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I came across an interesting new report from @RMIT University. Urban policy experts @Liam Davies and @Jago Dodson propose using Australia's tax system to enhance rental properties, benefitting both investors and renters. Why does this matter? Enhancing conditions for renters: The report suggests that tax benefits from tactics like negative gearing should only be available to investors who meet national standards for fair rental contracts and construction quality. This means better living conditions for renters and a stronger focus on their needs. Incentivizing positive change: By offering discounted capital gains tax to investors who opt-in, the report encourages property owners to make improvements that benefit their tenants. It's a win-win situation that motivates investors to prioritize the well-being of those they rent to. National consistency and efficiency: The proposed reforms would establish consistent standards across Australia, ensuring that renters receive fair treatment, regardless of their state of residence. By bypassing negotiations with states, the federal government can swiftly implement these changes and deliver better outcomes for all. Strong tax systems play a crucial role in shaping society and driving positive change. I encourage you to read the article and share your thoughts. https://lnkd.in/eKkSFnms #TogetherMakesProgress #UrbanPolicy #Taxation #Deloittetaxandlegal

The Domino Effect: How Rising Property Taxes Impact the Residential Market . As we delve into the complex world of real estate investments, an intriguing question arises - how will higher property tax rates impact investment returns in the residential market? . In a thought-provoking piece by Sing Tien Foo, the impact of increased property taxation on residential property investment returns is analyzed. The article highlights that an increase in property tax rates could decrease the net yield for property investors. . This change in taxation policy has far-reaching implications. It may lead to several possible scenarios, including a dampening effect on investment appetite for residential properties, or it might push investors to seek other types of real estate assets or diversify into other asset classes altogether. . However, the effects of this policy are not just limited to investors. Higher property taxes could also translate into higher rental costs, affecting those who rent residential properties. This raises important questions about housing affordability, particularly in cities with sky-high rental costs. . But let's also consider the broader economic landscape. Could these changes be necessary to cool down overheated markets and ensure long-term market stability? Or are they simply a deterrent for potential investors, thus slowing down economic growth? . _______________________ 😉 I am Jack ✅ I am a retired accredited tax advisor and a senior leader in Blair Singer Training Academy authorised to teach Blair’s signature sales, team development, and personal development programs in Asia. Blair is the Former Rich Dad Advisor for Robert Kiyosaki, the author of Rich Dad Poor Dad. . Like this post and Want to see more? 🔔 Ring it on my Profile 👍 Follow #jackhmwong 🔝 Connect with me . #facilitation #publicspeaking #education

Increased Housing Opportunities for Local Communities: North Yorkshire's New Council Tax Premium on Second Homes Under the Levelling Up and Regeneration Act 2023, introduced back in December 2023, councils were given the discretion to charge additional council tax up to a 100% on second homes that were furnished and used as a sole or main residence, provided a 12-month period of notice was given. On 21 February, an “overwhelming majority” of the North Yorkshire Council concurred that a surcharge of 100% should be levied on second homes in North Yorkshire as of 1 April 2025, making them one of the first areas in the UK to apply the legislation. The proposals are intended to dissuade second homeowners from maintaining multiple properties in the area, so that the local communities are afforded more opportunities regarding housing. The routes open to second homeowners appear to be primarily threefold: 1)     Sell the additional properties, 2)     Suffer the tax, or 3)     Convert them into a buy-to-let, such as an AirBnB. However, with option three, HMRC have recently announced (see our recent post) that legislation will be announced this summer requiring planning permission for new short-term lets. One wonders if this is a coincidence, given the council tax changes occurring around the country. Should any of these incoming changes affect you, feel free to reach out to our experienced team who would be happy to assist you in evaluating your position. #taxtips #counciltax #homeowners #secondhome

In November 2022, Los Angeles voters approved Measure ULA, a real estate transfer tax targeting property sales over $5 million to fund affordable housing initiatives. This tax, which took effect on April 1, 2023, has been both celebrated and debated. The tax has not only affected luxury home sales but also typical real estate turnover, impacting LA's economy and tax base. Many developers and investors are rethinking their plans or considering leaving the region. For an in-depth look at Measure ULA's impact and future, read the full article here.

