Land levy planned despite anti-‘forever tax’ pledge
A bid to overhaul emergency services funding could result in property owners paying hundreds of dollars for a land tax in one state.
PROPERTY owners in Australia’s most populous state could pay an annual levy of up to $600 under a proposal to change the way emergency services are funded.
NSW is the only mainland state that funds emergency services by taxing property insurance customers, a levy that has been blamed for ballooning premiums and putting cover out of reach for many.
But an NSW Treasury paper has put forward a series of proposals for a broad land tax to replace the controversial measure.
The change would mean a fairer, more sustainable and more transparent system that would make insurance more affordable, the government said.
“We have an old system that’s out of date, that punishes working families,” NSW Treasurer Daniel Mookhey told reporters on Sunday.
“People with mortgages have no choice but to pay, people with cars have no choice but to pay, but some of our biggest corporate landholders can buy their way out of making any contribution whatsoever (to emergency services) by self-insuring.
“We do need to confront cost-of-living pressures wherever we encounter them.”
Mr Mookhey acknowledged any changes would need cross-party support to proceed and the state opposition has yet to offer its blessing, although the coalition previously tried and failed to overhaul the levy while in government.
