Value Collector
Have courage, and be kind.
- Joined
- 13 January 2014
- Posts
- 12,237
- Reactions
- 8,483
In the USA you get to claim tax deductions for the family home, I don’t believe they tax the capital gains.
In the USA you get to claim tax deductions for the family home, I don’t believe they tax the capital gains.remember these folk follow the leads from the US and EU ( and some other non-government think-tanks )
There is a lot of sorting two birds with one stone in taxing the family home, it focuses mainly on high wealth individuals and it pops the Sydney/ Melbourne ponzi, with out too much effect on he rest of the country.They said the same thing about GST.
Lazarus with a triple bypass.
Mick
It would would probably bring in negative cashflows for the government, because if they decided to tax capital gains on the family home, then they would have to allow deductions eg loan interest, maintenance, insurance, capital expenditures on things like pools etcThey said the same thing about GST.
Lazarus with a triple bypass.
Mick
There was no mention of the above, when they were going to only allow negative gearing on new build homes, same as many rules and taxes that are introduced aren't applied to politicians.It would would probably bring in negative cashflows for the government, because if they decided to tax capital gains on the family home, then they would have to allow deductions eg loan interest, maintenance, insurance, capital expenditures on things like pools etc
Suddenly we all have a huge list of personal expenses that can now be used to offset tax, basically letting us negative gear the family home.
It'd be like "the recession we had to have".I think it would be political suicide of any Australian government to try and bring in capital gains tax on “The Family Home”
Different situation.There was no mention of the above, when they were going to only allow negative gearing on new build homes, same as many rules and taxes that are introduced aren't applied to politicians.
No one said it has to be fair, they write it any way they see fit.
Labour got a bloody nose when they wanted to ban franking credit refunds, and barely anyone understands franking credits.It'd be like "the recession we had to have".
It would still be coming up 25 years later as a reason to not vote for whichever party did it.
I think it would be political suicide of any Australian government to try and bring in capital gains tax on “The Family Home”
I don't think it will happen either, more likely an inheritance tax if anything, but as you say anything radical is highly unlikely.Labour got a bloody nose when they wanted to ban franking credit refunds, and barely anyone understands franking credits.
But everyone will understand having to hand over $100K in tax just because they wanted to move across the city, especially when they realise they can't afford a house of equal value to the one they sold, because they government took their pound of flesh, the hate for that political party will become multi generational when the kids realise they have to share a bedroom because of a government taxed their parents for wanting to move.
it would become known as the moving tax, each time a family moves they have to down size to pay a tax, where renters don't.
Never underestimate the perfidy or stupidity of politicians.I don't think it will happen either, more likely an inheritance tax if anything, but as you say anything radical is highly unlikely.
Luxury homes over $5 Million are going to have a larger proportion of their capital value tied up in the building, fixtures and fittings rather than land content compared to the average family home, and all those are depreciating assets that would have to be written off against any capital gain. Seems like a great way for the wealthy to accumulate tax losses on personal spending that they can write off against other investment capital gains. At the end of the day the government earn GST and stamp duty when we build and renovate our personal homes, its best just to leave it at that.Depends on if they set a base value where CGT applies.
say $5 million would be in the 'luxury home' bracket in a lot of areas. They may or may not allow deductions depending on how generous they feel.
But I doubt very much if the Labor government would do that. They are still running scared of the idea that their negative gearing proposals cost them the 2019 election, and the bruises haven't healed yet.
worth a claim if they bring it in ( capital gains tax on the family home )It would would probably bring in negative cashflows for the government, because if they decided to tax capital gains on the family home, then they would have to allow deductions eg loan interest, maintenance, insurance, capital expenditures on things like pools etc
Suddenly we all have a huge list of personal expenses that can now be used to offset tax, basically letting us negative gear the family home.
The next election would see them never to be seen again I would think, only die-hard one-eyed believers would be their supporters.I think it would be political suicide of any Australian government to try and bring in capital gains tax on “The Family Home”
Everything is generational, the older generation grew through a period where most aspired to own their own home, so they hold the tax free family sacred.The next election would see them never to be seen again I would think, only die-hard one-eyed believers would be their supporters.
But Mr sp would any of the pollies have the balls to tread down that path no matter what generations are the most.Everything is generational, the older generation grew through a period where most aspired to own their own home, so they hold the tax free family sacred.
The next couple of generations might have a different take, if the price becomes un surmountable and they make up the majority of voters.
Once the media people start to feel the pinch, the narrative changes and with it the political motivation.
View attachment 157821
"The most it will be is a pause, they're still going to continue hiking from july onwards".
The pollies do what is required to get in the big chair, the 2019 election proved that, they jettisoned all their policies.But Mr sp would any of the pollies have the balls to tread down that path no matter what generations are the most.
People have to adjust to the squeeze, to hard for too long gives a lot of unintended consequences, most very ugly.I don't get this. Why pause. JPowell has always communicated that they'd continue until they got the job done. Inflation is still high....
OuchPeople have to adjust to the squeeze, to hard for too long gives a lot of unintended consequences, most very ugly.
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?