Attention property investors and real estate enthusiasts! 🏡 Recent tax changes across Australia's east coast are stirring the waters for property investors, especially in NSW with a $1.5 billion tax increase targeting landowners. With the land tax threshold set to rise and freeze, and foreign ownership surcharges climbing, the landscape is shifting. This move aims to tackle the housing crisis but has sparked debate among investors and experts about its impact on the rental market and investment strategies. Are these changes a necessary adjustment or a significant hurdle for property investment? For a deeper dive into how these tax adjustments could affect you and the broader property market, click the link below to read the full story. Stay connected for more up-to-date real estate news. [Read the full story here](https://lnkd.in/gjzqgcXd)

There were mixed views for property owners in the Spring Budget with a tax cut for those selling residential property, while those operating furnished holiday lets and property investors are facing increases in tax. Here Keith Johnston summarises the changes and how they could impact you... https://lnkd.in/ePUxQzVG #budget2024 #property #tax

I was quoted a couple of times in this article from The Real Deal about the new 485-x real estate tax exemption program which replaces 421-a. My comments related to concerns with lower AMI requirements and broadened labor rate mandates under the new program. #seidenschein #nyhousing #nychousing #nycrealestate #nyrealestate #taxincentives #421a #multifamilyhousing #multifamilyrealestate #multifamily #development #realestatedevelopment #inclusionaryhousing

A property tax exemption in New York City is necessary to make rental housing development financially feasible across the city’s varied markets, according to a new policy brief by the NYU Furman Center. To aid policy makers in determining whether a property tax exemption is needed to render mixed-income, multifamily rental housing a viable investment, and how a new exemption should be structured, the policy brief argues that a new tax exemption should: ◾ Efficiently spur robust new construction of rental apartments to address the city’s housing shortage ◾ Ensure that the exemption secures as much affordable housing targeted to the households in the city least able to afford stable, high quality housing as is financially feasible, without also inflating land values ◾ Be thoughtfully coordinated with other subsidy programs, zoning initiatives, and the City’s commitment to get housing built in every neighborhood ◾ Meet the City’s obligations under the Fair Housing Act to have more affordable housing in thriving, diverse neighborhoods ◾ Flexibly address the city’s very different neighborhood rental markets, yet be simple to administer and enforce to ensure that developers and owners who take advantage of the exemption live up to their obligations Check out the summary blog post here: https://buff.ly/3TFndrY Read the the policy brief here: https://buff.ly/3vCM6N2

When it comes to new taxes on residential real estate, BC and Ontario are essentially on the same page - but with a twist. In particular, both provinces have vacancy taxes. These generally apply to owners of second or partially occupied homes. But their tax models are different: essentially, provincial vs. municipal authority. This means there’s a different impact on specific communities. Ontario established a Provincial Policy Framework. Effectively, it expanded the authority for many municipalities to impose their own local vacancy tax. This has been done in Toronto, Ottawa, Hamilton and Windsor. The tax administration, which can be costly, is the responsibility of the participating city council. But, on the flip side, it banks the revenue. https://lnkd.in/d6NjTXTK London, as the most recent example, seems to be rejecting the idea within its boundaries after a cost-benefit analysis. https://lnkd.in/dywYkQSY. BC, in contrast, has a far more centralized approach. The province administers its speculation and vacancy tax, and collects the revenue. Local governments generally have no say on whether the province might choose to expand the geographic scope of the tax to include their communities. The exception is Vancouver, which was empowered to impose its empty homes tax before this approach was solidified. The province has since refused to grant a similar power to other municipalities. https://lnkd.in/dH_GHGPE (The federal government, for its part, complicated this picture by imposing an equivalent tax, known as the underused housing tax. It applies nationally but only burdens foreign owners.) This perhaps subtle distinction between Ontario and BC can be an important dynamic for folks in the industry, and their tax advisors, to be aware of, especially in smaller markets that depend more on recreational occupancies.

In a recent Forbes article, TAT Associate Phil Renzi discusses how development teams can successfully combine Federal and State tax incentives to ensure projects involving historic buildings and affordable housing are financially feasible. Renzi states, “On their own, historic tax credits and low-income housing tax credits are extremely valuable. Combined, it’s not hyperbolic to say the effect is incredible.” https://bit.ly/3Lj8kIi