Vic: Details of the Vic govt s business tax reform package

AAP General News (Australia)
04-26-2001
Vic: Details of the Vic govt s business tax reform package

Major aspects of the Victorian government's $774 million Better Business Taxes package
to be delivered from 2001-02 to 2004-05:

* reduce payroll tax rate from 5.75 per cent to 5.45 per cent from July 1, 2001, further
reducing to 5.35 per cent from July 1, 2003.

* raise payroll tax threshold of $515,000 to $550,000 from July 1, 2003.

* increase the tax-free land tax threshold from $85,000 to $125,000 from July 2001

* abolish three stamp duties:

- stamp duty on non-residential leases to be abolished immediately: Victorian business
will save $179.9 million over the next four years.

- unquoted marketable securities from July 1, 2003: Victorian taxpayers will save $21.8 million

- mortgages (including residential), from July 1, 2004: Victorian taxpayers will save
$122 million

Total saving: $323.7 million

* Tax package to be funded through the budget over the next four years and through
the removal of three payroll tax concessions totalling $341.4 million over four years.

* Timing of tax cuts:

- 2001-02: $100 million

- 2002-03: $111.5 million

- 2003-04: $211.7 million

- 2004-05: $351.1 million

AAP RTv cmc/jlw

KEYWORD: BUDGETVIC TAX FACTBOX

2001 AAP Information Services Pty Limited (AAP) or its Licensors.