It's time to take a stand against land tax

Mary Massina | Thursday, 3 September 2009 12:01 AM | Add Comment

Since 2000, land tax receipts have increased by 200 per cent in Tasmania and over the next three financial years is estimated to go up by a further 50 per cent. In contrast to this other state tax receipts are only predicted to increase by a relatively modest less than 20 per cent.

Land tax touches all aspects of Tasmanian life. It sees a decline in the real income for those that can least afford it – low income earners in private rental accommodation. It means the iconic Tasmanian family owned shack is rapidly becoming a thing of the past and, for mum and dad investors, it eats away at their nest egg.

This is not a tax for the rich, land tax is a tax on investment that adds to the costs of doing business in Tasmania and pushes down the net returns of investing in the property sector at a time when the state can least afford it.

In the past decade the State Government’s insatiable appetite for property taxes has continued to increase with over $2.44 billion paid into Treasury coffers. However, over that same period of time the Government has done nothing to make the tax burden more equitable in Tasmania.

With the impending state election set for March next year it is time to take a stand. It is time to tell all our political leaders that reforming land tax is not the wish of a minority of vested interest groups, it is the wish of all Tasmanians who seek to see the state grow and prosper for the benefit of all its residents.

In the following weeks, a survey will be sent to members regarding land tax, the information gained from the survey will allow us to highlight to all three parties the unnecessary burden that property taxes, land tax in particular are placing on Tasmanian property investors.

Mary Massina | Thursday, 3 September 2009 12:01 AM | Add Comment

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