Hon Paddy Embry questions the Treasurer about the significant increase in stamp duties on conveyances over the past decade and seeks assurance that the government will not further increase them. Hon Kim Chance provides a non-committal answer, citing budgetary constraints and the importance of stamp duty revenue.

AnsweredQoN 425Legislative Council
Asked
21 August 2001
Portfolio
Leader of the House representing the Treasurer

QuestionView source ↗

Over the past 10 years, stamp duties on conveyances have risen from $216.7 million to $448 million, inflation adjusted. This is a 107 per cent increase. Will the Treasurer assure property owners in Western Australia that the Government will not increase stamp duties during its term in office? Hon KIM CHANCE

AnswerView source ↗

I am a little confused because I am not the minister representing the Treasurer. I have an answer, but the answer has not been signed off by the minister who represents the Treasurer. However, the answer seems reasonable to me, and I am happy to provide it. Obviously, I am not able to reveal details of the budget at this stage. I note, however, that, after payroll tax, stamp duty on property conveyances is the largest source of taxation revenue over which the State Government has control, accounting for around 20 per cent of total state tax revenue. In the light of this, and the difficult budgetary position inherited from the previous Government, the State Government cannot afford to substantially reduce its reliance on conveyance duty without compromising its ability to fund essential community services, such as health, education, and law and order. At the same time, I hope that the Government does not find itself in the same position as the previous Government in 1998-99, when it increased conveyance duty rates across the board by an average 12.5 per cent. This Government appreciates that high rates of stamp duty can lead to inefficiencies and can be a substantial impost on ordinary Western Australian households. I assure the honourable member that the Government is considering these issues carefully in framing the 2001-02 state budget.
Hon KIM CHANCE replied: I am a little confused because I am not the minister representing the Treasurer. I have an answer, but the answer has not been signed off by the minister who represents the Treasurer. However, the answer seems reasonable to me, and I am happy to provide it. Obviously, I am not able to reveal details of the budget at this stage. I note, however, that, after payroll tax, stamp duty on property conveyances is the largest source of taxation revenue over which the State Government has control, accounting for around 20 per cent of total state tax revenue. In the light of this, and the difficult budgetary position inherited from the previous Government, the State Government cannot afford to substantially reduce its reliance on conveyance duty without compromising its ability to fund essential community services, such as health, education, and law and order. At the same time, I hope that the Government does not find itself in the same position as the previous Government in 1998-99, when it increased conveyance duty rates across the board by an average 12.5 per cent. This Government appreciates that high rates of stamp duty can lead to inefficiencies and can be a substantial impost on ordinary Western Australian households. I assure the honourable member that the Government is considering these issues carefully in framing the 2001-02 state budget.
I am a little confused because I am not the minister representing the Treasurer. I have an answer, but the answer has not been signed off by the minister who represents the Treasurer. However, the answer seems reasonable to me, and I am happy to provide it. Obviously, I am not able to reveal details of the budget at this stage. I note, however, that, after payroll tax, stamp duty on property conveyances is the largest source of taxation revenue over which the State Government has control, accounting for around 20 per cent of total state tax revenue. In the light of this, and the difficult budgetary position inherited from the previous Government, the State Government cannot afford to substantially reduce its reliance on conveyance duty without compromising its ability to fund essential community services, such as health, education, and law and order. At the same time, I hope that the Government does not find itself in the same position as the previous Government in 1998-99, when it increased conveyance duty rates across the board by an average 12.5 per cent. This Government appreciates that high rates of stamp duty can lead to inefficiencies and can be a substantial impost on ordinary Western Australian households. I assure the honourable member that the Government is considering these issues carefully in framing the 2001-02 state budget.
Obviously, I am not able to reveal details of the budget at this stage. I note, however, that, after payroll tax, stamp duty on property conveyances is the largest source of taxation revenue over which the State Government has control, accounting for around 20 per cent of total state tax revenue. In the light of this, and the difficult budgetary position inherited from the previous Government, the State Government cannot afford to substantially reduce its reliance on conveyance duty without compromising its ability to fund essential community services, such as health, education, and law and order. At the same time, I hope that the Government does not find itself in the same position as the previous Government in 1998-99, when it increased conveyance duty rates across the board by an average 12.5 per cent. This Government appreciates that high rates of stamp duty can lead to inefficiencies and can be a substantial impost on ordinary Western Australian households. I assure the honourable member that the Government is considering these issues carefully in framing the 2001-02 state budget.
This Government appreciates that high rates of stamp duty can lead to inefficiencies and can be a substantial impost on ordinary Western Australian households. I assure the honourable member that the Government is considering these issues carefully in framing the 2001-02 state budget.

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