An increase in the Goods and Services Tax (GST) would be supported by the property industry if there was an abolition of narrow based, inequitable and inefficient property taxes, according to the Real Estate Institute of New South Wales.
“We have long called for a review of state taxes,” REINSW Deputy President John Cunningham said.
“REINSW is excited by suggestions made by Prime Minister Tony Abbott that he is now ready to conduct a review of the GST.
“We would be supportive of an increase in the GST rate if stamp duty, land tax and other narrow based, inefficient and inequitable state taxes were removed. We also believe that payroll tax is an inhibitor to employment and should be abolished.
“The Independent Pricing and Regulatory Tribunal (IPART) has described them [land tax and stamp duty] as inefficient, and REINSW believes it should be abolished in a modern tax system.
“If there is such a thing as a good tax system, it is broad based so as to provide government with its revenue but not impede or deter investment.
“Now is the time review the GST. But state tax system is inhibiting our economic growth and must be overhauled,” Mr Cunningham said.
For further information or to speak with REINSW Deputy President John Cunningham please contact Helen Hull at [email protected] or on 0419 642 961.