In my third book, ‘Accelerating your wealth” I advised to be aware of new taxes that will be imposed during the financial reset. Sadly my forecast is coming true.

Here is an extract form the budget update:

A total national taxable land value will be established for each Queensland landholder, which will continue to exclude exempt land such as principal place of residence.

The national taxable value will determine the appropriate tax rate that will then be applied to the Queensland proportion of the value of the individual or entity’s landholdings.

As a result:

Queensland’s “generous” tax system will soon be reformed to level the playing field between local and interstate investors.

As outlined in the 2021–22 Budget Update – Mid-Year Fiscal and Economic Review, the Queensland government is eyeing to close the “loophole” in the state’s land tax system, which allows interstate investors, particularly those who hold investments in other states, to bear less liability.

Under the “fairer” land tax system envisioned in the budget update, tax arrangements will be amended to account for the total value of land held interstate when assessing land tax liability.

The change in state government land Tax:

In the current system, a local investor with a $1m property would pay $4,500 in land tax, significantly higher than the $500 duty required for an investor with a $600,000 property in Queensland and a $400,000 property in New South Wales.

With the new approach, the interstate investor will now be charged with a $2,700 land tax in Queensland.

The state government assured that the change will not affect investors who only own land in Queensland.

REIQ (Real estate Institute of Queensland) comment: Queensland Government ‘slapping investors with new taxes’

Real Estate Institute of Queensland (REIQ) CEO Antonia Mercorella said the announcement of the changes in land tax is a “slap in the face” to sector supporting the local economy.

“This treatment of property investors as an endless money pit is outrageous – the government is raking in a huge stamp duty windfall, then relying on private investors to provide the lion’s share of housing supply, and now they’re slapping investors yet again with new taxes,” Ms Mercorella said.

A detailed explanation can be found here: https://www.yourinvestmentpropertymag.com.au/news/queensland-to-impose-new-tax-rules-for-interstate-investors