Hon Alan Cadby questions the Treasurer about a projected fall in premium property tax revenues. The Treasurer explains it's due to an overlap with the removal of the principal place of residence land tax exemption for companies and trusts.

AnsweredQoN 593Legislative Council
Asked
25 September 2001
Portfolio
minister representing the Treasurer

QuestionView source ↗

I refer to the table “Summary of Taxation Revenue Measures” on page 6 of the 2001-02 Budget Overview . Will the Treasurer please explain the fall of about 27 per cent in the premium property tax revenues from $12.1 million in 2001-02 to $8.8 million in 2002-03? I hope it is a very good answer after my foreshadowing the question. Hon N.D. GRIFFITHS

AnswerView source ↗

I assure the member that the answer is better than the question. Hon Peter Foss: That is your opinion. Hon N.D. GRIFFITHS: Hon Peter Foss is very opinionated. However, I must thank the member for some notice of this question. The decline in the premium property tax revenue estimated for 2002-03 is the result of an overlap between this measure and the removal of the principal place of residence land tax exemption for properties held by companies and trusts. The overlap will occur in 2002-03 when the companies and trusts measure will come into effect. Some premium properties are covered by family trust and private company measures. The premium property measure will come into effect first. Therefore, the interaction will result in a reduction in revenue in the premium property tax arena, following the introduction of the second measure.
Hon N.D. GRIFFITHS replied: I assure the member that the answer is better than the question. Hon Peter Foss: That is your opinion. Hon N.D. GRIFFITHS: Hon Peter Foss is very opinionated. However, I must thank the member for some notice of this question. The decline in the premium property tax revenue estimated for 2002-03 is the result of an overlap between this measure and the removal of the principal place of residence land tax exemption for properties held by companies and trusts. The overlap will occur in 2002-03 when the companies and trusts measure will come into effect. Some premium properties are covered by family trust and private company measures. The premium property measure will come into effect first. Therefore, the interaction will result in a reduction in revenue in the premium property tax arena, following the introduction of the second measure.
I assure the member that the answer is better than the question. Hon Peter Foss: That is your opinion. Hon N.D. GRIFFITHS: Hon Peter Foss is very opinionated. However, I must thank the member for some notice of this question. The decline in the premium property tax revenue estimated for 2002-03 is the result of an overlap between this measure and the removal of the principal place of residence land tax exemption for properties held by companies and trusts. The overlap will occur in 2002-03 when the companies and trusts measure will come into effect. Some premium properties are covered by family trust and private company measures. The premium property measure will come into effect first. Therefore, the interaction will result in a reduction in revenue in the premium property tax arena, following the introduction of the second measure.
Hon Peter Foss: That is your opinion. Hon N.D. GRIFFITHS: Hon Peter Foss is very opinionated. However, I must thank the member for some notice of this question. The decline in the premium property tax revenue estimated for 2002-03 is the result of an overlap between this measure and the removal of the principal place of residence land tax exemption for properties held by companies and trusts. The overlap will occur in 2002-03 when the companies and trusts measure will come into effect. Some premium properties are covered by family trust and private company measures. The premium property measure will come into effect first. Therefore, the interaction will result in a reduction in revenue in the premium property tax arena, following the introduction of the second measure.
Hon N.D. GRIFFITHS: Hon Peter Foss is very opinionated. However, I must thank the member for some notice of this question. The decline in the premium property tax revenue estimated for 2002-03 is the result of an overlap between this measure and the removal of the principal place of residence land tax exemption for properties held by companies and trusts. The overlap will occur in 2002-03 when the companies and trusts measure will come into effect. Some premium properties are covered by family trust and private company measures. The premium property measure will come into effect first. Therefore, the interaction will result in a reduction in revenue in the premium property tax arena, following the introduction of the second measure.

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