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$vuetify.icons.faPhone1300 650 620

Peak body backs dumping of social housing tax

Media release

Peak body backs dumping of social housing tax

Media release
“We have vigorously opposed the Government’s proposed 1.75% impost on new housing since it first came to light because it creates yet another barrier to home ownership for Victorian families,” says HIA Executive Director Fiona Nield.

“Victorian home buyers already pay a range of taxes when they buy a new home, contributing half of Victoria’s tax revenue now.

“In Melbourne 38% of the cost of building a new home is made up of taxes, fees and charges. This new tax would have seen land and house prices being pushed further out of reach of new home buyers. 

“It was bad policy that likely would have seen young Victorians join an ever-growing queue for social housing, rather than helping them.

“The fact this tax was announced and then abandoned within 10 days demonstrates that this Government has no clear strategy or policy on housing affordability. 

“The Government is also proposing a Windfall Gains Tax which could see new home buyers in regional Victoria having to pay up to $53,000 extra. This is only a windfall for the Victorian Government and will significantly increase the cost of new homes in Victoria.

“We would urge the State Government to take a deep breath, step back and consult with those Victorians who are most impacted by additional taxes on housing and the higher prices this generates.”

 

For more information please contact:

Fiona Nield

Chief Executive - Business Services
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