Land Tax in Northern Territory — Rates, Thresholds & Calculator 2026
The Northern Territory does not levy land tax -- making it unique in Australia. Here is what investors need to know.
Overview
The Northern Territory is the only Australian jurisdiction that does not levy land tax. This has been a deliberate policy choice to attract investment to the Territory, which has a smaller population and economy compared to the states. The absence of land tax is one of the NT's key selling points for property investors, particularly those who are heavily affected by land tax in other states like Victoria and NSW.
The Northern Territory does not levy land tax.
This applies to all property types -- residential, commercial, and vacant land. There is no threshold, no rates, and no assessment. Property investors in the NT pay zero annual land tax regardless of how many properties they own or their total land value.
Land Valuations in the NT
While the NT does not levy land tax, the territory still conducts land valuations for the purpose of council rates and other assessments. The Valuer General NT determines the unimproved capital value of land, which is used by local councils for rates calculations.
Revenue Body
Department of Treasury and Finance NT
Other Property Taxes in the NT
While the NT has no land tax, property owners still pay council rates, which are based on the unimproved capital value of land. Stamp duty also applies to property purchases in the NT. The NT government offers various concessions and incentives for property purchases, including first-home buyer grants and stamp duty concessions, to encourage population growth and investment.
Land Value
$500,000
State
NT
Annual Land Tax
$0 per year
Calculation
No land tax is payable in the Northern Territory, regardless of the land value.
The absence of land tax makes the Northern Territory unique in Australia and is a significant competitive advantage for the region. For investors who hold large portfolios in states like Victoria (with its $50,000 threshold), the NT offers a genuine saving. An investor with $2 million in land value would save approximately $10,000 to $20,000 per year compared to holding the same value in Victoria.
However, the NT property market comes with its own challenges. Darwin has a smaller population (approximately 150,000) and its property market is more volatile than major capital cities. Rental yields can be attractive due to the transient workforce (mining, defence, government), but capital growth has been inconsistent. Investors should weigh the land tax savings against these market dynamics when considering NT property.
For portfolio diversification, holding some properties in the NT alongside holdings in land-tax-heavy states can help reduce overall tax drag. The key is to ensure the NT properties are viable investments in their own right, not just tax-saving vehicles.
Frequently Asked Questions
Does the Northern Territory have land tax?
No. The Northern Territory is the only Australian jurisdiction that does not levy land tax. Property investors in the NT pay no annual land tax on their holdings, regardless of the number of properties owned or their total land value. This has been a long-standing policy to attract investment to the Territory.
What property taxes exist in the NT?
While the NT has no land tax, property owners still pay council rates (based on unimproved capital value) and stamp duty on purchases. The NT also applies payroll tax and other business taxes, but there is no annual tax specifically on land ownership.
Is the NT a good place to invest due to no land tax?
The absence of land tax is a significant advantage for NT property investment, particularly for investors with large portfolios who face substantial land tax bills in other states. However, investors should also consider factors like rental demand, capital growth potential, population trends, and remoteness when evaluating NT property. The NT has a smaller and more cyclical property market than the major capital cities.
How does the NT compare to other states for property investment costs?
The NT offers the lowest ongoing holding costs of any Australian jurisdiction due to zero land tax. By comparison, an investor with $500,000 of land value would pay approximately $0 in Queensland, $1,950 in Victoria, and $0 in South Australia under general individual thresholds. However, the NT's stamp duty rates are broadly comparable to other states, so the upfront purchase cost is similar.
Compare Land Tax Across All States
See how much you could save by investing in the NT compared to other states. Use our free land tax calculator to compare all Australian states side by side.
Related Calculators & Guides
Land Tax by State
Information is for the 2025-26 financial year and is general in nature. Rates, thresholds, and surcharges may change. Land tax rules are complex and depend on your specific circumstances including ownership structure, property use, and residency status. Always consult a qualified tax professional or your state revenue office for advice specific to your situation.