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TPC Gold | How to Maximise Your Tax Returns in 2025

This snippet is from an Empower Wealth episode: How to Boost Your Tax Return in 2025: Ben & Julia’s Hot Tips. 

In this week’s bonus episode, Ben shares key highlights from his recent Talking Property Tax conversation with property tax expert Julia Hartman—covering what smart investors need to know before 30 June. 

From HECS/HELP debt changes to interest prepayments, land tax rules, and advance rental payments on commercial property, this episode is your end-of-financial-year tax health check. 

Here’s what you’ll learn in this short but sharp episode: 

💥 Why you should avoid paying off your HECS/HELP debt before 1 June 2025
🏡 How to decide if paying interest in advance is right for you
🧾 What deductions you can and can’t claim in advance for investment properties
⚠️ What to watch out for if your commercial tenant wants to prepay rent
📉 How to avoid getting locked into a deduction strategy that no longer suits you 

If you want to get ahead of tax season and potentially boost your return, this one’s a must-listen. 

Want to Maximise Your Return This Tax Time?

At our sister company Empower Wealth, the Tax & Property Accounting team specialises in helping property investors claim every dollar they’re legally entitled to—no guesswork, no gimmicks. 

We even back it up with our Maximum Refund Guarantee! 

If you want to get the maximum refunds you are entitled to, now is the time to get your tax strategy sorted. 

Book your free initial consultation today and chat with one of our experienced accountants via the link here: thepropertycouch.com.au/tax  

__________________

If You Enjoyed TPC Gold | How to Maximise Your Tax Returns in 2025, You Might Also Like:


Transcript

Ben Kingsley
G’day folks, Ben Kingsley here. Now last week I did an episode on Talking Property Tax with Julia Hartman. It was Episode Six of that series, and today we’re sharing a summary version of those conversations I had and it’s all to do with your tax planning in the lead up to the end of the financial year. So this is a summary version of the episode I did recently with Julia Hartman on Talking Property Tax.  

Today we’re going to be talking about some very interesting and timely topics. I’m going to cover off on HECS and HELP debt. So there’s some changes now that the Labor Party have got in. We’re also going to have a reminder around tax and property planning for those property investors, which is obviously our mainstay of audience. And then we’re going to go a little deeper in terms of some of the superannuation and planning around that, and also cover off on some of the fundamentals. So it’s going to be a great show. I’m looking forward to getting into it. So Julia, let’s get started. I want to talk about the HECS or HELP debt as it’s sometimes referred to, and what are some of the important things that we need to be aware of now that Labor has got back into power.  

Julia Hartman
Well, I suppose the most urgent and important thing is to warn you not to pay off your HECS debt between now and the 1st of June. So there’s not many people who are going to benefit from that. But whatever you owe at the 1st of June, the government’s going to give you a 20% discount on it. So you want to owe as much as possible at that point. But the uplift factor will kick into that amount too, but that should only be about 3%. So what your employer takes out of your pay packet is not going off your HECS debt until you do your tax return, so don’t worry about what’s coming out of your pay. It’s just those voluntary payments that you don’t want to do in the next three weeks.  

Ben Kingsley
So it’s a pretty straightforward piece of advice and that is because it’s a 20% value of your existing HECS debt. Well, don’t pay it before the 1st of June because that’s the calculation date. So if we leave it till after that, then you’ll basically get the higher deduction off your HECS debt. So great piece of advice there, Julia. And that one was an easy one. There wasn’t really much else in regard to general far reaching or macro changes that the Labor Party have made to the tax system this year, so what I wanted to do was focus in on tax planning for property investors, because this is the time of year.  

Now it is early May, and so we need a little bit of time to basically potentially do some of these things, and in terms of getting ourselves in order for the next tax round. So the first one, and one of the most common ones we get asked about, is obviously the ability to pay potentially 12 months’ expenses in advance. And that’s the rule. That’s all allowable when it comes to residential investment properties. And the biggest one, obviously one of the biggest costs for a lot of people is the interest cost. And so talk to us about the interest in advance, interest costs that might be claimable, and what are some of the pros and cons associated with that, Julia?  

