Why do workers vote Liberal?

[madmug]

Not everyone has a cushy government job where you can slack off and keep your job forever.
Some of us actually have to work for a living.

Generalisation. Big generalisation.

This probably applies to a few people in different jobs whether Government or private.

 

[Power Raid]

If you own your own home , you pay local government rates
I you are a landlord, you pay local government rates and state government land tax.

Rates are fees for services

The state government land tax shows it can be done. It needs a tweak from an individual property valuation to a full wealth assessment.

The benefit is this negates income tax avoidance as well.

 

[Todman]

Rates are fees for services

The state government land tax shows it can be done. It needs a tweak from an individual property valuation to a full wealth assessment.

The benefit is this negates income tax avoidance as well.

Rates were bad enough but the land tax was crippling.

 

[Power Raid]

Grand fathering the current situation is a given.

But could you imagine the Murdoch press attack if they'd gone the whole hog?????

COMMUNISTS!!!!!!!!!!!!!

Nothing about fairness & equity in the tax system & a fairer balance between wages & wealth.

This was not communism but rather an attack on the ordinary class.

How anyone or political party could support the ALPs enshrining of a class system is beyond belief.

 

[Power Raid]

Rates were bad enough but the land tax was crippling.

Crippling for who? Those wealthy enough to have a second property or third?

A properly structured wealth tax would be tiered, taxed at higher marginal rates.

And rates bad? Do you like bin collection, parks, library and roads?

 

[Power Raid]

The unmitigated bollocks below should tell you that you're not replying to some who's posting in good faith.
" The ALP needs a class divide to maintain the rage"

Why else would the ALP maintain NG for the wealthy but not the ordinary on the same basis?

Why would the wealthy maintain 100% of the benefit of franking but not the ordinary?

 

[madmug]

This was not communism but rather an attack on the ordinary class.

How anyone or political party could support the ALPs enshrining of a class system is beyond belief.
[/QUOT

I said the Murdoch press would have attacked calling it communism.

Of course its not communism, give me a break!!

 

[Todman]

Crippling for who? Those wealthy enough to have a second property or third?

A properly structured wealth tax would be tiered, taxed at higher marginal rates.

And rates bad? Do you like bin collection, parks, library and roads?

I take it you have never been a landlord.

1st month rent goes in rates
2,3,4 month went on land tax
5th month on management fees and repairs
then
6th and 7th month goes on advertising for new tenant.
God help you if the place sits vacant for a month or two.

 

[Bombermania]

Rates are fees for services

The state government land tax shows it can be done. It needs a tweak from an individual property valuation to a full wealth assessment.

The benefit is this negates income tax avoidance as well.

A yearly land tax will not improve housing affordability and I know that because council rates are tied to CPI and property values yet housing affordability has got worst not better. Land tax on investment properties makes sense because the house is expected to generate income but a residential property doesn't do that besides capital gains and the banks will take into account whether the home buyer can pay the yearly land tax when considering the loan application.

 

[Bombermania]

Crippling for who? Those wealthy enough to have a second property or third?

A properly structured wealth tax would be tiered, taxed at higher marginal rates.

And rates bad? Do you like bin collection, parks, library and roads?

Investment property is subject to land tax.

Land tax based on income would benefit the wealthy because much of their wealth is in the form of assets and not just income.

 

[madmug]

A yearly land tax will not improve housing affordability and I know that because council rates are tied to CPI and property values yet housing affordability has got worst not better. Land tax on investment properties makes sense because the house is expected to generate income but a residential property doesn't do that besides capital gains and the banks will take into account whether the home buyer can pay the yearly land tax when considering the loan application.

Where it gets hard is that some families own a holiday shack. Some were bought cheap back in the day, Now are deemed to be worth much more, but are still shacks & not really rentable. Many like that here in the highland lakes areas.

Maybe cost very little & been added to with jerry built bits & pieces. Used for fishing & a family get away.

People have seen massive increases in tax for no return. Hard if you're now a pensioner having to now find $thousands.

 

[Power Raid]

Investment property is subject to land tax.

Land tax based on income would benefit the wealthy because much of their wealth is in the form of assets and not just income.

land tax is based on land value

 

[Power Raid]

A yearly land tax will not improve housing affordability and I know that because council rates are tied to CPI and property values yet housing affordability has got worst not better. Land tax on investment properties makes sense because the house is expected to generate income but a residential property doesn't do that besides capital gains and the banks will take into account whether the home buyer can pay the yearly land tax when considering the loan application.

just like income tax a wealth tax should be incremental. otherwise a wealth tax would not achieve its design of taxing wealth

 

[Power Raid]

I take it you have never been a landlord.

1st month rent goes in rates
2,3,4 month went on land tax
5th month on management fees and repairs
then
6th and 7th month goes on advertising for new tenant.
God help you if the place sits vacant for a month or two.

