The state budget usually plays second fiddle to the Federal budget however there were a few items worth noting in the most current Victorian State Budget including:
- From 1 July 2017 property transfers between spouses involving commercial properties or investment properties will no longer be exempt from stamp duty. Therefore if you are planning on restructuring, you may wish to consider doing so prior to 1 July 2017.
- Introduction of a vacant property tax of 1% of the property’s capital improved value
- Introduction of yearly land tax valuations instead of every 2 years commencing 1 January 2019
- Payroll tax free threshold to increase to $650,000 from 1 July 2018.
- Lower payroll tax rate of 3.65% will apply form 1 July 2017 for employers who have at least 85% of their employees in regional locations.
