QLD government scrap controversial interstate land tax on investment properties
The Queensland Government has set aside its plans to implement their proposed Interstate Land Tax Model.
The controversial model was set to take into account property owned by investors interstate, not just property in Queensland, discouraging any prospective buyers interstate wanting to invest. Those with a wider portfolio across borders would have to pay a higher land tax rate.
The move was heavily criticised, in a market where investors are already sheepish. The lack of investors in the market in Queensland has been a concern all across the state, particularly in South East Queensland, where rents are approaching all time highs due to a lack of supply, supply which only comes from investors buying and leasing property.
The Property Council of Australia welcomed the decision.
Acting NSW Executive Director Adina Cirson said there had been mounting pressure on the Queensland Government in both local and national media, particularly as other State Governments had publicly voiced their refusal to share data with Queensland.
“This is a significant win for NSW residents who faced the possibility of facing double land taxes across the border," Cirson said.
“The Property Council welcomes this announcement as recognition Government has listened to industry’s concerns regarding both the implementation of the tax and its flow on effects on the market.
“Make no mistake NSW residents pay their fair share of land taxes.
“This outcome represents a significant win for both investors and renters and is an acknowledgment of the current housing crisis – and that we all need to be working together to solve this very wicked problem, not making it worse.”
