NSW Budget 2007 - some good new for property investors

Source : http://www.treasury.nsw.gov.au/bp07-08/budsum/pdf/budsum.pdf

 

Now if only they would start talking about scrapping capital gains tax

 

I laughed when I heard that - .1% lower.
Whoopeeeeeeeeeeeeeeee.

I dont think this is what John Edwards was asking for at the Property Expo to help boost this states property undersupply - and what is needed to fix it.

 

But as per the Press speal that .1% equates to an 5.88% reduction in land tax rates!!!!!!

Either way its a joke ~~ NSW government does not have a clue when it comes to property and the effect the taxes they levy have on investors.

 

I'm with Perky on this one-the drop from 1.7 to 1.6% is hardly noticeable and will probably cost more in paperwork to legislate.

If they're serious about encouraging investors and home buyers back into the market, take a look at reducing stamp duty and offering bigger cuts to this with land tax.
We all knew mortgage stamp duty was going, but it's still a year away for investors.

 

Excuse my ignorance but how does that equate?

 

0.1 / 1.7 = 5.88%

or

(1.7-1.6) / 1.7 = 5.88%

 

I would like to think that over the coming years the NSW govt continually chip away at land tax and stamp duty costs.

The Federal government got laughed at a few years ago for the 'hamburger' tax cuts, but they've continually chipped away at the tax rates, year after year. So I hope the NSW is following that, with the current cuts not a one-off.

I do feel for them for a certain degree, they have high expenses, largely as a result of public servants. Improving public service labour productivity has been hard for all previous Labor/Liberal governments, as the 9-5 mentality, unionism culture is very ingrained.

 

got it, now it makes sense, marketing BS, in the end, it's still only .1% less than what it used to be.

 

It's hardly marketing BS. A 5% cut is a 5% cut.