It’s the same “ruse” thats being used by the feds to tax increases in super balances above $3,000,000. Pit if your super is a farm, that doesn’t produce big income, but has been bid up in value by"the market"
Local Council have been charging higher rates on vacant land for years, so this is nothing new, and for the same reasons that the Victorian Government have stated.
Treasurer Tim Pallas has stated that these changes aim to influence the behaviour of land investors and current landholders, encouraging them to either develop or sell the vacant residential property to someone who will.
I can be cynical over whether it is just revenue raising or not, but I recall the facts when it was debated at our Council and it was a real issue of land banking preventing community progress.
That said Land Tax is a burden for those who own multiple properties, and as it does not affect their primary residence, if they cannot afford the holiday home then maybe they should sell it.
You only pay vacant land tax after 5 years of it sitting vacant.
Not any more.
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I read this about six times and it is about the most confusing page ever. State Revenue Office are all Lawyers.
This one is from a Lawyer, less confusing but still hard to understand.
Again they can effectively leave two properties vacant. How many do they need vacant?
Think you are mixing your taxes, it has nothing to do with income, and there are already other holding taxes.
You already can’t negatively gear an empty property.
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I may have misread the op but I thought that was all it was discussing, new, or augmented tax on vacant land
Arent the government also moving away from stamp duty on property transfers?
whoops, thats just for commercial and industrial
Next the federal government will introduce a tax on unrealized capital gains on shares and then property. Inheritance tax will follow that. Oh and don’t be surprised when they will start to lower the threshold on the super form $3m and in 20 years time it will be $1m if retirees are lucky. Bookmark it.
Tax after tax after tax. Both sides of politics sucks. Labor will implement this sooner than the LNP but they will eventually.
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People are taxed without a relationship to deriving income in many, many ways by many levels of government.
Examples are GST, customs & excise duties, vehicle registration, pet registration, council rates, stamp duties, land tax under existing legislation!
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They got spooked on any tax reform last time they took it to an election.
Maybe in 20 years.
Also, why shouldn’t tax keep up with inflation? Is it any wonder any government can’t keep up with ongoing costs.
Government seems not allowed to recoup any increased costs for the same service.
(provacative question i know)
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increasing taxes while inflation goes up while wages dont go up as much is terrible policy
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It doesn’t need to get taken to an election. Super tax wasn’t. This is now the way they will handle it going forward.
It sure is. But where do we get more funds from?
Labor is gutless. They wont do anything to offend anyone except those who voted for them.
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being good economic managers and save costs through efficiencies
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Sure, but how do you make expensive medicines cheaper, or roads cheaper, or schools cheaper to run?
Government should set the framework for the economy to grow and reap the rewards from increased taxes they receive from a growing economy.
They should not increase their tax take by introducing new taxes or increasing them to increase the gouging of tax payers and retirees.
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Why not?
make efficiencies elsewhere and pass on savings to those areas
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