NSW launches online calculator in a step towards stamp duty reform, but has yet to introduce a bill
The New South Wales government is laying the groundwork for its stamp duty reforms, although it has yet to introduce legislation in parliament.
- The online calculator will make the difference between paying stamp duty up front or an annual property tax
- Prime Minister Dominic Perrottet has advocated for stamp duty reform from his role as Treasurer
- Labor opposes the policy change, while the Greens are in favor but want more details
An online calculator has been set up through Service NSW for potential first-time home buyers to work out the difference between paying stamp duty up front or an annual property tax.
Under the government’s proposed scheme, first-time home buyers can choose either option if they buy a property worth up to $1.5 million.
“Choice is at the heart of these groundbreaking reforms which will put the keys in the hands of new owners much sooner,” said Prime Minister Dominic Perrottet.
The property tax rate is set at $400 plus 0.3% of the property value.
Treasurer Matt Kean announced the change in the June budget and will reveal the calculator on Monday.
“First Home Buyer Choice will help young families take charge of their home ownership goals and accelerate their journey to the great Australian dream,” said Mr Kean.
The government has yet to table the bill, which will not pass smoothly through parliament.
Labor has announced it will oppose the legislation and has previously urged the government to adopt the policy until the March election next year.
Stamp duty reforms figuring in the election campaign look increasingly likely due to the few sitting weeks before the expiration of the parliamentary mandate to pass the legislation.
The bill could also be considered by an upper house committee before going to the Legislative Council, which could further delay a final vote.
The Greens support the transition from stamp duty to a property tax, but will not commit to voting for the legislation until details are revealed.
The Shooters, Fishers and Farmers party should oppose it.
Mr Perrottet has pledged to abolish stamp duty since he was treasurer and the proposed reforms are a scaled down version of what he previously wanted.