I was talking to an agent today who said that there is a new tax in the pipeline along the lines of a 45% tax being introduced for foreign investment purchases.....
Google didn't help so I thought I'd ask here. I did try and clarify if it was an additional tax on CGT or other (or maybe 4.5%), but they were adamant (they had been told in a meeting apparently) that it was an additional 45% tax on the purchase price of a property if you weren't local.
Thoughts? or links?
Thanks
ETA - I think they are just wrong, but it would be an awesome way to decimate the foreign investment demand for residential property (which I seriously don't think the government would be wanting to do)
Google didn't help so I thought I'd ask here. I did try and clarify if it was an additional tax on CGT or other (or maybe 4.5%), but they were adamant (they had been told in a meeting apparently) that it was an additional 45% tax on the purchase price of a property if you weren't local.
Thoughts? or links?
Thanks
ETA - I think they are just wrong, but it would be an awesome way to decimate the foreign investment demand for residential property (which I seriously don't think the government would be wanting to do)
Quote:
Has anyone heard of this?
I was talking to an agent today who said that there is a new tax in the pipeline along the lines of a 45% tax being introduced for foreign investment purchases.....
You need to stop listening to real estate agents. Most have the intellect of an ant.
What is this 45% tax? CGT, GST, stamp duty, income tax, inheritance tax, window tax?
furry
24 Oct 2016, 12:51 PM
Lol, got a link for that?
No! But Mr Hooker told me it was so during an investment seminar. At least there was free coffee and scones.
It's very odd that a real estate agent would be promoting this propaganda.
Yeah, it was really strange, I thought maybe they had confuzzed themselves and it was 4.5% or something, surely there would be more info about it even being a potential tax as anything property-related these days seems to get a lot of press....
Only other thing I can think of is that it is an existing tax and they misunderstood (eg 45% top tax bracket) etc.
Anyway, that's why I thought I would ask here, if it was real and correct (or even incorrect but doing the rounds) someone would have heard of it.
zaph
24 Oct 2016, 01:04 PM
What is this 45% tax? CGT, GST, stamp duty, income tax, inheritance tax, window tax?
I did try to clarify but they were insistent that it was on the purchase price
I was talking to an agent today who said that there is a new tax in the pipeline along the lines of a 45% tax being introduced for foreign investment purchases.....
Google didn't help so I thought I'd ask here. I did try and clarify if it was an additional tax on CGT or other (or maybe 4.5%), but they were adamant (they had been told in a meeting apparently) that it was an additional 45% tax on the purchase price of a property if you weren't local.
Thoughts? or links?
Thanks
ETA - I think they are just wrong, but it would be an awesome way to decimate the foreign investment demand for residential property (which I seriously don't think the government would be wanting to do)
If you have not seen it in the media, then the lobby groups against any such moves have not felt the need to spend money to oppose it, which means it is either not going to happen, or not going to happen any time soon.
A lot of things are in the pipeline, and there are a lot of flushes of that pipeline before they even see the light of day... personally, I would not expect a 45% tax on purchase price to be rolled out any time soon, but I have no doubt that there are lobby groups pushing for some kind of tax right now.
Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.
Forum Rules:
The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.
Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.
Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.
This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.
Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ
Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy