Should be no negative gearing on anything. Only makes the rich richer and poor with less chance to own anything.
2 Likes
Not sure itâs overly popular as it burns individuals on margin calls.
I guess the upside is claiming losses on gearing into Australian shares that it encourages direct investment into a wider cross section of the economy.
I do think maintaining negative gearing on newly built property where there is a net addition to the stock of housing maintains some merit.
Whilst they(developers) can make an awful lot quickly, there is a huge sunk cost in developing new apartments and they can do all their dough quickly too.
Negative gearing is still questionable as I think a property development should be viable without tax incentives(ahem much like renewables⌠Talk about a double standard!) but nowhere near as much as bidding up existing property.
Mmm, how would that work? Donât you need an income from the asset in order to deduct the costs it incurs?
Besides, the CGT exemption on a primary residence, whilst not negative gearing, is a decent way for everyone to protect their asset base donât you think?
1 Like
So if thatâs the case then properties that are turning a profit should be tax exempt right?
I hope everybody owns a place because once the investors pull out of the market rent is going to go through the roof.
Impossible.
If investors leave then owners are buying and rents will remain equal.
1 Like
Some sort of sex scandal about to hit the Morrison government.
Some Nats assistant minister has quit over claims he used a website to meet women while travelling on government business.
Why will rent go up ?
If investors pull out of the market (questionable if they will), then market demand falls, so logically prices fall and more can afford to buy.
And actually rents are low in terms of return on investment; properties sold in Toorak for $1.25 million are attracting rents of $700 per week or less, which while still better than current bank interest is a poor return.
Investors are not really interested in rental returns, they want capital gain which has been massive over the past years.
So, why would rents go up ?
Is the libs can pull off a surplus that will be enough to impress people for them to stay in I reckon
Canât see it myself. I like that corporate tax is way upâŚ20% higher than if the tax cut had gone through.
My suspicion is that the figures are dodgy anyway.
Libs in Victoria had a good surplus at the end of the Kennett Government and then again at the end of the most recent one. They both lost, because they didnt do any farking thing to add to our standard of living and cut educaiton, health and most other things.
Rudd could have had a large surplus, but he and Swannie kept the country moving during the GFC, and I think the day of homage to the surplus is gone. Us mugs actually want better educaiton, health, more jobs and a better environment.
2 Likes
Donât think anything can save the Libs at this stage mate. Unless possibly Shorten bending to the unions on ending offshore processing and boat turn-backs. It seems to be a pretty volatile topic with voters. And while the majority of Aussies (by a very small percentage) donât support changes to negative gearing i donât think itâs a big enough issue to swing voters.
All Shorten has to do is not â â â â up. Seems simple enoughâŚ
Not sure Unions give much of a fark about turning back boats and offshore processing.
There are lobby groups within the ALP who are fighting hard for policy changes and while I wish the policy was to bring all the prisoners on Manus and Nauru here, will not change before the election
1 Like
Have you been reading the news? The unions very much give a fark about it. And are pushing for it. Quick google search and youâll find plenty about it. Not sure why they are so into it though? Apart from the whole âcaring about peopleâ thing. Seems like something they should push for after the election.
Barnaby set a high standard for his team to follow.
3 Likes
Someone gets it.
This obsession with surpluses and Governments âbalancing the budgetâ needs to stop. We need some serious investment in infrastructure, decarbonisation (renewables), NBN (FTTP) and not the fraudband â â â â weâre getting, housing affordability + universal basic income in combination with a job guarantee. All that will require deficit spending, which as a sovereign owner of our currency, isnât a problem at all.
4 Likes
Agree with you, but worth pointing out investments doesnât impact the budget.
For example Victoria runs budget surpluses whilst borrowing billions to fund infrastructure investment.
1 Like
Werenât the Nats the party of âfamilyâ & Christian values?
What a bunch of frauds.