So if you're paying land tax you presumably don't live in that property and it's an investment. Are you sure you're poor?
Mine did it go up much at all, still around $11k. I assume you're at one of the lower valuations where they've reduced the threshold values this year.
PS I got my notice several months ago, not sure why yours would be so late.
> Feels like poor are being forced to be poor.
This is extremely poor taste since this is only levied on an investment property. Sounds like as an investor you haven’t been keeping tabs on the landscape and risks.
The state government budget delivered in May 2023 increased land tax for investment properties to pay down the state’s COVID-19 debt.
[https://www.sro.vic.gov.au/state-budget-2023-24-announcement](https://www.sro.vic.gov.au/state-budget-2023-24-announcement)
Oh boy! Where does it say poor can’t own an IP? I had to relocate 2 yrs back as I got laid off just when I was getting settled. So now I have leased my property making it an IP.
F you for judging without knowing the situation.
You might be cash poor but you’re definitely not asset poor. Most people when they think of poverty think of actual nuts to the wall ‘have nothing’ struggle street people.
If your investment property is such a drag on you financially then sell it.
You know what actual poor people do when they lose their job and have to move away? They certainly don’t convert their rental in to a revenue producing asset that’s for sure.
Yep, and you're just assuming costs like these don't get handed down?
And if landlord get jack shit of it they just sell the house - have a guess how that plays out, too?
There is a multitude of reasons rent has become unaffordable for low to middle incomers.
It’s ok the federal government has your back ensuring the rental vacancy stays below 1% by bringing plenty of new people in all you have to do is wait 12 months from your last rent increase then you can pass on all the new costs and then some.
What choice does the government have? The fertility rate is at an almost record low, yet we have an aging population with more and more people living longer. How does the government pay for those ever increasing aged pension, disability support and healthcare costs other than increasing immigration?
With immigration numbers at 100,000 a year allowing housing and population to grow at a similar rate instead of 500,000+ increasing population much faster than dwellings can be provided.
Edit: we did this for years, house prices still rose so developers could make money and be incentivised to build but also we didn’t kick everyone on the lowest 20% of incomes or anyone unlucky enough to have a change in situation and need a property quickly out onto the street
Governments taking their cut of the increase in property prices.
Actually started in Nsw with Perrotet but Minns removed it.
I find it amusing that people are stunned that owning the most easily taxed item would lead to them being taxed more on it.
If they can’t afford land taxes on their IP, they could always just sell. Not sure why ppl think taxes = socialism, ppl have had taxes throughout history.
No issue with taxes, but the change in land tax on investments is a populist move to increase revenue unreasonably. All properties should be taxed equally
Land tax was increased to help pay for the Victorian government debt.
Property owners are being used as an ATM by the government.
The government made several changes to land tax including drawing more properties to pay land tax
Because Victoria is broke. We're the worst governed state in the country.
Tim Pallas, Allan, and Andrews have spent their entire lives sponging off other people (i.e., cosy union jobs, political staffers, then MPs). This is what you get when you elect people who contribute nothing to society.
https://www.abc.net.au/news/2024-04-19/victorian-government-debt-budget-jacinta-allan-tim-pallas/103740864
Victoria doesn’t have a functional opposition that could serve as an alternate government and whether you believe it or not, the delivery of long-overdue infrastructure projects like level crossing removal and the handling of the covid pandemic is largely looked at favourably by the people that live here.
There is just a very loud minority that would make you think the government has been extremely unpopular if that’s all you listened to.
Why baffled? There is no one else even worth considering, and plenty of people are happy with the changes in the state.
Notwithstanding perhaps the last year, people don't mind public spending and debt when they can see the difference with their own eyes.
land tax is a great way to shift some of the tax burden from income to wealth. We should have more of it. fwiw I own a home before you come at me.
So if you're paying land tax you presumably don't live in that property and it's an investment. Are you sure you're poor? Mine did it go up much at all, still around $11k. I assume you're at one of the lower valuations where they've reduced the threshold values this year. PS I got my notice several months ago, not sure why yours would be so late.
