Relief for commercial landlords

Relief is available to those commercial landlords who have given rent relief under the 2021 revised Commercial Rent Relief Scheme.

Under that scheme landlords are required to provide the following relief to their tenants:-

  • A reduction in rent commensurate with the decline in the business’s turnover.

  • Half of that reduction is to be waived permanently.

  • The other half is to be paid on a deferred basis.

  • Not evict any tenant.

  • Not to charge any outgoings where the tenant can’t occupy the building.

  • Extend the lease on the same terms as the period of rent relief.

You can read more at – https://www.mrsaccountants.com.au/rent-relief-2021/

As part of this process, landlords are required to issue an acceptance letter.

To support landlords, the State Government has announced the following relief:-

  • A 25% Land Tax Relief (which is additional to any previous reduction).

  • A deferral of any residual Land Tax for the 2020 and 2021 years until 31st May 2022.

  • Small landlords who consequentially suffer hardship can receive up to $6,000 under the Commercial Hardship Fund #3. Small landlords are those with holdings of less than $3,000,000.

  • This grant can be increased to $10,000 where a landlord suffers acute hardship. Acute has been defined as where rent represents 70% or more of total gross income – with gross meaning income before deductions.

Applications close by 15th January 2022.

At the time of writing, we are still awaiting the revised Land Tax application form.

We will be in touch when the Land Tax applications open.

 

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