Land Tax in Western Australia — Rates, Thresholds & Calculator 2026
Everything you need to know about land tax in WA for the 2025-26 financial year, including current rates, thresholds, exemptions, and surcharges.
Overview
Western Australia offers a $300,000 threshold for land tax with rates scaling from 0.25% up to a maximum of 2.67% for very high land values. Notably, WA does not impose a foreign owner surcharge, making it one of the most competitive states for international investors. Land values in Perth have been rising strongly, meaning more investors are crossing the threshold, but the state remains relatively affordable compared to Sydney and Melbourne from a land tax perspective.
The general threshold for 2025-26 is $300,000. Land valued at or below this amount is exempt from land tax. A graduated rate scale applies above the threshold.
| Land Value From | To | Marginal Rate |
|---|---|---|
| $0 | $300,000 | Nil |
| $300,001 | $420,000 | Fixed |
| $420,001 | $1,000,000 | 0.25% |
| $1,000,001 | $1,800,000 | 0.9% |
| $1,800,001 | $5,000,000 | 1.8% |
| $5,000,001 | $11,000,000 | 2.0% |
| $11,000,001 | and above | 2.67% |
How Land Is Valued in WA
WA uses the unimproved value of land as determined by Landgate (the state's land information authority). This is the value of the land in its natural state, excluding all improvements. Valuations are conducted on a rolling three-year cycle across metropolitan and regional areas.
Revenue Body
RevenueWA
Assessment Date
30 June each year. Ownership at midnight on 30 June determines your land tax liability for the following financial year.
Aggregation Rules
All taxable land owned in Western Australia is aggregated under a single assessment. This includes all investment properties, vacant land, and commercial property. Your principal place of residence is excluded from the aggregation.
Exemptions
- Principal place of residence (PPOR)
- Primary production land (farming)
- Charitable and religious land
- Caravan parks
- Land owned by ex-service organisations
- Land below the tax-free threshold
Surcharges
Foreign Owner Surcharge
Western Australia does not impose a foreign owner surcharge. This makes WA one of the most attractive states for overseas investors from a land tax perspective.
Other Notable Rules
WA also has a Metropolitan Region Improvement Tax (MRIT) that applies to land within the Perth metropolitan region. The MRIT is a separate levy of 0.14% on land value above $300,000, used to fund parks and infrastructure. It is assessed alongside land tax.
Land Value
$600,000
State
WA
Annual Land Tax
$750 per year
Calculation
The first $300,000 is exempt. $300,001 to $420,000 incurs $300. $420,001 to $600,000 = $180,000 x 0.25% = $450. Total tax = $300 + $450 = $750.
Western Australia has become increasingly attractive for property investors due to its combination of a reasonable $300,000 threshold, no foreign owner surcharge, and relatively affordable land values compared to Sydney and Melbourne. Perth's strong population growth and mining-sector demand have been driving rental yields higher.
The MRIT adds a small additional cost for Perth metropolitan investors but is relatively modest compared to the land tax surcharges in Victoria and NSW. Regional WA land is exempt from the MRIT, making towns like Geraldton, Bunbury, and Kalgoorlie even more cost-effective from a tax perspective.
Frequently Asked Questions
Does WA have a foreign owner surcharge for land tax?
No. Western Australia is one of the few states that does not impose a foreign owner surcharge on land tax. Foreign investors pay the same land tax rates as domestic investors, making WA comparatively attractive for international buyers.
What is the land tax threshold in WA?
The land tax threshold in Western Australia is $300,000 for 2025-26. If the total unimproved value of all your taxable land in WA is $300,000 or below, no land tax is payable. Above $300,000, graduated marginal rates apply starting at 0.25%.
What is the Metropolitan Region Improvement Tax in WA?
The Metropolitan Region Improvement Tax (MRIT) is a separate levy of 0.14% that applies to land within the Perth metropolitan region with a value above $300,000. It is assessed alongside land tax and funds metropolitan parks and infrastructure improvements.
When is land tax assessed in WA?
Land tax in WA is assessed based on ownership at midnight on 30 June each year. The assessment covers the following financial year. Land values are determined by Landgate on a rolling three-year valuation cycle.
Calculate Your WA Land Tax
Enter your total taxable land value and get an instant calculation of your Western Australia land tax liability. Compare with other states to see where your money goes furthest.
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.