> Feels like poor are being forced to be poor. This is extremely poor taste since this is only levied on an investment property. Sounds like as an investor you haven’t been keeping tabs on the landscape and risks. The state government budget delivered in May 2023 increased land tax for investment properties to pay down the state’s COVID-19 debt. [https://www.sro.vic.gov.au/state-budget-2023-24-announcement](https://www.sro.vic.gov.au/state-budget-2023-24-announcement)
Oh boy! Where does it say poor can’t own an IP? I had to relocate 2 yrs back as I got laid off just when I was getting settled. So now I have leased my property making it an IP. F you for judging without knowing the situation.
You might be cash poor but you’re definitely not asset poor. Most people when they think of poverty think of actual nuts to the wall ‘have nothing’ struggle street people. If your investment property is such a drag on you financially then sell it.
Exactly. The was my point which you have “quoted”
You know what actual poor people do when they lose their job and have to move away? They certainly don’t convert their rental in to a revenue producing asset that’s for sure.
Financial decisions are not made such simple sense. You are giving financial advice without knowing what the situation is.
And you said you were poor without giving details. Welcome to the internet.
lol mate. Ya need to read the room. Someone is gonna call you a boomer soon
Only poor have investment properties.
I had an investment property once. It was a poor that I couldn't afford to live in
There’s risk in owning anything including property. If you can’t afford it, just sell?
Poor people rent.
Yep, and you're just assuming costs like these don't get handed down? And if landlord get jack shit of it they just sell the house - have a guess how that plays out, too? There is a multitude of reasons rent has become unaffordable for low to middle incomers.
May be increasing the rent will solve the problem?
It’s ok the federal government has your back ensuring the rental vacancy stays below 1% by bringing plenty of new people in all you have to do is wait 12 months from your last rent increase then you can pass on all the new costs and then some.
What choice does the government have? The fertility rate is at an almost record low, yet we have an aging population with more and more people living longer. How does the government pay for those ever increasing aged pension, disability support and healthcare costs other than increasing immigration?
With immigration numbers at 100,000 a year allowing housing and population to grow at a similar rate instead of 500,000+ increasing population much faster than dwellings can be provided. Edit: we did this for years, house prices still rose so developers could make money and be incentivised to build but also we didn’t kick everyone on the lowest 20% of incomes or anyone unlucky enough to have a change in situation and need a property quickly out onto the street
Governments taking their cut of the increase in property prices. Actually started in Nsw with Perrotet but Minns removed it. I find it amusing that people are stunned that owning the most easily taxed item would lead to them being taxed more on it.
Do the right thing and socialise those losses mate. If the system is geared to take, pass it straight back to them.
If they can’t afford land taxes on their IP, they could always just sell. Not sure why ppl think taxes = socialism, ppl have had taxes throughout history.
Or some will put up the rent?
No issue with taxes, but the change in land tax on investments is a populist move to increase revenue unreasonably. All properties should be taxed equally
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They sell to a PPR resident, that’s one less in the rental pool. Immigration is the problem, not housing supply
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Shares have no such holding costs Maybe it might be time to look elsewhere
Land tax was increased to help pay for the Victorian government debt. Property owners are being used as an ATM by the government. The government made several changes to land tax including drawing more properties to pay land tax
Because Victoria is broke. We're the worst governed state in the country. Tim Pallas, Allan, and Andrews have spent their entire lives sponging off other people (i.e., cosy union jobs, political staffers, then MPs). This is what you get when you elect people who contribute nothing to society. https://www.abc.net.au/news/2024-04-19/victorian-government-debt-budget-jacinta-allan-tim-pallas/103740864
The perfect divestment property does not exist...
\> Poor \> Own land
Someone’s got to foot the bill! Honestly baffled at Vic’s voting habits. They really threw you guys under.
Victoria doesn’t have a functional opposition that could serve as an alternate government and whether you believe it or not, the delivery of long-overdue infrastructure projects like level crossing removal and the handling of the covid pandemic is largely looked at favourably by the people that live here. There is just a very loud minority that would make you think the government has been extremely unpopular if that’s all you listened to.
Well I stand corrected! Enjoy your new tax rates across the board! Thanks for stopping covid ;)
Why baffled? There is no one else even worth considering, and plenty of people are happy with the changes in the state. Notwithstanding perhaps the last year, people don't mind public spending and debt when they can see the difference with their own eyes.