The Budget and You

The Budget and You

By Dominic Hefferan on May 14 2018


With Treasurer Scott Morrison officially announcing the 2018 Federal Budget just a few days ago, analysts and money makers all around the country are buzzing over what it does and doesn't include. Property's always been a big part of the economy, so what does this mean for you? Let's take a look.

The Bad News
 
From July 2019, those with vacant land will no longer be able claim council rates and maintenance costs on their tax return, making land banking a relatively more expensive option. However, under the new rules, these owners would be able to claim deductions if a property was built on the land, and was available for rent.
 
 
The Good News
 
The Government has announced a new tax relief plan, with those who earn up to $37,000 saving up to $200 from their taxes, those earning between $37,000 and $90,000 seeing gradual savings up to a top of $530 per year. Also with reforms from 1st July this year allowing downsizers over 65 to pay up to $300,000 from the sale of their home into their superannuation, day-to-day property and living expenses could become a lot more manageable.
 
 
What Do I Do?
 
If you're currently land banking, or if you're looking to plan for your future, you should talk to us today to see what your best choice is to take advantage of these new developments. As with every Federal budget, there are upsides and downsides for everyone, and you want to be sure of your options before committing to anything.
 
 
If all this seems like it's too much, you can always call us for a free, confidential consultation with no pressure to sell or buy, just so you can see what's possible for you. Real estate is a big part of everyone's life, so you should always know where you stand so you can get the best result.
 

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