Ahead of the inquiry into Labor\u2019s tax changes beginning in parliament next Monday, the Greens call on Labor to scrap tens of billions in tax handouts for professional property investors and redirect the money into what could be a $2200 cost of living relief payment for every renter and mortgage holder in the country.<\/p>\n\n\n\n
PBO analysis, based on ATO data for 2023-24, reveals people with two or more investment properties claimed an eye-watering $33 billion in tax handouts that year. This included 11,000 landlords with 7+ houses who claimed $1.9 billion from 98,100 investment properties. <\/p>\n\n\n\n
The data shows Labor\u2019s grandfathering of property investor handouts locks in tax benefits to people at the top end of town, while renters and mortgage holders bear the brunt of an unfair housing market.<\/p>\n\n\n\n
Not only does Labor\u2019s excessive grandfathering represent a massive budget expenditure on the ultra wealthy, it also disincentivises existing property investors from selling these homes to first home buyers. Labor has, by accident or design, created a class of “unicorn” assets with favourable tax settings for people who already own multiple properties, and those property investors will now be incentivised to retain and reborrow against these assets in perpetuity.<\/p>\n\n\n\n
Leader of the Australian Greens, Larissa Waters:\u00a0<\/strong><\/p>\n\n\n\n \u201cAustralians are suffering through the worst cost of living crisis in memory and Labor has chosen to lock in $33 billion worth of tax handouts to protect property barons.<\/p>\n\n\n\n \u201cFor the same amount of money the government spends on tax handouts to multiple property landlords, they could give a $2200 cost of living payment to every Australian renter and mortgage holder.<\/p>\n\n\n\n \u201cFor a budget sold on generational inequity, this is the sort of top-end tax handout that should have been scrapped to encourage mega landlords to sell properties to first home buyers.<\/p>\n\n\n\n \u201cInstead Labor is rewarding property hoarding.\u201d<\/p>\n\n\n\n Greens spokesperson on Economic Justice & Treasury, Nick McKim:\u00a0<\/strong><\/p>\n\n\n\n \u201cThe data shows Labor is working for the wealthy investors, locking in tax handouts stacked in favour of professional property speculators.<\/p>\n\n\n\n \u201cThe biggest beneficiaries of Labor\u2019s grandparenting sit at the top end of town, exactly where Labor should start scrapping publicly funded handouts in the name of fairness.<\/p>\n\n\n\n \u201cIf you take away the tax perks, it becomes less attractive to hold onto multiple properties as a tax shelter, and that shifts the incentive to sell to first home buyers.<\/p>\n\n\n\n \u201cLabor\u2019s own housing plan is so heavily grandparented that it is only expected to free up 75,000 homes over a decade. But there are 1.7 million houses still being treated as tax-preferred unicorn assets. <\/p>\n\n\n\n \u201cThat keeps the pressure on the market and makes it harder for first home buyers to compete.\u201d Ahead of the inquiry into Labor\u2019s tax changes beginning in parliament next Monday, the Greens call on Labor to scrap tens of billions in tax handouts for professional property investors and redirect the money into what could be a $2200 cost of living relief payment for every renter and mortgage holder in the country. PBO … Continue reading “Greens call on Labor to axe $33b in property baron tax handouts to deliver relief for households”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-39485","post","type-post","status-publish","format-standard","hentry","category-aussie"],"_links":{"self":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts\/39485","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/comments?post=39485"}],"version-history":[{"count":1,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts\/39485\/revisions"}],"predecessor-version":[{"id":39486,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts\/39485\/revisions\/39486"}],"wp:attachment":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/media?parent=39485"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/categories?post=39485"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/tags?post=39485"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
The costings can be found here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"