‘Big Brother is watching you.’
Ominous, yes? This well-known phrase from George Orwell’s political satire, 1984, is invoked often in reference to government control and invasion of privacy. Toni is troubled by some of the changes in tax policy around vacant property that seem a little too much like Big Brother. How much control are you willing to concede to the Commonwealth?
Today on the podcast, Toni revisits the changes to property taxation on the state and federal levels. She covers the new rules around stamp duty that will help first-time home buyers, the 50% cap on foreign investors in new off-the-plan developments, and how this Foreign Investment Review Board cap may be a game changer for developers building high-rises in major metropolitan areas.
Toni explains the clause in off-the-plan contracts that allows either party to walk away if construction isn’t completed by a certain date, and why unscrupulous developers are triggering the clause deliberately. She also touches on the change to GST for new home buyers.
Toni ends with a deep dive into the taxes on vacant property at the state and federal levels, clarifying who is affected and how homeowners may try to get around it. She shares her concerns about the laws, asking what right the government has to tell its citizens what they can and cannot do with their property. While Toni supports the law’s intent to address the affordable housing shortage, she cautions us to consider the implications of allowing for such strict government control. Listen in to learn about how property law changes and their associated timelines may affect you—for better or worse!
- The new rules around stamp duty for first-time home buyers
- The cap on foreign investors in new off-the-plan developments
- How well high-rises will sell with the cap on foreign investors
- How unscrupulous developers are taking advantage of the sunset clause
- The necessity for penalties if builders walk away from a contract
- The changes to GST for new home buyers
- The origin of the term ‘Big Brother’
- The new state-level VRPT tax on vacant dwellings
- How the federal vacant foreign resident tax affects overseas owners
- Toni’s concerns about the taxes on vacant property
- How improved building standards in Melbourne may affect property values down the road
Learn More About Changes to Property Law
Access the KCL Law newsletter outlining legislative changes around ownership and investment at kcllaw.com.au/news/property-law-update-the-times-theyre-a-changin.
Learn more about George Orwell’s novel at www.amazon.com/1984-Signet-Classics-George-Orwell/dp/0451524934.