The Property Council of Australia has congratulated the Queensland Government for reducing land tax and recognising its significant negative impact on investment in Queensland in the 2005/06 budget, handed down this afternoon.
Queensland executive director Robert Walker said that the Property Council had long been advocating for a reduction in land tax, and considered today’s budget a huge win for not only the Property Council, but for Queensland business in general.
“As a result of today’s budget, Queensland now enjoys the highest land tax thresholds and lowest land tax rates in Australia,” Mr Walker said.
Mr Walker added that changes to land tax meant a $847 million saving over four years – and $147.5 million for 2005/06, resulting from a reform to the rates schedule.
“Today’s budget demonstrated the tax threshold for commercial land had risen from 170,000 to 300,000, and the high value land holdings tax rate had reduced from 1.8 per cent to 1.5 per cent.
“More importantly,” Mr Walker said, “the number of tax payers in the land tax system will be reduced by 21,000.
“The land tax system will be simplified, and the current 10-step schedule will be replaced – including rebates and statutory declarations – by two new simplified schedules for resident individuals, and companies, trustees and absentees.
“The Property Council wholeheartedly supports State Government and its commitment to reducing land tax and congratulates Treasurer Terry Mackenroth on this initiative.”
Robert Walker, Executive Director, Property Council of Australia, 0417 072 197
Nikki Schultz, Communications Manager, Property Council of Australia, 07 3225 3000