I am ticked off with the amount of tax we property investors have to pay, in particular stamp duty, its cruel.
...... and there is more.... once I complete my developments this year I will be also up for GST and CGT, they take a bite each way. Of course there is also land tax.
Here is some relative info for those interested:
According to a recent study by UHY Haines Norton, which is a globally-respected US accounting network, only India, Spain and Britain have higher tax on property purchases. For comparison, the US is below 1% and Canada is below 1.3%. As we will soon see, Australia?s tax is quite high in comparison to the other main English-speaking countries.
A property that sells for $545,000 in Australia would face an average tax of 3.7% of the purchase price compared to 3.65% for WA, while one selling for $382,000 would be taxed at 3.2% average for Australia compared to 3.183% in WA. Anyone who can afford to pay $3.82 million for their home would be taxed at an average Australian rate of 5.3%, compared to 4.9% in WA.
In the financial year 2011-2012, state governments collected over $1.2 billion in stamp duty tax.
Queensland is King
In Queensland, rates are roughly a third of what they are in the rest of Australia, at least on the lower end, putting them on a level with the US and Canada. This makes Queensland an attractive place for many Australians who are moving and want to purchase a home.
MTR
...... and there is more.... once I complete my developments this year I will be also up for GST and CGT, they take a bite each way. Of course there is also land tax.
Here is some relative info for those interested:
According to a recent study by UHY Haines Norton, which is a globally-respected US accounting network, only India, Spain and Britain have higher tax on property purchases. For comparison, the US is below 1% and Canada is below 1.3%. As we will soon see, Australia?s tax is quite high in comparison to the other main English-speaking countries.
A property that sells for $545,000 in Australia would face an average tax of 3.7% of the purchase price compared to 3.65% for WA, while one selling for $382,000 would be taxed at 3.2% average for Australia compared to 3.183% in WA. Anyone who can afford to pay $3.82 million for their home would be taxed at an average Australian rate of 5.3%, compared to 4.9% in WA.
In the financial year 2011-2012, state governments collected over $1.2 billion in stamp duty tax.
Queensland is King
In Queensland, rates are roughly a third of what they are in the rest of Australia, at least on the lower end, putting them on a level with the US and Canada. This makes Queensland an attractive place for many Australians who are moving and want to purchase a home.
MTR