Ms LAWRIE - 2003-05-28
Treasurer, yesterday’s budget delivered tax cuts for Territory businesses and families. How do Territory taxes compare with other states?
ANSWER
I thank the member for Karama for her question, Madam Speaker, because I have a rather delightful chart which clearly shows where the Northern Territory stands in its tax regime in comparison to other states. If you take the 100% to be the average, Queensland is at the bottom at 90%, but just nudging out the Northern Territory by 1% at 91%, Western Australia at 95%, ACT at 96%, Tasmania 98%, New South Wales 101%, Victoria 106% and South Australia tops the poll at 111%.
That is out of Budget Paper No 2, Fiscal and Economic Outlook, and it is something that this government is proud of regarding the tax load that we place on Territorians. Yesterday’s budget further delivered tax cuts for Territorians. Payroll tax is cut again. It was 6.5 % - it used to be 6.8% under the CLP, they got it down to 6.5%. We have taken it down to 6.2% this year. We abolished the stamp duty on commercial leases and franchises with annual rent below $30 000. That is a direct benefit to 400 Territory small businesses.
We abolished the $90 Temporary Budget Improvement Levy. The registration and insurance cost for a large car in the Territory is below the national average, and the cost of registering smaller and medium cars is even more competitive nationally - right down the bottom, probably just in second lowest spot.
The Territory has no land tax. It was an issue that seemed to be getting around yesterday in relation to the stamp duty provisions. It is a promise I enforced to the Property Council this morning, which was very well received. In fact, I ran into one former president of the Property Council, Mr George Cridland, at the university recently. He got up close to my ear and said: ‘Please say those words to me - no land tax’. I said: ‘George, what a wonderful idea’. He sensed I was joking, because we had no intention at that time, nor now, of introducing a land tax such as occurs in every other jurisdiction in Australia.
The tax cuts in this budget deliver and build on the previous initiatives of this government to lower the cost of living for Territorians. We introduced and continue to fund stamp duty concessions for first home buyers. That makes it cheaper for Territory families to buy their own home. We increased the stamp duty value threshold for first home owners from $80 000 to $125 000, and we introduced the new stamp duty rebate of $1500 on the purchase of the principal place of residence.
We have delivered these tax cuts, while still making significant inroads into the deficit and the debt legacy of our predecessors. We are proud that the Territory remains one of the lowest taxing places to live, work and invest in this country.
ANSWER
I thank the member for Karama for her question, Madam Speaker, because I have a rather delightful chart which clearly shows where the Northern Territory stands in its tax regime in comparison to other states. If you take the 100% to be the average, Queensland is at the bottom at 90%, but just nudging out the Northern Territory by 1% at 91%, Western Australia at 95%, ACT at 96%, Tasmania 98%, New South Wales 101%, Victoria 106% and South Australia tops the poll at 111%.
That is out of Budget Paper No 2, Fiscal and Economic Outlook, and it is something that this government is proud of regarding the tax load that we place on Territorians. Yesterday’s budget further delivered tax cuts for Territorians. Payroll tax is cut again. It was 6.5 % - it used to be 6.8% under the CLP, they got it down to 6.5%. We have taken it down to 6.2% this year. We abolished the stamp duty on commercial leases and franchises with annual rent below $30 000. That is a direct benefit to 400 Territory small businesses.
We abolished the $90 Temporary Budget Improvement Levy. The registration and insurance cost for a large car in the Territory is below the national average, and the cost of registering smaller and medium cars is even more competitive nationally - right down the bottom, probably just in second lowest spot.
The Territory has no land tax. It was an issue that seemed to be getting around yesterday in relation to the stamp duty provisions. It is a promise I enforced to the Property Council this morning, which was very well received. In fact, I ran into one former president of the Property Council, Mr George Cridland, at the university recently. He got up close to my ear and said: ‘Please say those words to me - no land tax’. I said: ‘George, what a wonderful idea’. He sensed I was joking, because we had no intention at that time, nor now, of introducing a land tax such as occurs in every other jurisdiction in Australia.
The tax cuts in this budget deliver and build on the previous initiatives of this government to lower the cost of living for Territorians. We introduced and continue to fund stamp duty concessions for first home buyers. That makes it cheaper for Territory families to buy their own home. We increased the stamp duty value threshold for first home owners from $80 000 to $125 000, and we introduced the new stamp duty rebate of $1500 on the purchase of the principal place of residence.
We have delivered these tax cuts, while still making significant inroads into the deficit and the debt legacy of our predecessors. We are proud that the Territory remains one of the lowest taxing places to live, work and invest in this country.
Last updated: 09 Aug 2016