I don't have sympathy for people complaining about bad investment decisions, especially investing in growth assets and complaining about yield. If you want yield, invest in a yield producing asset.

and yes I own properties here in Oz and overseas

on my Oz property rates are circa 3 weeks rent, zero land tax on apartments and the land tax negligible and I manage my investment myself so no management fees. advertising is $120 every two years or so, so just about everything that comes through the door is profit.

my overseas properties are more expensive to own but you get 12 months rent upfront in advance in places like Indo in USD.


taxing wealth is not only necessary but would make for a fairer society

 

[Bombermania]

land tax is based on land value

just like income tax a wealth tax should be incremental. otherwise a wealth tax would not achieve its design of taxing wealth

Are you wanting a land tax or a wealth tax because they are two different things?

 

[Johnny Bananas]

Where it gets hard is that some families own a holiday shack. Some were bought cheap back in the day, Now are deemed to be worth much more, but are still shacks & not really rentable. Many like that here in the highland lakes areas.

Maybe cost very little & been added to with jerry built bits & pieces. Used for fishing & a family get away.

People have seen massive increases in tax for no return. Hard if you're now a pensioner having to now find $thousands.

So people have prime land near the water that they've bought for a song, can make a killing by selling it, but we should feel bad for them having to pay taxes on their windfall? Cry me a river. If the taxes are too great, sell it to someone who will knock down the shack and put up apartments.

 

[madmug]

So people have prime land near the water that they've bought for a song, can make a killing by selling it, but we should feel bad for them having to pay taxes on their windfall? Cry me a river. If the taxes are too great, sell it to someone who will knock down the shack and put up apartments.

Some do. A lot don't. I know some who built real shacks, not spec houses, real jerry built things in quiet places. Places where their young families had holidays at the beach, also one who had a fishing shack in the highlands.

They aren't rich but might have to sell after all those years. Hard to pay massive tax hikes on a pension.

Their 'windfall' is not realisable unless they sell. Capital gains tax will take affect then.

 

[Kram]

Geez if you have had a big financial windfall from real estate maybe you don't need all of your pension?

I've always though it is a joke that anything liquid the govenment goes right after but people that having it in real estate are protected for some reason.

 

[madmug]

Geez if you have had a big financial windfall from real estate maybe you don't need all of your pension?

I've always though it is a joke that anything liquid the govenment goes right after but people that having it in real estate are protected for some reason.

We talking income producing properties or the sort of family shacks which produce no income?

 

[Bunk Moreland]

I take it you have never been a landlord.

1st month rent goes in rates
2,3,4 month went on land tax
5th month on management fees and repairs
then
6th and 7th month goes on advertising for new tenant.
God help you if the place sits vacant for a month or two.

lol come on. This would have to be the worst possible property investment in the history of mankind.

And yes, I’ve been a landlord.

 

[Golden_6]

I take it you have never been a landlord.

1st month rent goes in rates
2,3,4 month went on land tax
5th month on management fees and repairs
then
6th and 7th month goes on advertising for new tenant.
God help you if the place sits vacant for a month or two.

If 3 months worth of rent is going towards land tax then you’re unbelievably well off and cannot cry poor. A normal residential priority would have land tax of around a couple of weeks rent.

 

[Power Raid]

Are you wanting a land tax or a wealth tax because they are two different things?

I would like to see the land tax expanded to a wealth tax on a marginal tax rate basis a different rates by asset class.

Non productive assets like land, gold, cash and residential property to be taxed higher than productive asset classes. Given the majority of tax would be collected from land, the tax base to expand upon would be the harmonisation of state land tax frameworks.

With thresholds of less than $5m or $10m to avoid taxing the little guy. It should be designed to capture 90% of the tax from the top 1% and 100% from the top 3% of the population.

 

[Johnny Bananas]

Some do. A lot don't. I know some who built real shacks, not spec houses, real jerry built things in quiet places. Places where their young families had holidays at the beach, also one who had a fishing shack in the highlands.

They aren't rich but might have to sell after all those years. Hard to pay massive tax hikes on a pension.

Their 'windfall' is not realisable unless they sell. Capital gains tax will take affect then.

Again, do you expect anyone else to sympathise that their water-proximate property has to be sold, fetching them a handsome profit even after CGT? We're not talking people's primary residence here, it's an extra.

 

[Power Raid]

A yearly land tax will not improve housing affordability and I know that because council rates are tied to CPI and property values yet housing affordability has got worst not better. Land tax on investment properties makes sense because the house is expected to generate income but a residential property doesn't do that besides capital gains and the banks will take into account whether the home buyer can pay the yearly land tax when considering the loan application.

a wealth tax would tax wealth and it would be one heck of a shack as referred to later to trigger a wealth tax alone

 

[madmug]

Again, do you expect anyone else to sympathise that their water-proximate property has to be sold, fetching them a handsome profit even after CGT? We're not talking people's primary residence here, it's an extra.

Well clearly not you.

Your saying they should sell if they can't afford to pay the massive hikes in land tax. Give it to some rich bugger who has the $ to pay the tax.

I think thats harsh. A family shack they've had for many years. Basically worth SFA for most of the time they owned it.

Once they sell they pay Capital gains tax anyway.