By Tim McKibbin, REINSW CEO
The NSW Government announced it will index stamp duty to the Consumer Price Index from 1 July 2019. But NSW homebuyers should not be fooled. This is all smoke and mirrors in the lead up to the election.
The Treasurer acknowledged that stamp duty rates have not been amended since they were introduced over 30 years ago. Then he says he will apply indexation to these outdated tax brackets.
Based on the median house price of $950,000, the average NSW homebuyer will pay $38,788 in stamp duty. Stamp duty indexation will save them just $500 while the NSW Government pockets the remaining $38,200.
Stamp duty is the thief of the Australian dream to own a home. The NSW Government must adjust the brackets to reflect today’s median house price and then index it.