Victorian families will be hardest hit after Daniel Andrews forced yet another nasty new tax on property development through the Upper House.
The Andrews Labor Government has introduced 39 new or increased taxes since forming government in 2014, including many on property.
Property amounts to almost half the state’s tax collection, including land tax, the metropolitan improvement levy, planning levy, stamp duty and the growth areas infrastructure contribution.
The new property tax will affect green fields developments and repurposed or redeveloped industrial land, making new homes even more expensive for Victorian families.
The government has refused to release its modelling, claiming it will collect just $40 million per year.
This is at odds with the property industry that says it could collect $1.5 billion in revenue over the next three years.
The Urban Development Institute of Australia (Victoria) calculates that the windfall gains tax will collect $250,000 per hectare of land developed.
Labor’s plan will hammer country Victorian properties making it more expensive for Victorians fleeing the surge of property prices in Melbourne.
Comments attributable to Shadow Treasurer, David Davis:
“Labor need to come clean and release its modelling on its big new housing property tax which will force up the cost of family homes. What do they have to hide?
“The existing programs to assist first home buyers and others are dwarfed by Labor’s massive property tax take, with $6.7 billion to be collected in stamp duty alone in 2021-22.
“Labor’s nasty new tax will push up property and housing prices beyond the reach of everyday Victorian families.
“The Liberal Nationals opposed Daniel Andrews’ new housing tax in the Parliament but Labor’s friendly independents voted to support Daniel Andrews’ imposition of the big tax.”