Australian 'Experts' Propose Tax On Spare Bedrooms To Ease Housing Shortage | ZeroHedge
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Another bankrupt commonwealth idea.In a brainstorm that has leftist central planners around the world salivating, an Australian market analytics firm has proposed that the country start imposing a tax on spare bedrooms. The aim: To ease the country's housing shortage by incentivizing those who have more housing than they "need" to sell and downsize.
Cotality Australia notes that 61% of the country's households comprise just one or two people, yet the housing stock is dominated by three- and four-bedroom homes. Cotality says that, to "fix" this discrepancy, "governments could make it more expensive to have more housing than you need, and cheaper to live in smaller housing."
“It’s perfectly acceptable and desirable for people to have spare bedrooms, [but] you could ask them to pay for it through land tax," Cotality Australia head of research Eliza Owen told the Sydney Morning Herald. "Or you could incentivize them to move on through the abolition of stamp duty or some combination of both." The stamp duty is an Australian tax on property transfers that's paid by buyers. Depending on factors that include location and purpose -- for example, whether the buyer is going to live in the home or use it as an investment -- it usually falls between 3 and 5% of the property's value.
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