Australian Federal Election - 2019

[sptrawler]

The only people who will be negative gearing, will be developers or professional people, they will be the only ones who will be able to afford it.

 

[sptrawler]

If knock downs are advantageous regarding policy then here comes "the law of unintended consequences".

I posted earlier where there are protest marches, against developers buying established to land bank, restrict supply, then develop and rent at inflated prices.
Labor, masters of great ideas and terrible implementation.

 

[rederob]

If knock downs are advantageous regarding policy then here comes "the law of unintended consequences".

Not likely.
Labor intends gearing to apply to new supply.
The example is preservation by capital improvement.

 

[rederob]

I posted earlier where there are protest marches, against developers buying established to land bank, restrict supply, then develop and rent at inflated prices.
Labor, masters of great ideas and terrible implementation.

Pretty sure you are just explaining “business as usual” and it has nothing to do with who is in power.
Local councils hold the keys to cheaper housing supply.

 

[sptrawler]

Not likely.
Labor intends gearing to apply to new supply.
The example is preservation by capital improvement.

From what I've read it is new build, which in turn should add to supply. I haven't read that it has to add to supply.
A house purchased from a home owner, knocked over and a new build rental constructed adds to supply.
Capital improvement is only on an established house.

 

[Smurf1976]

Not likely.
Labor intends gearing to apply to new supply.

What I’m wondering is the detail.

Buying a 1960’s house, knocking it down and putting something new on the site is not new supply but if there’s a loophole then someone will exploit it.

 

[sptrawler]

What I’m wondering is the detail.

Buying a 1960’s house, knocking it down and putting something new on the site is not new supply but if there’s a loophole then someone will exploit it.

If it was PPR before and the new building is rented, it is adding to supply, in the rental market I would have thought. Otherwise the only negative geared properties would all be in outer development suburbs, which in turn will make it harder for first home buyers, in the new market. As they will be competing with developers, who want to access the Government suppliments, that go with the new policy

 

[Smurf1976]

If it was PPR before and the new building is rented, it is adding to supply, in the rental market

Increased supply in the rental market at the expense of decreased supply in the owner occupied market so it’s a wash.

Another thing is the type of property and the issue of places being built to make a profit for developers not to be a place that people want to live.

There’s a limit to the number of people who actually want a one bedroom apartment or a house on 250m2 land. Most are looking for bigger than that but developers go for whatever maximises profit per m2.

 

[sptrawler]

Increased supply in the rental market at the expense of decreased supply in the owner occupied market so it’s a wash.

Another thing is the type of property and the issue of places being built to make a profit for developers not to be a place that people want to live.

There’s a limit to the number of people who actually want a one bedroom apartment or a house on 250m2 land. Most are looking for bigger than that but developers go for whatever maximises profit per m2.

Exactly.
The penny will drop with people, but way after tomorrow.

 

[qldfrog]

And the danger is once again increasing complexity and distorsion in our already crappy tax system
It is a common fact in the world that you can deduct costs from profit before paying tax on your profit..or losses
.negative gearing is just that but lets not get bothered with facts, we are Labor

 

[rederob]

It is a common fact in the world that you can deduct costs from profit before paying tax on your profit..or losses
.negative gearing is just that but lets not get bothered with facts, we are Labor

You can only deduct costs which are allowable. That’s a fact.

 

[sptrawler]

It's quite funny the only ones that will benefit from the tax changes, will be the rich, the ones it is supposed to be hitting.
The rich still get the franking credits.
The rich, who can afford to build new rental properties, can negative gear.
The rich, who work through a company structure, will be least effected by the CGT changes.
The weird part is, the working class, are cheering it on, even though there is no progressive steps mentioned to protect their access to the initiatives.

 

[wayneL]

This morning its Winx odds at $1.11 for the Bolsheviks, the coalition blowing out to $8.60 on Betfair.

Majority gummint is at $1.25 and $4.40 against. Probably have done my $5.00 there.

I'm starting to make plans for life in a Soviet style state with attentant 2019 Postmodernist tweaks.

I'm gonna dye my hair pink, change my gender identity and find a way to scam welfare and I've just ordered a pallet of candles. I may even preemtively convert to Islam and call everyone else racists and Islamophobes to curry favour with the new brownshirts.

Or I may just find a cave, grow dreads and drink my depression away.

 

[Knobby22]

Australia manages to stay in the middle ground by switching as one side veers too far.

Not many countries can do this usually ending near the extremes.

Go to Trump paradise if you hate it so much. You can earn $5 an hour and know you will get ripped off medically. You can enjoy the fact that the rich and powerful have almost complete control. Control through the media telling you culture wars are more important than your well-being.

Leave this horrible dystopia.

 

[wayneL]

Go to Trump paradise if you hate it so much.

Oh what a muppet comment. The point is that I love Australia and don't want to see some of the potential changes that might happen

 

[Knobby22]

Like what?

 

[rederob]

Like what?

Stop asking tricky questions.

It's quite funny the only ones that will benefit from the tax changes, will be the rich, the ones it is supposed to be hitting.

Except that it's mostly the "rich" who are opposing Labor's policies.

The rich still get the franking credits.

Everyone entitled will still get them, because the concept of double taxing company profits is well understood. Apparently the concept of giving a cash credit back, thereby negating the company tax paid, is not equally understood.

The rich, who can afford to build new rental properties, can negative gear.

Anyone able to get finance to buy a property can negatively gear. It's a nonsense to suggest its just "rich" people.

The rich, who work through a company structure, will be least effected by the CGT changes.

The "poor" will not have assets affected by capital gains provisions, so I toss that idea out with the bathwater.

The weird part is, the working class, are cheering it on, even though there is no progressive steps mentioned to protect their access to the initiatives.

The "working class" are the beneficiaries of most of the proposed reforms/policies, so it makes sense they would be fine with them.
I think your drinking water needs to be checked.

 

[sptrawler]

Well Rob, I certainly hope you are proven correct, time will definitely tell.

 

[rederob]

Well Rob, I certainly hope you are proven correct, time will definitely tell.

I tested your drinking water: Somewhat discoloured, unusual frothing, with more than a hint of malt taste.
Problem solved.

 

[IFocus]

Australia manages to stay in the middle ground by switching as one side veers too far.

Not many countries can do this usually ending near the extremes.

Go to Trump paradise if you hate it so much. You can earn $5 an hour and know you will get ripped off medically. You can enjoy the fact that the rich and powerful have almost complete control. Control through the media telling you culture wars are more important than your well-being.

Leave this horrible dystopia.

Hell Knobby I am jealous that's the comment I wish I had thought of sums up the situation perfectly.

As for the election out come I have no sense of how it will go but no doubt your comment re culture war seen here most days will play a part.