THE 2007/2008 Bracks Government budget includes land tax cuts for the top rate and a $510 million investment into public housing.
Yesterday, the Property Council of Australia welcomed the cut in the top rate of land tax from 3% to 2.5%.
Property Council’s Victorian executive director Jennifer Cunich said the $508 million worth of land tax relief will make
“We are pleased the Government took on our pre-budget recommendation to reduce the top rate. This is a significant drop and one that should allow
“Improving
Cunich also welcomed the announcement of the abolishment of special land tax on primary production land that is wholly or partly in the metropolitan area.
“This will facilitate development in the urban fringe and is good news in the quest to make housing affordable,” Cunich said.
The Government committed a $510 million investment in public housing, providing funding for 1550 houses to be managed by housing associations right across the State.
Housing Minister Richard Wynne said this means that more than $1.4 billion will be invested in public and social housing in
“The Bracks Government will also fund an extra 800 public housing dwellings. In total, it means 2350 new or redeveloped dwellings over four years,” Wynne added.
Wynne said despite average rent increases of 3.4% in the private market, the Bracks Government would not be lifting public housing rents across the board.
Meanwhile, the Property Council remains concerned about the State Government’s reliance on property taxes which continue to account for 30% of the revenue even with the announced land tax reform.
She added that the Property Council welcomes extra funding to the
“The Property Council, however, is disappointed with the Government’s transport spending announcements.
“With all the discussion about congestion and the impact on
Australian Property Journal