After section 22
the following section is inserted —
“
23A. Private residential property owned by
executor or administrator — beneficiary with right to future
ownership
(1) Private
residential property is exempt for an assessment year if at midnight on
30 June in the previous financial year —
(a) the
property is owned by the executor or administrator of an individual’s
estate; and
(b) an
individual identified in the will (the
"beneficiary") is entitled under the will to ownership of all or part of the
property at a fixed or ascertainable future time; and
(c) the
beneficiary uses the property as his or her primary residence.
(2) However, if the
beneficiary’s future entitlement is to ownership of part only of the
property, then the exemption applies to the proportion of the property to
which the beneficiary will become entitled.
(3) If —
(a) land
is exempt under this section for a financial year; and
(b) at
midnight on 30 June in that financial year the beneficiary is not using
the property as his or her primary residence,
the executor or
administrator must notify the Commissioner to that effect within 3 months
after that 30 June.
Penalty: $5 000.
”.