Boarding house and low-cost accommodation exemptions (NSW)
Revenue NSW has issued 2 rulings outlining the guidelines for certain land tax exemptions for the 2026 land tax year.
An exemption from land tax or a reduction in taxable land value is available for land that is primarily used to provide boarding house accommodation as per the guidelines approved by the Treasurer. LT 119 outlines the approved guidelines for the 2026 land tax year and explains the conditions that entitle an owner to claim the exemption or reduction in taxable land value.
Land that is situated within a 5 km radius of 1 Martin Place, Sydney (the former Sydney GPO Building) and is used to provide low-cost rental accommodation as per the guidelines approved by the Treasurer is exempt from land tax. Where only a part of the land is used for low-cost rental accommodation, a reduction in taxable land value may be available. LT 120 outlines the approved guidelines for the 2026 land tax year and explains the conditions that entitle an owner to claim the exemption or reduction in taxable land value.
Source: Exemption – Land Used and Occupied Primarily for a Boarding House: Section 10Q Land Tax Management Act 1956 and Exemption – Land Used and Occupied Primarily for Low Cost Accommodation: Section 10Q Land Tax Management Act 1956, Revenue NSW website, 24 November 2025, accessed 24 November 2025.