“BUDGET papers do not lie, at least the 2011-12 ones don’t. The figures show that rates would have to triple in order to abolish stamp duties,” says president of the independent Ratepayers Association of the ACT Inc, Peter Jansen.

“Labor has refused to provide actual projections for individual ratepayers of what they can expect to pay, in today’s dollar terms, in the coming years for their property rates bills, despite having a whole departments modelling of how it will happen.

“It’s very simple arithmetic take current average UCVs and multiple by the rating factor required to abolish stamp duties and you have the answer on a property-by-property basis.

“If Labor wants to be believed all it has to do is publish what every individual property owner is entitled to know, before the upcoming election. Residents (ratepayers, tenants, boarders and people in share accommodation) all are entitled to know what their costs are going to be.”

Jansen’s analysis was met with support from Opposition Leader Zed Seselja. The Liberals are campaigning ahead of the October 20 ACT election on the issue of rates, asserting that the Labor Government’s Budget adoption of the Quinlan tax reform review will have the long-term effect of tripling rates for the majority of property owners. Labor has struggled for weeks to refute the claim.

“I welcome today?s statement from the ACT Ratepayers and Properly Owners Association which gives Canberrans the truth about this tax grab,” says Seselja.

“This is an independent organisation that exists only to protect the interests of ratepayers.

“The simple mathematics of this tax reform doesn?t lie.

“ACT Labor is phasing out stamp duty by replacing it with rates. This will triple rates by making households pay stamp duty every few years, forever. The numbers are blatantly obvious but Andrew Barr – who considers the family home a ‘tax haven’ – isn?t being honest with Canberrans about his plans.

“The election is Canberrans’ opportunity to have their say on the rates increases they weren?t asked about. Only the Canberra Liberals will stop the ACT Labor/Greens plan to triple rates.”

The graph shows:  

The rates projections achieve the ACT Government’s stated aim of abolishing stamp duties and adding the cost to rates.

The projections are per dollar spent on general rates by households, investors, tenants, & other residents either directly or indirectly.

The bottom line is for increases to achieve the Government’s stated aim in today’s dollar terms.

The line above includes annual average WPI increases of 3.5 per cent.

In summary: triple rates in real dollar terms and a six times increase in actual dollar terms.

Peter Jansen, President

Ratepayers Association of the ACT Inc.

Today’s statement from the ACT Ratepayers and Property Owners Association

is proof that rates will triple under a Labor/Greens Government, ACT

Opposition Leader Zed Seselja said today.

“The simple mathematics of this tax reform doesn?t lie,” Mr Seselja said.

“ACT Labor is phasing out stamp duty by replacing it with rates. This will triple rates

by making households pay stamp duty every few years, forever.

“The numbers are blatantly obvious but Andrew Barr – who considers the family

home a „tax haven? – isn?t being honest with Canberrans about his plans.

“I welcome today?s statement from the ACT Ratepayers and Properly Owners

Association which gives Canberrans the truth about this tax grab. This is an

independent organisation that exists only to protect the interests of ratepayers.

“The Canberra Liberals? plan is to give support to those who most need it – first

home buyers – by halving stamp duty, without tripling rates for everyone else.

“The election is Canberrans? opportunity to have their say on the rates increases they

weren?t asked about. Only the Canberra Liberals will stop the ACT Labor/Greens?

plan to triple rates,” Mr Seselja concluded.