Julia Hartman 
Right, well first of all when you enter into this arrangement it’s not just enough to work out what the interest is and pay it off the loan. You’ve got to make arrangement with your bank that they actually do charge you the interest and that’s what you pay to get interest in advance. And then you’ve got to think about: Is this the year to do it? And the tax brackets aren’t that different over the next few years so you can look at your income and also whether you might be taking time off work. So if you pay two years’ worth of interest in this year, then next year the only way you’re going to get any interest deduction is to pay a year in advance again. So you see you’ve lost that advantage; you’ve just got one years’ interest next year and you’re locked in to paying it in advance each time in order to get any deduction at all. So you want to save it for that big capital gain or something like that. Or on the other side of the coin, save it for a time when you might take a year off work – for family or whatever reasons. So you make the extra payment the year before you take the time off work, and then when you don’t need the deduction so much in the following year you can catch up, and then the year after that it’s all business as usual.  

Ben Kingsley
Yeah, so there’s a couple of really important points that you make there. In the event that if your income is going to be regular over a long period of time, once you’re sort of in this interest in advance, you then have to keep rolling it over and over. And so a lot of people think: Well, why am I doing this? I mean, there’s potentially a cost for your tax agent to do that. Also, if you’re working with a broker, this needs to be put in place with a lender. That’s why we’re talking about it in May, because it does take a bit of time and you ultimately need to pay that money into the bank so there’s a record and documentation which is what Julia was saying. So the best time when these things are advantageous is in the event that you have a high income year that you want to offset the tax. And then to Julia’s point, if you’re having maternity leave or paternity leave and your income is going to drop considerably in the next year or two, that’s the run-up and planning that we’re talking about. So may not be applicable for you this year. Or the other thing, if you’re maybe coming closer to retirement and the same principles apply in terms of if your income is going to drop substantially, then the interest in advance on lending is something to consider as part of your tax planning. The other ones which are probably a little bit less known for some people, Julie, is things like rates, insurances, body corporates. Do you see a lot of that throughout the BANTACS practices in terms of people trying to pay those in advance?  

Julia Hartman
No, not really. I’ve included this more as a warning to people that you can only pay 12 months in advance. So if your body corporate fees are already in advance, you can’t go and pay another 12 months’ worth and claim a deduction for it.   

Ben Kingsley
So a lot of people don’t realise that, but body corporate fees don’t run necessarily on a financial year. So the example there is if you’ve paid body corporate fees up until the 31st of December already in advance, then technically you’ve only got six months of additional fees in advance. And I think some of the other challenges there is again, you’ve got to actually pay it before 30 June, and you’ve got to have documented evidence of that. And I’m just trying to think, from a rates notice or from a council point of view…how would they account for that and what sort of record or information would they provide to you?  

Julia Hartman
Well, you can get a statement off most councils that should show the payment being made.  

Ben Kingsley
But it’s certainly not something that I hear often about because it’s not a huge amount of money, whereas the interest in advance on a loan potentially has some advantages associated with that. So that’s interesting.  

Julia Hartman
Yeah, it’s just a warning.  

Ben Kingsley
Okay. Let’s move down now to land tax. And obviously land tax is treated differently. So let’s talk to what are those differences, Julia?  

Julia Hartman
Well we’ve been talking about paying in advance and all those sorts of things to draw the claim forward. But the land tax is only deductible in the year it applies to, so paying it the following year doesn’t mean it goes in that year’s tax return… and certainly you can’t do any payments in advance. It’s: Right, you’ve been assessed for that year; that’s the year the tax return goes.  

Ben Kingsley
Yeah, so your accountant will do that calculation and make sure that they’re claiming the right portion in the right year as part of that story. So that’s an interesting one. The other one that’s interesting is in terms of interest in advance, and we’re going a little bit into commercial tenancies here. There might be a few people who have some commercial tenancies. There’s, you know, in terms of the discussions and reading the blogs that you put together, in some instances the tenants potentially might want to pay in advance, but that has unintended consequences for the actual owner of the property, doesn’t it?  

