It is time to dismantle the rigged system that privileges investors and landlords over everybody else, said the Leader of the Australian Greens, Senator Richard Di Natale.
“Australia is facing a housing crisis. Everyone needs a home where they can feel secure, live comfortably and be part of the community. But this is becoming increasingly difficult for millions of average Australians.
“The Greens have a plan to fix housing. We will ease the market lock-out for first home buyers by ending tax breaks for investors with two or more properties, phase out Capital Gains Tax Discounts and support state governments to replace Stamp Duty with a broad-based land tax.”
The Government has intentionally rigged the tax system to favour wealthy people with numerous investment properties, said Australian Greens Treasury spokesperson, Senator Peter Whish-Wilson.
“Negative Gearing and Capital Gains Tax discounts have driven house prices sky high, making it easier for wealthy people to buy more homes and harder for first home buyers. At the same time Stamp Duty raises the price of homes and stops people from moving house, even when they’re ready to downsize.
“There are 583,000 individuals in this country who own two or more investment properties. Our policy will put an end to negative gearing for investors with two or more properties, which will in turn make sure we put existing homes back into the market for young people.
“Our new plan will phase out the Capital Gains Tax discount over five years - a reduction of 10 per cent annually - and remove the option of Negative Gearing on future house sale, which will make way for more first home buyers to secure a place of their very own. Existing single investment properties would be grandfathered.
“We will also push the federal government to support state governments to replace stamp duty with a broad-based land tax. It’s about time we made it more affordable to purchase your first home, while at the same time freeing up homes for growing families by penalising investors for leaving properties vacant.
“Homes are so expensive, the level of household debt in Australia is the highest in the world. The Greens are the only party prepared to tackle our enormous housing affordability crisis head on.”