news

More calls for stamp duty reform

By webmaster

First National Real Estate CEO Ray Ellis has joined the voices calling for a reform of state taxes, in particular stamp duty, saying it is excessive and placing too much restriction on housing activity.

“Australia has already proven to one of the most expensive property markets in the world and excessive property taxes, like stamp duty, is making it incredibly difficult for new entrants to gain access to the market or for existing home owners to upgrade,” Mr Ellis said today.

According to Mr Ellis, the situation with the Australian property market is becoming untenable and needs to be addressed at a national level.

“We have a chronic shortage of supply, worsening home affordability and an increasingly tight rental market, which could all be partially addressed with a more realistic approach to property taxes, such as stamp duty,” Mr Ellis said.

“In some cases, the one home and land package could be levied three times with stamp duty. I can’t think of another situation where the one item can be taxed three times.”

According to Mr Ellis, inefficient property taxes including stamp duty are now the biggest single non-income tax generator of cash for Australian governments.  The Commonwealth needs to act to reduce the states’ dependence on these taxes, he said.

“Plus, as the Henry Review points out, transaction taxes such as stamp duties reduce economic efficiency, either by discouraging turnover or being embedded in the cost of production, which just increases the problem.”

Mr Ellis said he hoped the taxes would be addressed at the federal tax summit expected to be held around the middle of the year.

Thank you.

Your enquiry has been sent to a local Aussie Mortgage Broker.

We will be in contact with you shortly.
Opps.

error occurred.
Unfortunately Aussie cannot attend to your home loan related enquiry at this stage as you must be a citizen or permanent resident.
Do you need help finding the right loan for your investment?
What Aussie do for you:
  • Give expert mortgage advice to help you find great investment loan deals
  • Help you maximise return by lowering financing costs
  • Save you time and effort by helping with the paperwork
First name
Last name
Location
Mobile Number
Are you an Australian Resident?
promoted stories

Top Suburbs

Highest annual price growth - click a suburb below to view full profile data:
1.
BLUE BAY 49.18%
2.
PAMBULA 43.5%
3.
BERKELEY VALE 42.74%
4.
POINT PIPER 40.52%
5.
NORTH TURRAMURRA 38.12%
More calls for stamp duty reform
SPI logo