Tassie to follow suit with NSW SD and Taxes?

[Tim]

Hi,

interesting article about Tas looking at similar changes as NSW with SD and hinting at sale tax.

http://www.abc.net.au/news/newsitems/s1085499.htm


Timbo

[duncan_m]

Tim,

NSW has opened the door.. I have no doubt that within 2 years every state in Australia (maybe with the exception of Qld) will have instituted the same sort of Stamp Duty on Sale for IP's.

[Aceyducey]

interesting article about Tas looking at similar changes as NSW with SD and hinting at sale tax.
Well not actually looking at similar changes - just the Democrats suggesting changes.

The Democrats have no power, this is simply a PR exercise.

I suspect other states will not even think about copying the NSW changes until after the NSW elections. They'll want to see what the voters think of the approach & have some time to evaluate impacts.

And even then, I see little reason for them to choose to follow NSW. Other states will choose their own paths.

Cheers,

Aceyducey

[Tim]

AceyDucy,

you are right it is just the democrats voicing their opinion but I am inclined to think that each state government will leverage off what other states are doing and in their own way adjust state taxes to their own advantage (which could range depending on what they want to achieve) based on the NSW precedent.

To be more specific I could see other states reducing SD to be competitive with NSW FHO and possibly looking at sale/land or other taxes to keep up revenue.

Timbo

[Aceyducey]

To be more specific I could see other states reducing SD to be competitive with NSW FHO and possibly looking at sale/land or other taxes to keep up revenue.Given net immigration figures & the other factors involved in where people choose to buy I don't see why other states need to compete with NSW, excepting possibly the ACT.

QLD has a head start on immigration due to climate & prices, WA, SA, TAS & NT don't offer the same pay scales.

First home owners rarely select which state to live in. They live in the state where their jobs exist.

Only on borders does this vary & frankly the numbers are too small to count (except in the case of the ACT of course, where everyone lives within 30km of the border).

Cheers,

Aceyducey