27/02/2007 - 11:51

Land tax thresholds reviewed, overturning not an option: Ripper

27/02/2007 - 11:51

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The State Government is reviewing land tax thresholds and scales, but would not abolish it all together, saying such a move would have a major impact on its ability to deliver services and build infrastructure.

Land tax thresholds reviewed, overturning not an option: Ripper

The State Government is reviewing land tax thresholds and scales, but would not abolish it all together, saying such a move would have a major impact on its ability to deliver services and build infrastructure.

 

 

The full text of an announcement from the Treasurer's office is pasted below

Treasurer Eric Ripper today said the State Government was reviewing land tax thresholds and scales as part of the State Tax Review.

The review is due to report to the Government in the lead up to the May Budget.

Land tax is payable on commercial and investment properties and holiday homes and does not apply to a person's principal place of residence.

Currently around 120,000 people pay land tax in WA.

Mr Ripper said any tax cuts in the May Budget would be balanced against the need to deliver services, build infrastructure and pay fair wages to teachers, nurses and police.

"I support tax cuts.

"Since coming to office the Government has announced the abolition of 11 State taxes, including the abolition of stamp duty on mortgages by 2008," the Treasurer said.

Tax relief since July 2004 has delivered an annual benefit to taxpayers of $700 million in 2006-07 alone, growing to $1.1 billion in 2010-2011.

Mr Ripper said the State Government had increased the exemption threshold from $10,000 to $150,000 for land tax and doubled the exemption for people building new residences from 12 months to two years.

In addition, a 50 per cent land tax concession has been provided to caravan parks to help ensure the ongoing supply of low cost family accommodation in the State's prime holiday destinations.

Mr Ripper rejected calls from the organisers of today's land tax rally to abolish land tax saying such a move would have a major impact on the Government's ability to deliver services and build infrastructure.

"Neither the Business Tax Review nor the current State Tax Review (interim report) have considered abolition of land tax to be a viable option," he said.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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