Category Taxation in Australia

Australia Looks to Tax Ghost Houses

May 2, 2017 Taxation in Australia

Ghost house tax in AustraliaCANBERRA – The Australian government is hoping to use taxes to address the issue of foreign buyers hoarding investment properties.

The government of Australia could enact a new tax on any vacant properties owned by foreign investors.

The new tax would become part of the conditions imposed by the Foreign Investment Review Board when a foreign investor attempts to purchase property in the country.

Currently the tax is expected to be set at approximately AUD 5 000.

The money raised from the tax would go to fund the government’s housing affordability programs.

The new “ghost house tax” is expected to help alleviate the country’s overheated housing market, as it will encourage foreign investors to either rent out their properties or to sell them entirely.

Some experts believe that pr...

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Sugar Taxes Back on the Table in Australia

February 21, 2017 Taxation in Australia

Sugar tax in AustraliaCANBERRA – Academics and nutritionists in Australia are calling for a sugar tax, however, many politicians are standing up in staunch opposition to the proposal.

A new report in Australia with contributions from over 100 nutrition experts from across 53 organizations is calling for a raft of new measures aimed directly at tackling the country’s growing obesity epidemic.

One of the key proposals in the report was the introduction of targeted taxes on sugar-filled foods and beverages, including sugary drinks, a food item that has been the targeted of taxes and tax discussion around the world.

The tax was not the only suggestion in the report, and among the 46 other points raised were complimentary measures such as restricting advertising on junk food, restricting the sale of junk food at...

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Food Taxes Will Save Australian Lives

February 16, 2017 Taxation in Australia

Food taxes in AustraliaCANBERRA – Every Australian alive in 2010 could enjoy an extended lifespan, if the government could implement a good balance of food taxes and subsidies.

Implementing taxes on unhealthy foods and introducing subsidies on fruits and vegetables in Australia could save lives, billions in expenditure, while costing taxpayers and consumers virtually nothing, according to the results of a new study published on February 14th in the international Medical PLOS Medical.

The study evaluated the combined and individual effects of implementing taxes on fat, salt, sugar, and sugar-sweetened beverages, and also implementing subsidies on fresh fruits and vegetables.

Individually, a sugar tax was the most effective measure, followed by a salt tax, a saturated fat tax, and, lastly, a tax on sugary drinks...

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Australian Backpacker Tax to Be Set at 15%

November 29, 2016 Taxation in Australia

Backpacker tax in AustraliaCANBERRA – Australia has reached a compromise on its controversial “backpacker tax” which will now be set at 15 percent.

On November 29th the One Nation party of Australia pledged its support to the government of Australia to implement a special tax rate for travellers working in Australia, ending months of debate and controversy on the issue.

Currently, backpackers working in Australia face the same system of personal taxes as Australian citizens, and are not liable for personal income tax until their annual earnings exceed AUD 18 500 per year.

However, in its latest budget proposal the government stated that it intends to see backpackers pay a rate of 32.5 percent from the first dollar earned.

Following the announcement of the 32...

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Australia Urged to Drop Tax Breaks for Retirees

November 21, 2016 Taxation in Australia

Tax breaks for elderly in AustraliaAustralia could be AUD 1 billion better off each year if it dropped a number of tax breaks aimed exclusively at retirement-aged Australians.

New research released by the Australian think-tank the Grattan Institute has called for a wind-back of the tax breaks offered to older Australians.

Currently, senior Australians are eligible to enjoy high levels of rebates on private medical insurance, Seniors and Pensioners Tax Offsets (SAPTO), and a higher Medicare levy income threshold than the one faced by younger taxpayers.

The think-tank called the offsets and tax breaks “unduly generous” and without any economic rationale.

It was noted that the age-based tax policies are becoming increasingly misaligned, due to the rising levels of workforce participation by those aged 65 and over, and ...

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