Stamp duty review ‘necessary immediately’: REINSW

By Francesca Krakue

27 January 2017

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The Real Estate Institute of New South Wales insists that a review of stamp duty should be the newly appointed Premier’s first point of business.

REINSW president John Cunningham has emphasised that former premier Mike Baird had taxation reform on his agenda, and urged his successor, Gladys Berejiklian, to “deliver something back to property consumers”.

“The NSW government has seen windfall after windfall in recent years and it is time to give back … a review of the tax system is necessary immediately,” he said. “We urge Premier Berejiklian to recognise that stamp duty has not been reviewed for 30 years.”

“It’s time for a premier to step in and take charge. We believe that Ms Berejiklian has the potential to be the premier who leads NSW into a future where property consumers aren’t being ripped off by outdated stamp duty brackets,” he said.

Mr Cunningham also called on the new Premier to reduce stamp duty for first home buyers by 50 per cent for the purchase of a residential property less than $1 million.

Further, he proposed a one-off 50 per cent concession for over-65s up to $1 million – “another step that will help to get the supply chain moving”.

“We also urge her to provide the ability to pay the stamp duty over time, in what will help to ease the housing affordability crisis that we are experiencing,” he added.

A reduction in stamp duty will generate additional market activity like it has in other states, according to Mr Cunningham, who highlighted that the NSW government will see a $4 billion surplus for 2016-2017.

“To further support supply and affordability, we call on the new Premier to make amendments to planning laws, to bring back a SEPP for dual occupancy. This will provide the middle-ring suburbs of Sydney with part of the solution to this major issue,” he said.