Land Tax Western Australia 2026-27: Rates, MRIT and Calculator Guide

Western Australia has the highest land tax threshold of any Australian state — $300,000 in taxable land value, compared to Victoria's $50,000. Most owners of a single Perth investment property pay little or no state land tax, though the separate Metropolitan Region Improvement Tax (MRIT) can still apply.

Use the Land Tax Calculator to estimate your exact WA land tax liability.

Quick answer: The WA land tax threshold is $300,000. For land valued at $600,000, the 2026-27 land tax bill is $750, plus $420 MRIT if the land is in the Perth metropolitan region — a combined $1,170. WA charges no trust surcharge and no foreign owner surcharge, unlike most other states.

WA land tax rates and thresholds 2026-27

Source: Western Australian Government, wa.gov.au. Rates apply to the aggregated taxable value of all non-exempt WA landholdings.

Aggregated taxable value	Annual land tax
$0 – $300,000	Nil
$300,001 – $420,000	$300 flat
$420,001 – $1,000,000	$300 + 0.25% of amount above $420,000
$1,000,001 – $1,800,000	$1,750 + 0.90% of amount above $1,000,000
$1,800,001 – $5,000,000	$8,950 + 1.80% of amount above $1,800,000
$5,000,001 – $11,000,000	$66,550 + 2.00% of amount above $5,000,000
Over $11,000,000	$186,550 + 2.67% of amount above $11,000,000

Metropolitan Region Improvement Tax (MRIT) — a separate charge on land within the Perth metropolitan region, added on top of standard land tax:

Aggregated taxable value	MRIT
$0 – $300,000	Nil
Over $300,000	0.14% of amount above $300,000

Assessment date: Midnight 30 June of the previous financial year. Your 2026-27 land tax is based on the land you owned as at 30 June 2026.

Worked example: $600,000 land value in WA

Scenario: You own a single investment property in Perth. Landgate has assessed your land's unimproved value at $600,000.

Standard land tax:

Land value: $600,000 — falls in the $420,001–$1,000,000 bracket
Base: $300
Plus: 0.25% × ($600,000 − $420,000) = 0.25% × $180,000 = $450
Total standard land tax: $750

If the property is within the Perth metropolitan region, MRIT also applies:

MRIT: 0.14% × ($600,000 − $300,000) = 0.14% × $300,000 = $420
Combined land tax + MRIT: $1,170

Unlike Victoria or NSW, WA does not charge an additional surcharge for land held in a trust, and does not charge a foreign owner or absentee surcharge on land tax at all — making it one of the more competitive states for both trust structures and overseas investors.

What "taxable value" means in WA

Taxable value is the unimproved value of the land, assessed annually by Landgate (WA's Valuer-General). It reflects the value of the land alone, excluding buildings, fixtures and other improvements.

This is not the same as:

The price you paid for the property
The Gross Rental Value used for local council rates
The total market value including the dwelling

For a $900,000 Perth house-and-land package, the unimproved land value is typically a fraction of that — often $350,000–$500,000 depending on block size and location, since the improved dwelling carries most of the value.

WA land tax: key rules

Aggregation

RevenueWA aggregates the taxable value of all non-exempt land you own across WA to determine your total liability. There is no separate threshold per property — if you hold three investment properties valued at $200,000, $250,000 and $200,000, your aggregated taxable value is $650,000, assessed as a single amount against the rate table above.

Principal residence exemption

Land you use as your principal place of residence is exempt from WA land tax. The exemption applies to the home you actually live in — investment and rental properties, including vacant land held for future development, do not qualify.

No trust surcharge

Unlike Victoria (0.5% surcharge) or NSW (surcharge land tax for certain trusts), WA does not impose an additional land tax surcharge on land held in a discretionary or unit trust. Trust-held land in WA is taxed at the same standard rates as individually held land.

No foreign owner surcharge

WA is one of the few Australian jurisdictions that charges no land tax surcharge for foreign owners or absentees. Victoria charges 4%, NSW charges a surcharge land tax rate, and Queensland applies a land tax surcharge to foreign companies and trustees — WA charges none of these on land tax itself (note this is separate from WA's foreign buyer duty surcharge, which applies to the purchase, not the ongoing land tax).

Metropolitan Region Improvement Tax (MRIT)

MRIT is a distinct tax, not part of land tax, but assessed and collected alongside it for land within the Perth metropolitan region. It funds regional planning and infrastructure. Land outside the metropolitan region (most regional WA) is not subject to MRIT.

Assessment date: 30 June

WA assesses land tax based on ownership at midnight on 30 June of the preceding financial year — earlier in the calendar than Victoria (31 December) or NSW (31 December). Settling a purchase before 30 June means you're on the hook for that assessment; settling just after means the seller remains liable for that year.

Reducing your WA land tax bill

Confirm your principal residence exemption is registered. If you've moved and your rate notice still shows an old address, contact RevenueWA to update your exemption before the next 30 June assessment date.

Check the unimproved land valuation. If you believe Landgate's assessed value is too high relative to comparable land, you can lodge an objection. A successful objection reduces both land tax and MRIT, since both use the same valuation base.

Structure holdings across states. Because WA has no trust surcharge, holding investment property in a trust is comparatively cheaper here than in Victoria or NSW — worth factoring into structuring decisions for a multi-state portfolio.

Frequently Asked Questions

What is the land tax threshold in WA for 2026-27?

The WA land tax threshold is $300,000 — the highest of any state. Aggregated taxable land value below this is exempt from land tax (MRIT has the same $300,000 threshold).

What is MRIT and is it the same as land tax?

The Metropolitan Region Improvement Tax (MRIT) is a separate charge from land tax, applying only to land within the Perth metropolitan region. It uses the same $300,000 threshold and the same aggregated land value, at a flat 0.14% above the threshold, and is assessed alongside your land tax notice.

Does WA charge a foreign owner land tax surcharge?

No. WA does not apply a land tax surcharge for foreign owners or absentees, unlike Victoria (4%), NSW and Queensland. This is separate from WA's foreign buyer duty surcharge, which applies when purchasing property, not to ongoing land tax.

Do I pay land tax on my principal residence in WA?

No. Land used as your principal place of residence is exempt from WA land tax. The exemption covers the home you actually occupy — it does not extend to investment properties or vacant land.

When is WA land tax assessed?

WA land tax is assessed based on land ownership at midnight on 30 June of the previous financial year. Assessment notices for the 2026-27 year are based on land held as at 30 June 2026.

This article is for general information only and does not constitute financial, tax or legal advice. Land tax thresholds, rates and MRIT are set by the Western Australian Government and subject to change. Verify current rates with RevenueWA before making financial decisions.