4.6.8.10 Defining land adjacent to the principal home
Summary
This topic discusses:
- the definition of the term 'adjacent land'
- usage of the term
- assessing adjacent land under the private land use test (4.6.8.40), and
- assessing adjacent land under the extended land use test (4.6.8.50).
Definition of adjacent land
The term adjacent land describes the land surrounding the principal home that is held under the same title document.
Act reference: SSAct section 11A Principal home …, section 11A(11) Definition of title document
Usage
The term adjacent land applies to land assessed under the private land use test, OR from 1 January 2007, for age pensioners and CP recipients of age pension age, the extended land use test.
Act reference: SSAct section 11A(3) Private land use test, section 11A(6) Extended land use test
Assessing adjacent land under the private land use test
The maximum amount of land adjacent to the principal home that can be exempted under the private land use test is 2 hectares.
If the principal home is a dwelling-house, the land adjacent must be:
- held on the same title document, and
- must be used PRIMARILY for private or domestic purposes.
If the principal home is a flat or home unit - a garage or storeroom, the land adjacent must be used PRIMARILY for private or domestic purposes in association with the flat or home unit.
Act reference: SSAct section 11A Principal home …, section 11A(1)(a) if the principal home is a dwelling-house …, section 11A(1)(b) if the principal home is a flat or home unit …, section 11A(3) Private land use test
Policy reference: SS Guide 4.6.8.40 Private land use test
Assessing adjacent land under the extended land use test
From 1 January 2007 the maximum amount of land adjacent to the dwelling-house that can be exempted under the extended land use test is all land on the same title document as the income support recipient's principal home.