The 2012-13 NSW Budget was handed down on Tue 12.6.2012. Revenue measures announced include:
- – The proposed abolition of the following taxes has been deferred for 1 year Deferred abolition of various taxesto 1 July 2013: mortgage duty on business transactions, unquoted marketable securities duty, and duty on transfers of non-land business assets such as goodwill, patents, trademarks and other intellectual property.
- Home buyer concessions targeting new properties – From 1 October 2012, the First Home Owners Grant will increase to $15,000 and then continue at $10,000 from 1 January 2014 for first time buyers of new properties. The existing first home-buyer stamp duty concessions will apply to new properties up to $650,000. The Budget also introduces the New Home Grant, providing $5,000 to all non-first home-buyers of new properties up to $650,000 from 1 July 2012.
- State tax reform – NSW is working with South Australia to “develop proposals for the reform of state taxes”.
- Coal royalties – The Budget also confirmed the 2011-12 Budget proposal to increase coal royalties in NSW. The increase will only apply to firms that are subject to the Commonwealth’s mining tax. The increase in royalties will take the form of a supplementary coal royalty, to be paid in addition to normal royalties, and will commence in 2012-13. The supplementary royalty rate will be set by regulation on or before 15 December 2012.
Budget Bill introduced
The State Revenue and Other Legislation Amendment (Budget Measures) Bill 2012 (NSW) was introduced into the NSW Legislative Assembly on Tue 12.6.2012. The Bill, among other things, proposes to amend the Duties Act 1997 (NSW) to implement the above Budget announcements to defer the abolition of certain duties and to make various changes to home buyer concessions.
Further information
The NSW Office of State Revenue has released further information on some of the announced changes on its website.
[LTN 111, 12/6]