- Land tax exemption for primary production businesses extended to include certain contract farming business activities
- Amendments will apply for the 2018-19 assessment year, with later amendments to enable retrospective application
The McGowan Labor Government's commitment to supporting Western Australia's agricultural industry has been strengthened by the decision to extend the land tax primary production business exemption. The extension will now cater for primary producers who rear farm animals owned by secondary producers.
The current exemption requires the person carrying on the business on the land to be the owner of the animals. However, it is increasingly common practice in certain industries for secondary producers to contract farm the rearing of their animals.
Effective from the 2018-19 assessment year, primary producers will be eligible for the exemption if they rear another person's animals for the purpose of processing them or their produce for sale.
The Government will introduce legislation later this year which will enable the exemption to be applied retrospectively. This will allow for the necessary adjustments to be made to past assessments.
This future legislation will also contain reforms to the Duties Act family farm exemption to allow the progressive transition of a farm to a family member without significant transfer duty costs.
Comments attributed to Finance Minister Ben Wyatt:
"The McGowan Government is pleased to offer this additional support to the State's primary producers.
"The changes to the land tax exemption will be of particular benefit to poultry growers, amongst others, and will highlight the Government's commitment to supporting the State's farmers."
Comments attributed to Regional Development and Agriculture and Food Minister Alannah MacTiernan:
"Farmers have been asking for this extension of the exemption which recognise modern farming business structures.
"I am very pleased that Minister Wyatt has been so receptive to the representations we have made to him."
Finance Minister's office - 6552 5900
Regional Development and Agriculture and Food Minister's office - 6552 6200