Julia Hartman
Yes, well it’s generally people that can get a tax deduction for their rents, so commercial properties is a rule of thumb. If they pay you that money 12 months before the 30th of June, you’re going to have to declare it unless you can argue somehow you might have to pay it back. It’s the Arthur Murray principal… where it’s dance school and they said oh yeah, but if they don’t take all the classes, we’d have to pay it back. So then they didn’t have to declare it, but I think that would be pretty hard when you’ve got a lease in place to stay. So yeah, you’re stuck with 12 months’ extra rent in your tax return if they pay it. Run.  

Ben Kingsley
And can you, you know, I suppose in your commercial contract you might have a clause in there that says no rent is payable in advance because you don’t potentially want that surprise. Is that sort of something you’ve seen in the past? 

Julia Hartman
Yeah, it would be not surprising for a tenant to want to pay rent in advance in a good year. So it’s just something to watch out for.  

Ben Kingsley
But it potentially has to be agreeable by the landlord as part of those deals or no if it’s received in the bank account. Surprise surprise, you’ve got a little bit of extra tax to pay in that year. You’ve got a little bit of surplus cash that you didn’t expect coming.  

Julia Hartman
Yeah, it’s not all the windfall it’s made out to be.  

Ben Kingsley
Nah, true, true.  

Well there you have it folks, that’s obviously just a snippet… the highlights of some of that episode. If you want to listen to the full version of the episode, just go to the summary notes or the notes inside this episode, click on that link and you’ll get full access to the whole episode where we go a little bit deeper on the topics.  

Also before you go, if you don’t have a property specialist tax accountant and you are looking for one, of course this is where I say you may want to consider Empower Wealth. We obviously have a guarantee and that guarantee is the Maximum Refund Guarantee. So we’ll ensure you get the maximum refund possible for all of your investment property tax returns, and also your personal tax returns as well. So you can check that out by going to www.thepropertycouch.com.au/tax. Thanks for that and always remember, knowledge is empowering but only if you act on it. 

 

How Much Land Tax will I pay? (2025 Update)

Last updated: 1 March 2025

Land tax in Australia is a state or territory levy on land ownership, calculated annually based on the unimproved land value. Generally, it doesn’t apply to owner-occupied homes (principal place of residence) but does impact investment properties, commercial properties, and vacant land.

On the podcast, we get heaps of questions about land tax—how it’s calculated, whether investors should be worried, and which states have the trickiest rules. In fact, back in 2022, we saw a flood of questions when Queensland announced a new land tax, only to scrap it a month later after major backlash. 😌

 

Is Land Tax the same as Property Tax?

A common question we get is whether land tax is the same as property tax. While they might sound similar, they’re actually different. Land tax is based on the unimproved value of the land (excluding buildings or improvements) and is typically levied on investment properties, commercial properties, and vacant land.

Property tax, on the other hand, is a broader term that can refer to different things depending on the context. Internationally, it often refers to a general tax on the total value of a property (land + buildings), paid annually by both owner-occupiers and investors. In Australia, we don’t have a broad-based annual property tax across all properties, but some state-specific property taxes do exist.

 

Australian Land Tax Breakdown: How Much Will You Pay?

Since each state and territory has different thresholds, rates, and rules, we’ve pulled together all the key details  in one spot for our borderless investor community. Keep in mind that land tax rates can change depending on how the property is owned (e.g., individuals, trusts, or companies). Below is a state-by-state summary of land tax regulations for individual owners, including links to get more details.

