is any dwelling which is used as living quarters. It is a self-contained type of residential real estate, that occupies only part of a building. The individual unit/flat may have its own title (meaning the individual unit/flat can be sold on its own) or the building/complex of multiple units/flats may be on one title. (which means individual units/flats cannot be sold on their own, the building is sold as a whole). The owner may also have a separate title for a car park/car space.

Retail premises (RET)

A premise where there is a point of sale of retail goods or retail services. For example, hairdressers, clothing shop, Tile shop, small engine service shop, café takeaway. Usually, smaller urban size blocks of land, usually single titles.

Commercial premises (CMP)

Buildings or land intended to generate profit. May be larger than retail premises, can include offices, retail complexes, restaurants, bars, hotels, warehouses etc. Tenants are generally businesses looking for retail space. Can be any size block of land, can have multiple lots on one title or multiple titles.

Industrial premises (IDP)

A property used for the actual manufacturing of something, it is usually a factory or a plant. Can be on any size block of land, can have multiple lots on one title or multiple titles.

Home block (HMB)

Home block on greater than 2 hectares: may also be referred to as acreage blocks, not being utilised for the purpose of producing an income. Usually, 2 to 50 hectares, can have multiple lots on one title or multiple titles.

Vacant (VAC)

A block of land that is void of any structures. Can be used for any reason. For example, grazing livestock, building a home, can be any size, can have multiple lots on one title or multiple titles.

Hobby farm (HBF)

May also be referred to as a lifestyle farm. It is a small rural holding, consisting of land, some livestock and family home, it is not expected to be the primary source of income. Usually, 2 to 50 hectares, can have multiple lots on one title or multiple titles.

Market Garden (MGD)

A relatively small-scale production of fruits, vegetables and flowers as cash crops, frequently sold directly to consumers, on the fringes of big towns or cities. Usually, 50 hectares or less. Can have multiple lots on one title or multiple titles.

Farm (FRM)

Any area of land and the buildings on it, including a farmhouse, used for growing crops and/or keeping animals. It is the primary income producer, the primary source of income. Can be any size. Can have multiple lots on one title or multiple titles. A larger size farm will usually have multiple lots on multiple titles.

Bush block (BHB)

Bush blocks are privately owned properties that support remnant native vegetation and support animals considered to be indigenous to the local area. Undeveloped. Can be any size, can have multiple lots on one title or multiple titles.

Duplex

A duplex, or semi-detached, is a type of residential home that has two units divided by a common central wall. These dual units can be on one piece of land with a sole owner and a single title who sells them together, or they can each exist on separate titles and be owned and sold as individual units.

Item

Description

1

Example of assessment of rental income

A house which is mortgaged for $10,000 at 11% per annum is let for $100.00 per week:

Gross rent $5,200 (Gross Annual Income $)

Allow 1/3 for expenses - $1,734 (Allowable Income Dedns $ pa)

Note: only apply the 'one third rule' if the property has been recently purchased. In all other cases, customers must provide either a tax return or a profit and loss statement.

Net rent = $3,466

Deduct interest on mortgage ($10,000 @ 11%) from net rent - $1,100 (Annual interest $)

This gives the assessable income = $2,366 (This will show under Net Income on REBS)

If a property in which the customer has a life interest is rented out, the income is assessed as above if the person is required under the terms of the will to maintain the property and pay all the running expenses. If the customer only has the right to occupy a property, they are not automatically entitled to income from rent. It will depend upon the actual terms of the bequest. Check before any reassessment of the pension or benefit entitlement is made.

2

Examples of house and curtilage assessments

• Private Land Use test: If the customer's home comprises of a one hectare block with a second adjoining block of one hectare, which is on a separate title, the house and curtilage allowed is one hectare only and not a maximum of 2 hectares. If the current market value of the whole property is $750,000 and the house and curtilage value is $500,000, the assessable value of the second one hectare block is $250,000
• Extended Land Use test: If the customer's home property comprises a 6 hectare block on a single title, with a total value of $600,000, the whole property may be exempt if they satisfy the 'extended land use test.' In this case, the current market value and the house and curtilage value will be the same amount and there is no assessable real estate amount
• Private Land Use test: Using the previous example, if the customer does not satisfy the 'extended land use test' a total of 2 hectares only can be exempted if they satisfy the private land use test. If the value of the house and curtilage of 2 hectares is $400,000 the assessable value of the remainder of the property will be $200,000
• Where the customer owns their land via a single title document, even where there are multiple lots included on the one title document, the whole of the land on that single title document may be exempted under the extended land use test

3

Example of assessment of income from bush block/vacant land owned by a customer

The customer owns a bush block that is separate to their principal home, that is:

• it is located at a different address, and
• is not adjacent to the principal home

The current market value is $80,000 and there is no mortgage or loan against the property.

A small portion of the block is leased to a telecommunications company who constructed a tower on it.

The telecommunications company pay an annual amount of $10,000 to the customer for the right to lease the portion of land.

The customer does not have an income tax return, therefore allow 1/3 for expenses = $3,333. (Note: if the customer has an income tax return, code the expenses as shown on the tax return).

Net income = $6,667.

The customer must tell the agency if the income amount changes (up or down) as this may affect the rate of payment they receive.

State

Examples of details on Council rates notice

Lands Titles reference/s field on REBI screen

ACT

Example 1:

Notice date: 8 June 2023

Account number: 412263987

Property location: 1/15 Tow Rise, O'Malley

Section: 34, Block 7, Unit 1

Example 2:

Suburb: Hackett

Section: 2

Block: 8

Property Address: 250 High St

Sect 34 Block 7 Unit 1







Sect 2 Block 8

NSW

Property Details

10/90 High Street Epping

Lot 20 PS 88766

L20 PS887766

NT

Example 1:

Property Location and Description

9 Sample St

Tennant Creek NT 0861

Lot 1169 CUFT S62/104D

Example 2:

Property Location and Description

20 Peter Road, LIVINGSTONE 0822

Hun: 695 LTO: 82014 P:00050

L1169 S62/104D







Hun695 LTO82014 P00050

QLD

Property Details

9 Makeup St, Palmerston Lot: 12345 | Plan: 590

Valuation Date: 01/07/2022

Valuation Number: 59012345

Capital Value: $250,000

L12345 Plan 590

SA

Property Details

1 Sample Street PORT AUGUSTA SA 5700

Valuation Number: 6616123456

Capital Value: $165,000

6616123456

South Australia use Valuation Numbers

TAS

Rating Details

52 Smith St

Hobart TAS 7000

Property Number: 7652519

7652519

Tasmania use Property Numbers

VIC

Example 1:

Property location

1 Council Road

DONCASTER VIC 3109

Lot 1 LP 1234 Vol 1234 Fol 567

AVPCC: 110 - Detached Dwelling

Example 2:

Location and Description

Greenhill Lake Road

Green Town VIC 3350

Land Area: 89.394Ha

Property Details:

28-1A\PP2680, 1B-1A/PP2680, 2-5/PP2680

L1 LP1234

28-1A\PP2680, 1B-1A/PP2680,

2-5/PP2680

WA

Example 1:

Property address:

1/23 Officer Terrace DUDLEY PARK

SL: 1 SP:17

Example 2:

Description of rated land:

22 William Road, BALDIVIS WA 6171

LOT: 465 DP: 400943

SL1 SP17

L465 DP400943