Foreign investors surcharge a negative for people of NSW
The announcement by NSW Government of a 2 per cent surcharge on foreign investors’ land tax for residential real estate would increase to 4 per cent in this month’s state budget is concerning according to UDIA NSW.
It appears that the current NSW Government believes increasing taxes and discouraging investment will not have a negative impact.
With significant increases in the chances of an economic downturn from high inflation and rising interest rates and many predicting a significant downturn in the housing market in NSW, the last thing that the NSW Government should be doing is discouraging investment in housing and economic growth.
Unsurprisingly, this is contributing to the least affordable homes in Australia and some of the least affordable in the world, undermining the very essence of what it means to give everyone a ‘fair go’ in NSW.
“By hitting foreigners with a surcharge, this tax hike might be seen as good politics, but it will be the people of NSW who will end up worse off as a result,” said Steve Mann, CEO, UDIA NSW.
Deanna Lane 0416 295 898 or firstname.lastname@example.org.