Page 2477 - Week 07 - Wednesday, 1 August 2018
Next page . . . . Previous page . . . . Speeches . . . . Contents . . . . Debates(HTML) . . . . PDF . . . . Video
(d) some private investors may be motivated by social responsibility or altruism as well as maximising financial returns; and
(e) property investors that rent their dwellings at below market rent via a community housing provider may also be able to access an additional discount to Capital Gains Tax, from 50 to 60 percent, as part of a recent Federal Budget initiative, the enabling legislation for which is currently before the Senate; and
(3) calls on the ACT Government to consider:
(a) providing an exemption from land tax for residential property investors that rent their property to low and moderate income households at a discount to market rent through a not-for-profit community housing provider that is regulated under the National Regulatory System for Community Housing;
(b) providing a last resort Government rent guarantee to property investors that rent their dwellings through a not-for-profit community housing provider that is regulated under the National Regulatory System for Community Housing;
(c) allowing community housing providers to access rates rebates for properties where the tenants would be eligible for such rebates if they were home owner; and
(d) report back to the Assembly by the end of the October 2018 sitting period.
Canberra is in the grip of an affordable housing crisis. Canberra now has the equal highest rental prices for detached houses and the second highest rental prices for units in the country. This is not something to be proud of. And although Canberrans earn higher wages than people in other jurisdictions, we have the highest proportion of people living in rental stress after receiving commonwealth rent assistance. Again, that is not something to be proud of.
Before I go on, I should note that I have a longstanding interest in this matter. In 2006 I rented my former home at a discount to market rent via Community Housing Canberra. They suggested to me that other people might also be prepared to rent their house at an affordable rent if they did not have to pay land tax. As a result of that, the parliamentary agreement with the Labor Party of the Seventh Assembly committed the government to develop a land tax concession scheme for rental properties housing low income families by 2010. Unfortunately, this was not done.
I now own two properties that I used to live in and are now rented. One of them is rented out at less than market rent via a program of Migrant and Refugee Settlement Services. My colleague Mr Rattenbury also rents out a property through MARSS at less than market rent. Given the members code of conduct, I sought advice from the Clerk as to whether or not I can vote on land tax issues, as of course I pay land tax. He advised me to disclose my situation to the Assembly, which will make a decision on whether or not it is reasonable for me to be able to vote. He also informed me that six other MLAs or their spouses have properties noted on their declarations of interest that would be liable for land tax.
Next page . . . . Previous page . . . . Speeches . . . . Contents . . . . Debates(HTML) . . . . PDF . . . . Video