The ABC is reporting on Andrew Barr’s maiden speech to the Assembly in which he courageously tackled the real estate industry and investors, in the name of all those who have to date failed to get on the escalator.
But he says housing affordability for young people needs to be addressed by removing the exemption for homeowners from capital gains and land tax.
“These tax exemptions undoubtedly favour the majority of homeowners, especially those who are older or wealthier, but in my view they are pricing young people out of the market,”
I think he either needs a bravery medal or his head read for going after the “majority of homeowners”. A greek chorus of economic imbeciles incapable of thinking more than one step ahead then gathered to mock the idea, all without grasping the flow on effect of removing investment money from the real estate market.
Brendan Smyth in particular gave a good impression of a man either in the pocket of real estate developers or particularly slow on the uptake as he speedily issued a media release.
“So, on his first day as a Member of the Legislative Assembly and as a Minister, Mr Barr has firmly nailed his colours to the mast: he wants increased taxes and he wants to impose them not only on the family home, but also on religious organisations, retirement homes, nursing homes, farms and community housing corporations (which are currently exempt from land tax).
Brendan thinks this makes Andrew Barr “Old Labour”. I’d like to know what economic ideology/theory considers the massive diversion of capital into the dead zone of real estate to be productive.
Just a shame it’s a Federal and not a Territory matter.