Stamp duties are also highly inequitable, he says, with just over 4% of the housing stock transacted annually.
“As such, we have a bizarre situation where only around 4% of the population are paying taxes that support services for the whole community – all for the privilege of moving to a home that better suits their needs.”
“Seeing as we all consume government services, wouldn’t it then be fairer and more efficient to levy each household a much smaller amount, rather than penalising only the small minority?”
Of course, he argues, any abolition of stamp duty would need to ensure that those that recently purchased a property (and paid the tax) are not double-taxed.
“Accordingly, a gradual phase-in like the ACT model would be fairest and most workable.”