Hon Ben Wyatt LLB MSc MLA

Hon Ben Wyatt LLB MSc MLA

Former Treasurer; Minister for Finance; Aboriginal Affairs; Lands

    Liberal and Nationals parties ignore facts and WA families

    16/08/2018 2:55 PM
     
    • Members of the Liberal and Nationals parties continue to put foreign investors ahead of WA families
    • Surcharges in other countries are far higher, if foreign ownership is allowed at all
    • All other Australian States have had this levy in place for some time

    The Liberal and Nationals parties' opposition to an increase in the Foreign Buyers Surcharge on the grounds that it is an unfair burden on foreign property owners, fails to understand the comparative rates internationally.

     

    In yet another example of their destructive approach to fixing the State's finances, the Liberal and Nationals parties have colluded to increase the burden of Budget repair on WA families.

     

    The following table lays out the corresponding rates of foreign buyer levies in other countries, and illustrates how the proposed seven per cent surcharge remains very low comparatively.

     

    Foreign Buyer levies in other countries
    Country Rate
    Canada - British Columbia20%
    Canada - Ontario15%
    Hong Kong15%
    Singapore115%
    ChinaN/A - foreign ownership not permitted for investors
    IndiaN/A - foreign ownership generally not permitted

     

    1. Singapore charges a flat rate of 20% for foreigners buying a residential property.  This is 15% higher than a permanent resident buying their first property, 20% higher than a citizen buying their first property but only 8% higher than a citizen purchasing a second property.

    Not only is the surcharge designed to allow the McGowan Government to fund its freeze on TAFE fees and also assist with Budget repair, but it also allows the foreign property investors to contribute to the infrastructure from which they benefit and are paid for by WA taxpayers.

     

    Comments attributed to Finance Minister Ben Wyatt:

     

    "The Liberal and Nationals parties, the coalition of chaos, have decided to ignore the financial problems they left the State and simply play politics.

     

    "It is clear that the Government's position is fair and reasonable, and that we look to spread the burden of Budget repair to those who benefit from the State's infrastructure.

     

    "By blocking this reasonable revenue measure, the WA Liberals and WA Nationals will simply ask WA families to take on another $120 million in debt to the benefit of those foreign investors in WA residential property.

     

    "I remain optimistic that other parties in the Parliament will take a more constructive approach and help deliver a reform which stands up for WA families and helps ease their burden."

     

    Minister's office - 6552 5900