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{{propApi.successMessage}} {{region}} Change locationMore taxes equals less homes
More taxes equals less homes
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“The reduction in the threshold for payroll tax will see more businesses pay this tax, which is a disincentive to expand and employ more people,” said HIA Executive Director for ACT & Southern NSW, Greg Weller.
“The 8% duty on all vehicles over $80,000 will be a real blow to builders and tradies, with typical work vehicles costing more than this threshold.
“Fees that are going up include commercial waste, the building levy, traffic management fees, construction licence fees and vehicle registration. Along with an increase in commercial rates, all of these will add to the cost of housing.
“The Health Services Levy will also be applied to any business that has an office or other premises in Canberra.
“We have concerns that these imposts combined will further encourage builders to relocate across the border.
“Earlier this year HIA released an independent report from the Centre for International Economics (CIE) that demonstrated almost half the cost of a house and land package is taxes, fees and regulatory costs.
“In the ACT the figure is 47%. These changes will not help that equation.
“We would have liked to see more support for business in the 2025/26 budget than this. You will never tax your way to a stronger economy,” concluded Mr Weller.
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2025/26 ACT Budget released
The ACT Government has released the 2025/26 budget, a first for incoming Treasurer Chris Steel MLA. Following is an overview of the budget, along with residential building industry specific outcomes.
More taxes equals less homes
While recognising a number of measures announced to support housing prior to the ACT formal release budget, the Housing Industry Association (HIA) has expressed concern at increases in a number of taxes and fees, which will all add to the cost of home building.
First Home Owners can once again dream big of building a home in Tasmania
With the Tasmanian Liberals announcing today that if re-elected they will reinstate the grant for eligible Tasmanians building their first home to $30,000, there is renewed cause for optimism.
HIA welcomes NSW Budget efforts to support home building
“The NSW Government has announced that it will act as guarantor on up to 50 per cent of approved housing projects to bring forward the commencement of new construction,” stated HIA Executive Director NSW Brad Armitage.