 

State/
Territory
Thresholds and Rates More Information
New South Wales (NSW) General threshold: $100 plus 1.6% of land value above the threshold, up to the premium threshold.
Premium threshold: $88,036 plus 2% of land value above the threshold.
Land tax is applied for the full year following the taxing date of 31 December, and no pro-rata calculation applies.From 2024 onwards, the general threshold is $1,075,000 and the premium threshold is $6,571,000.
Revenue NSW
Victoria (VIC) From 2024 land tax year, the general rates are:

  • Less than $50,000: Nil
  • $50,000 to less than $100,000: $500
  • $100,000 to less than $300,000: $975
  • $300,000 to less than $600,000: $1,350 plus 0.3% of amount above $300,000
  • $600,000 to less than $1,000,000: $2,250 plus 0.6% of amount above $600,000
  • $1,000,000 and above: Click here.
State Revenue Office Victoria
Queensland (QLD) For individuals:

  • Less than $600,000: Nil
  • $600,000 to $999,999: $500 plus 1 cent for each $1 more than $600,000
  • $1,000,000 to $2,999,999: $4,500 plus 1.65 cents for each $1 more than $1,000,000
  • $3 mil and above: Click here.
Queensland Revenue Office
South Australia (SA) 2020-21 General Rates:

  • Does not exceed $732,000: Nil
  • Exceeds $732,000 but not $1,176,000: $0.50 for every $100 or part of $100 above $732,000
  • Exceeds $1,176,000 but not $1,711,000: $2,220 plus $1.00 for every $100 or part of $100 above $1,176,000
  • $1,711,00 and above: Click here.
RevenueSA
Western Australia (WA) General Rates:

  • Up to $300,000: Nil
  • $300,001 to $420,000: $300
  • $420,001 to $1,000,000: $300 + 0.0025 dollars for each $1 in excess of $420,000
  • $1 mil and above: Click here.
Department of Finance WA
Tasmania (TAS) General Rates:

  • Up to $124,999.99: Nil
  • $125,000 to $499,999.99: ​$50 plus 0.45% of value above $125 000​
  • $500,000 and above: ​$1 737.50 plus 1.5% of value above $500 000
State Revenue Office Tasmania
Australian Capital Territory (ACT) Marginal rates that apply to property AUV (Average of the Property’s Unimproved Value over up to 5 years)

  • Up to $150,000: 0.54% of the AUV of the property
  • From $150,000 to $275,000: $810 plus 0.64% of the part of the AUV that is more than $150,000
  • From $275,001 to $1,000,000: $1,610 plus 1.24% of the part of the AUV that is more than $275,000
  • From $1,000,000 and above: Click here.
ACT Revenue Office
Northern Territory (NT) The Northern Territory does not currently impose land tax. Territory Revenue Office

It’s important to note that land tax generally applies to investment properties, commercial properties, and vacant land. Owner-occupied properties (principal places of residence) are typically exempt from land tax. However, specific exemptions and thresholds vary by state and territory. For detailed information on exemptions and specific calculations, please refer to the respective state or territory revenue office websites linked above.​

 

How are they calculated?

Land tax is calculated annually based on the combined unimproved value of taxable landholdings. Each state and territory has its own method of valuation and assessment. Generally, the process involves:​

  • Valuation of Land: The unimproved value of each parcel of land is determined by the state’s Valuer-General or equivalent authority.​
  • Aggregation of Landholdings: The total unimproved value of all taxable land owned by an individual or entity is aggregated.​
  • Application of Thresholds and Rates: The aggregated value is compared against the state’s land tax thresholds, and the applicable rates are applied to calculate the tax payable.​

For precise calculations and to understand how land tax may apply to your specific situation, it’s advisable to consult the relevant state or territory revenue office or seek professional advice from a qualified tax accountant.

 

Are there any Land Tax Exemptions and Relief?

There are several land tax exemptions and relief measures available across Australia, but they vary by state and territory. Common exemptions include land used as a principal place of residence, primary production land, and certain non-profit or charitable uses.

Some states also offer relief for properties affected by natural disasters or hardship. Since eligibility rules and application processes differ, it’s best to check directly with the relevant state or territory revenue office for the most up-to-date information.

 

Need expert guidance on land tax? Our sister company at Empower Wealth offers specialised tax accounting services to help property investors navigate land tax obligations, optimise deductions, and build sustainable tax structures that support your future goals. Get in touch today here!

