First National Real Estate CEO Ray Ellis has slammed stamp duty on house sales as “inefficient” and “a complete rort”.
The reaction comes after reports that the property industry would support moves to replace stamp duties with another form of tax.
It has long been recognised that stamp duty as a tax is inefficient and a complete rort, Mr Ellis said.
“So, while First National Real Estate agrees it needs to go, it does not support the notion that it be replaced with some other tax.”
Mr Ellis said stamp duty should have been phased out with the introduction of the GST in 2000.
“Now, more than a decade on, we are still being burdened with stamp duty,” he said.
“What’s worse, the property industry appears to be portrayed in some news articles as willing to settle for replacing the duty, instead of having it abolished altogether.”
Mr Ellis said the upcoming 2011 Federal Tax Summit presents the ideal opportunity to get blanket approval from state and federal governments to abolish the levy.
“The government needs to look at policies that will encourage mobility rather than inhibit it.”