The State Liberals are committed to overhauling South Australia’s land tax regime to make our state a more attractive place for people to invest and conduct business.
“South Australia’s land tax regime under the Weatherill Labor Government is the most uncompetitive in Australia,” said State Liberal Leader Steven Marshall.
“Since 2002, Labor has increased land tax revenues by almost 150%. We now have the highest top marginal rate in Australia at 3.70% - the national average is 2.17%.
“If elected, the State Liberals will increase the tax-free threshold to $450,000 from the current $353,000.
“We will also decrease the top marginal tax rate from 3.70% to 2.90% for holdings valued at just over $1 million up to $5 million, benefitting approximately 3,200 land tax payers. These changes will be implemented from 1 July 2020.
“These amendments will assist small to medium businesses operating out of their own premises, as well as benefitting hardworking people who have investments in residential property which have appreciated over time and those whose superannuation includes
“In addition to these changes, a Marshall Liberal Government will investigate and pursue other improvements to our property tax regime to support investment and job creation by enhancing efficiency and improving competitiveness.
“South Australia is home to many great businesses, industries and opportunities – all capable of creating more jobs and increasing prosperity.
“Unfortunately, Labor’s uncompetitive tax regime is stifling business investment, discouraging businesses from investing their capital and creating jobs here.
“Instead people are investing in property in Western Sydney and other areas on the east coast, leading to job creation in those parts of the country.
“These changes to land tax will complement our existing tax-related commitments which include scrapping payroll tax for small businesses with payrolls under $1.5 million, slashing the ESL, capping council rates, and our ongoing opposition to Labor’s state bank tax.
“We need to even out the playing field and incentivise people to invest in South Australia.
“The State Liberals are committed to supporting South Australia’s economic growth, and creating the conditions for increased business investment and job creation in our state.”