Disclaimer: The information in this blog is intended for general informational purposes only and is based on current land tax rates and regulations at the time of writing. Land tax laws and thresholds are subject to change, and rates may vary over time. We recommend checking with the relevant state or territory revenue office or consulting a qualified tax professional for the most up-to-date and personalised advice.

 

519 | How He Left Johannesburg at 19 with £400 to Now Owning 18 Properties! – Chat with Gavin van Zyl

Today’s guest has a remarkable story whose lessons span international borders and redefines risk, resilience and what it means to build a real-estate empire… 🌍🏠 🔑 

Meet Gavin van Zyl, Founder of White Rhino Property and a leading property expert in Canberra and NSW’s Queanbeyan market.  

With an entrepreneurial drive and a fearless approach to property investing, Gavin has risen to prominence, ranking as Rate My Agent’s top salesperson in New South Wales and securing a spot in Australia’s REB Top 100 Agents list.  


In this episode, you’ll hear:

  • Essentials for ACT Property Investors, including how to navigate ACT’s land tax 📈
  • Finding “Real Estate Gold”: How he seized the opportunity to buy the worst house on the best street 🥇
  • From 4 to 18 Properties: Gavin’s strategies for managing risk and high debt to launch White Rhino Property. 📊
  • The 3-Month “Holiday” That Changed His Life: Hear the pivotal trip that sparked the fire for his prosperous career in real estate. 🛫
  •  His jaw-dropping global experience from share houses in London to landing in Canberra, and more! 🇬🇧

Tune in now for a fascinating discussion with one of the boldest names in NSW real estate.   


Free Stuff  

 

Timestamps  

  • 0:00 – How He Left Johannesburg at 19 with £400 to Now Owning 18 properties! 
  • 1:56 – Mindset Minute: To inspire people, don’t show them your superpowers… 
  • 3:13 – Welcome Gavin!  
  • 4:16 – From Johannesburg to Canberra: How did Gavin’s background influence his property investing?  
  • 5:22 – Money Story: “All that glitters ain’t gold”  
  • 8:38 – How the 3-month holiday he never returned from led to a career in property investing 
  • 11:11 – From Pounds to AUD: The big move to Australia and how he met Chelsea  
  • 16:51 – “That put the fire under my belly”: Landing in Canberra and how he got into property  
  • 21:59 – Why invest in freestanding over units?  
  • 25:54 – The loopholes he used to leverage  
  • 30:01 – How he bought real-estate gold: Investing in the worst house in the best street! 
  • 33:22 – From broke to the birth of White Rhino Property   
  • 38:03 – From ACT to NSW: “You can essentially buy three assets in this marketplace before you even get taxed $1.”  
  • 40:03 – The issue with investing in Canberra (Watch this on YouTube!)  
  • 44:19 – Where did Gavin develop his risk appetite?  
  • 48:38 – Ben’s experience in London!  
  • 51:14 – An entrepreneurial spirit and how he picks up the diamonds  
  • 54:49 – Investing commercial & buying in Super  
  • 56:28 – What is the mindset brought Gavin to where he is today?  
  • 59:07 – “The real wealth is freedom”: His North Star now 

And… 

  • 1:06:40 – Thank you, Gavin! What a remarkable story.  
  • 1:09:10 – Lifehack: How to remove Instagram content from someone without unfollowing them.  
  • 1:11:12 – WMPN: Holding Property: Is it a bulletproof investment or not? 

 

505 | Short-Term Rentals: The Complete Guide to 3X your Income – Chat with Hayley Mitchell

Investing in Short-Term Rentals: Why and how much does it really cost to succeed?   

In this week’s episode, we welcome back Hayley Mitchell, an award-winning full licensed Real Estate Agent who has worked across ALL facets of Property Management since 1999, including owning her own businesses!  

She has won several prestigious awards, including REIV’s Property Manager of the Year twice, and has been named Elite Agent’s Top 50 Industry Influencers in 2017, 2018, 2019 & 2022.  

After appearing on the couch way back in 2021, she’s returning to share her sharp insights and tried-and-true experiences in succeeding at short-term rentals.    

