- 17 December 2016
Talking Tax and Chinese Buyers
Chinese Buyers
Treasury has released an in-depth survey result from 2010 to March 2015 analysing Chinese buyers and the location they buy in.
They found that it is not Chinese buyers pushing prices and infract their positive effect was limited to between $80 - $90 a quarter. The market grows itself on average $12,800 a quarter.
Treasury did point to low rates as the reason, totally ignoring history. If they look back at the previous Sydney and Melbourne boom, 2001-2004, there were no Chinese buyers, there were no low rates. Yet the spike in prices then was higher than now.
It's bananas really. And the reason that we have Sydney particularly, running on this year, is because APRA have restricted the supply going into Sydney, indeed across Australia. This means that APRA will lift prices across Australia from this supply restriction.
What are our politicians doing about this? Nothing!
Talking Tax
Trump is talking about reducing the company tax rate down to 15%. The UK is already on 20% and Australia is sitting on 30% and any reduction is stalled in the Senate.
What about the poor old worker?
They're on 35% tax plus there's the Keating Labor tax of another 9.5% taking the tax on a worker to near 50%! The workers know that the Super levy is not their money. It is not their future. It will run out after five years in retirement even in 2050, after a lifetime of paying this Keating Labor tax.
Why isn't the media talking about reducing the high tax on the workers who don't put any money in their pay packet until 1pm on Wednesday. Up until then they are working and just paying tax tax tax.
Then they take half the money home to be taxed again by local and state governments.
What do you think?
Isn't it time that the state, local and federal governments had to work within a budget of no more money than this as a percentage of GDP. If they want to spend more then they have to extend GDP or in other words, extend the money you put in your pocket.
Leave your comments on my Facebook page if you agree!
Kevin Young
Club Founder
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