Rental arrangement categories for state land tenures

11 - Primary production

Category 11 covers leases, licences and permits to occupy whose use is primarily for primary production. Primary production covers aquaculture, viticulture and agriculture (including growing cane, coffee, tea, tobacco, fruit, vegetables, flowers and other horticultural crops, and farming of cattle, pigs and poultry).

Category 11– Primary production comprises 2 subcategories:

  • subcategory 11.1 includes perpetual leases
  • subcategory 11.2 includes term leases, licences and permits to occupy.

How your rent is determined

The annual rent is calculated, as prescribed by the Land Regulation 2020, at:

  • subcategory 11.1: 1.5% of the land value
  • subcategory 11.2: 0.75% of the land value.

The minimum rent as prescribed by the Land Regulation 2020. This is indexed annually, with the new minimum rent coming into effect from 1 July each year.

The annual rent for 2022–23 is capped at no more than 10% above the previous year's annual rent.

Due date

Annual rents are due on 1 September of the financial year for which the rent is payable. Invoices are normally issued before the end of July.

Quarterly payments

You may be eligible to make quarterly payments if your annual rent is greater than $2000. If eligible, you will be sent an invoice for the quarterly payment about 30 days before it is due. Payments are due on 1 September, 1 December, 1 March and 1 June.

If you would prefer to make a single payment for the total annual rent, email ltladmin@resources.qld.gov.au or call (07) 3199 7817.

Penalty on late payment

If you do not pay the rent within the time prescribed on the invoice, you will be required to pay penalty interest on the rent outstanding until the day the rent is paid. This is in addition to the rent.

Penalty interest rate

The penalty interest rate, accruing daily and compounding monthly, is 2% above the Suncorp-Metway business variable lending base rate as at 1 July of the annual billing period.

Hardship assistance

If you hold a term or perpetual lease, a road licence or occupation licence and are suffering financial hardship, you may be eligible to defer your payment. Holders of permits to occupy are not eligible.

If your application is successful, you will be allowed to defer all or part of your rent for the rental period. See deferring your rent or instalment for more information.

Note: No interest will be charged on the deferred rent.

Drought assistance land rent

The Queensland Government is committed to supporting landholders who are suffering hardship as a result of the continuing drought across the State through drought assistance packages.

As part of our drought assistance package, the payment date for all 2022–23 invoices has been extended to 30 June 2023 for all primary production leases in drought declared Local Government areas and for individually droughted properties, regardless of whether they are invoiced on an annual or quarterly basis.

You may make full or part payments, however if payment is not made within the prescribed time of 30 June 2023 you will not be required to pay any late payment penalty.

In addition, you will receive a rebate of up to 15.95% of your annual rent if your annual payment is more than the minimum rent of $284.

If the relevant drought declaration is revoked prior to 30 June 2023 your rebate amount will not change and will be valid for the full year.

Related information

Rental arrangements are made in accordance with the Land Regulation 2020.

In this guide:

  1. 11 - Primary production
  2. 12 - Residential
  3. 13 - Business and core government business
  4. 14.1 - Charities and small sporting or recreational clubs
  5. 14.2 - Large sporting or recreational clubs
  6. 15 - Communication sites
  7. 16 - Divestment

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