Australia: Real property tax proposals in 2024-2025 budget (Australian Capital Territory)
The Australian Capital Territory government released its 2024-2025 budget focused on housing affordability and concessions for the disadvantaged.
The Australian Capital Territory government released its 2024-2025 budget.
The Australian Capital Territory (ACT) government on June 25, 2024, released its 2024-2025 budget focused on housing affordability and concessions for the disadvantaged.
Proposed tax measures relating to this include:
- Restoration of tax rates for all commercial properties from 2025-2026, reversing a freeze in rates for properties valued at $2 million* or less as part of the government’s COVID-19 response
- Introduction of a short-term rental accommodation levy of 5% of the property’s gross income from July 1, 2025
- Various housing duty concessions relating to affordability, including:
- Reduction to the lowest marginal conveyance duty tax rate for owner occupiers to 0.4% (from 0.49%)
- Increased income eligibility thresholds for the home buyer concession scheme with relaxed criteria for people fleeing domestic or family violence
- Introduction of a severe disability duty exemption
- Introduction of a pensioner duty concession scheme targeted to downsizing
- Increased value caps for off-the-plan concessions
*$=Australian dollar
For more information, contact a KPMG tax professional in Australia:
Dorian Beaver | dorianbeaver@kpmg.com.au
Tessa Livingston | tlivingston1@kpmg.com.au
Rohana Salita | rsalita@kpmg.com.au
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