Land tax has become one of the biggest talking points in Mornington Peninsula real estate this year, especially for beach home investors now facing steep increases in outgoings. For many, this has meant selling off what was once a lifelong dream—just to stay ahead.
But here’s the good news: with a smarter strategy, the Peninsula dream doesn’t have to end.
By selling a high-tax beach home and reinvesting in primary production acreage, investors may qualify for generous land tax exemptions or concessions—a move that could significantly reduce costs while still holding a valuable slice of Peninsula lifestyle.
What qualifies as primary production?
Landowners may be eligible if they use the land for:
- Growing and selling produce (in raw or processed form)
- Breeding animals or poultry for sale or produce
- Beekeeping to sell honey
- Commercial fishing (including gear storage or prep)
- Growing plants, mushrooms, seedlings, or orchids for sale
Note: Land used purely for equine agistment for recreational purposes does not qualify.
There’s no minimum income requirement to qualify—but these exemptions are not automatic. They must be applied for, and knowing the process is key.
With the right advice, you could be breathing in fresh country air, rather than feeling weighed down by land tax.
For more information or to explore the largest range of acreage properties on the Peninsula, speak to the experts at Homes & Acreage.
