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New land tax threshold

Discussion in 'Real Estate' started by Jacque, 25th Jan, 2006.

  1. Jacque

    Jacque Team InvestEd

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    Exerpt from today's SMH on the new land tax threshold.....

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    Almost 12,000 more investment property owners will be exempted from land tax this year due to an increase in the tax-free threshold, NSW Premier Morris Iemma said.

    Mr Iemma today said the threshold for the tax on non-owner occupied properties would increase from $330,000 to $352,000.

    The Government is also considering options for an averaging system to protect property owners against big annual changes in land tax assessments.

    "This is great news for thousands of mum and dad investors, the majority of whom have modest investment properties below the threshold value level," Mr Iemma said in a statement.

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    Wow! How generous of them- to give with one hand but take with the other. According to the nine news tonight, the actual land tax rate is also being increased. Robbing Peter to pay Paul, if you ask me :mad:
     
  2. Jenny

    Jenny Well-Known Member

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    Yeah, no wonder most of us are cynical :rolleyes:
     
  3. Glebe

    Glebe Well-Known Member

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    blame the state government or blame the federal government for not distributing the gst fairly?

    where would you rather the state govt get its revenue from, or where would you rather they spend less?
     
  4. Jacque

    Jacque Team InvestEd

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    The NT seems to be coping quite nicely without the need for charging any land tax at all.
     
  5. Glebe

    Glebe Well-Known Member

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    Yeah but NSW and VIC subsidise the NT (and QLD and WA) to the tune of $3 billion per year (NSW receives $10 billion in Commonwealth grants when we pay $13 billion in GST).

    I don't agree with the tax, but until the Commonwealth grants system is overhauled I don't know where I'd rather the tax be placed. And I don't want the government spending less on transport, health, education and emergency services.
     
  6. Jacque

    Jacque Team InvestEd

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    The old excuses that the govt drags about decreasing funds for healthcare, education and transport etc are getting a little tired for my liking. There are plenty of other areas of spending which could be reduced for the positive encouragement of self-retirement funding. Punishing investors for wanting to opt out of the old age pension is not the answer.
     
  7. Glebe

    Glebe Well-Known Member

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