REIA State Property Taxes Letter Writing Campaign
Housing affordability is a serious issue for Australians:
As at the June quarter 2007, Australian borrowers now need 36.2% of family income to meet average loan repayments.
First home ownership as a proportion of total homebuyers financed was 16.7% in June 2007 compared with annual averages in the range 20-25% in the last 10 years.
Home ownership has fallen to 64.1% of households.
Land release and State property taxes continue to be major obstacles to housing affordability for first home buyers and property investors.
These inequitable and inefficient taxes include:
stamp duty on conveyancing
land tax
tax on land sales.
State and Territory governments collected $16,937 million in property taxes in 2005/06. This was up 5.6% on 2004/05. The main contributing factor was a $1,327 million rise in stamp duty on conveyances, up to $5,343 million. $2,103 million in land tax was collected in 2005/06. There has been a 26.7% increase in property taxes collected by the States and Territories in the past five years.
For more information, click here.
REIA calls upon State Governments to reduce or abolish these taxes in order to improve housing affordability and to promote the benefits of home ownership and property investment for the socio-economic development of Australia.
REIA applauds the efforts made by those State and Territory governments that have reduced stamp duties and land taxes in their 2007 budgets.
YOU CAN MAKE A DIFFERENCE BY WRITING TO YOUR LOCAL POLITICIAN
Click here for a letter you can send to your local politician.
Click here to find out contact details for your local politician.
THANK YOU FOR SUPPORTING THE REIA CAMPAIGN AGAINST STATE PROPERTY TAXES
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When GST was introduced in 2000, it heralded a simpler and more efficient tax system.
The trade-off for the States receiving GST revenue was the reduction of State taxes.
It is now time for the States to stop taxing home buyers and start doing something about improving housing affordability.
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