We are thrilled that the Victorian Parliament has passed a new Rezoning Windfall Gains Tax, as it’s a policy we have supported for many years.
As part of our efforts to support this tax, we wrote a Briefing Note to decision makers about its potential community gains. You can read it in full, here.
- Rezoning windfalls are given, not earned
- Sharing rezoning windfalls is fair and efficient
- Sharing rezoning windfalls supports urban growth
- A rezoning windfalls tax is a disincentive to corruption
Our report also refutes some of the property industry’s arguments against the tax.
We will be keeping a close eye on developments with this tax. The Government has taken on board many of our suggestions, such as limiting deferral of the tax, minimal deductions and the inclusion of most residential and vacant land. However we will continue to pressure them to include exisiting residential homes, use market indexation rates for deferrals and limit deferrals further (4 years instead of 30).