Here’s a sneak peek of what we’re uncovering…  

  • The 2 factors to determine if short-term rentals are for you    
  • A complete breakdown of the costs required to start up a short-term rental
  • The NEWEST changes to regulations that impact investors who use the short-term rental strategy 
  • Is there a location “sweet spot” for short-term rentals?
  • Real-life case studies on how different short-term property investors found their success, and more!  

 

Free Stuff Mentioned

  • Give property investors a voice! Become a PICA member for just $5 and help give property investors across Australia a voice against unjust changes to state regulations.  
  • PIPA Annual Investor Sentiment Survey 2024: We want to hear your thoughts on government regulation and tenancy relationships in PIPA’s annual survey!  This data is critical to accurately representing the views of property investors and protecting them in ongoing legislative changes. We just need 3,000 responses, folks. Share your thoughts here now! 

 

Timestamps

  • 0:00 – Short-Term Rentals: The Complete Guide to 3X your Income – Chat with Hayley Mitchell  
  • 2:46 –  Mindset Minute: The #1 secret that separates winners and losers  
  • 5:00 – Welcome Hayley!  
  • 5:53 – 20 years in the game: Why short-term rentals?  
  • 7:56 – Money Story: How a horse saddle taught her an invaluable money lesson  
  • 14:23 – Accidental accumulation and her first property  
  • 16:05 – Why choose short-term rentals?  
  • 17:44 – A $38G land tax bill: When should an investor walk away from short-term rentals?  
  • 20:43 – The most asked short-term rental questions  
  • 23:00 – How much upfront capital does it take to furnish a short-term rental?  
  • 26:11 – When can investors start to expect to see a return? 
  • 27:21 – The golden rule of thumb for platform fees  
  • 28:30 – The big problem with Victoria’s incoming 7.5% levy tax  
  • 30:39 – Do people really take the forks?!  
  • 32:34 – How much does insurance cost?  
  • 33:21 – Professional vs. Private hosts  
  • 35:00 – The Hidden Tax: How much do Property Managers cost?  
  • 39:19 – “A good manager should pay for themselves” 
  • 39:59 – The sweet spot for short-term rentals  
  • 44:07 – How do you make your short-term rental stand out?  
  • 46:16 – How can property investors stay on top of regulation changes  
  • 49:55 – An 89-day stay?! 😮  
  • 51:26 – Are short-term rentals adding to the housing affordability crisis?!    
  • 53:08 – The carrot vs. the stick approach  
  • 56:21 – Best & worst results from an industry-winning property manager 
  • 1:01:28 – How to understand short-term supply and demand  

And… 

  • 1:02:27 – What an amazing guest!  
  • 1:04:58 – Lifehack: Packing Cubes: Yay or Nay?  
  • 1:07:53 – WMPN: NSW’s No Grounds Evictions  
  • 1:12:09 – Become a PICA member for just $5 and help us give property investors a voice!  
  • 1:13:00 – Share your thoughts in PIPA’s Annual Investor Sentiment Survey 2024 
  • 1:17:10 – Thank you, Tom!  

 

Free Fact Sheet: Death, CGT and Your Home

Please welcome back, Julia Hartman, our Property Tax Guru! Julia is the Founder of BAN TACS, a cooperative of accountants that has been helping thousands of Australians navigate the world of tax since 1992. Basically, she’s your ultimate tax expert!

In Episode 502 of The Property Couch, we’ve uncovered the minefield that is death, inheritance, and taxes. It’s an unpleasant reality and a lot of people tend to avoid discussing it but don’t underestimate it’s importance in protecting your assets. Understanding how the title of your home is held is crucial for effective estate planning. The implications can be significant, influencing everything from ownership continuity to tax benefits. But it’s not easy to understand it! 

Which is why Julia has meticulously prepared this fact sheet, offering valuable insights to enrich your understanding.  

Fill in the form and download the free fact sheet today. 😉

P.S. Once you’ve filled in your details, an email confirming your request will be sent to your nominated email address within the next 5 minutes. Make sure to check your Junk and Promotion folders as well, in case the email gets caught in one of those filters.

 






 

 

 

 

 

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