Steve Greenwood |
Wednesday, 11 February 2009 7:00 AM |
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The Property Council of Australia has welcomed today’s announcement by the Queensland Government of the cancellation on the revaluation process for 17 local government areas in Queensland.
The 17 regions presented with a much-needed tax break are Balonne, Banana, Bundaberg Regional, Cassowary Coast regional, Charter Towers Regional, Croydon, Dalby, Etheridge, Lockyer Valley, Moreton Bay, Mount Isa, Rockhampton, Redlands, South Burnett, Southern Downs, Townsville and Whitsunday.
Property Council Queensland Executive Director, Steve Greenwood, said that the government’s announcement was a responsible decision, particularly in the current economic climate.
“Basing land tax payments on 2005 values will help prevent job losses in these 17 local government areas,” Mr Greenwood said.
“Although this move by the Government is welcome, and will provide a degree of much-needed relief, more needs to be done to address the land tax increases that will occur across other parts of Queensland.
“The failure of the government to revalue properties in other parts of South East Queensland in 2008 will result in 2009 tax bills being far in excess of what they should be (if the 2008 valuations were undertaken).
“This is simply due to the fact that property values are now significantly below what they were in late 2007 – particularly in the commercial sector.
“Add to that the 0.5% land tax surcharge for the portion of property value exceeding $5 million, and many Queensland companies, including superannuation investment funds, will be facing a land tax bill that is much more than the current take.
“Due to the complexities of the current valuation system, the failure of timely revaluations and the 0.5% mini-budget hike, South East Queensland property owners are facing an inequitable and unpalatable situation.
“An increase in land tax will put further pressure on already falling property prices in South East Queensland, and Queenslanders will see a further drop in the value of their superannuation funds which are heavily invested in property.
“Raising the state’s land tax revenues is at odds with the Governments stated intention of protecting jobs, and retirement savings.” Mr Greenwood said.
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Steve Greenwood |
Wednesday, 11 February 2009 7:00 AM |
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