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ARTICLE · 07 AUGUST 2023

New State Government Housing Tax!

Vincent Young
Explore more from Vincent Young

Amid a housing supply and cost of living crisis, NSW Government has changed the Environmental Planning and Assessment Act introducing a new ‘Housing and Productivity Contribution' that will immediately cost developers thousands. Undoubtedly the additional cost will be funnelled back to the purchasers.

AustraliaReal Estate and Construction
Brett Vincent
Brett Vincent

Amid a housing supply and cost of living crisis, NSW Government has changed the Environmental Planning and Assessment Act introducing a new 'Housing and Productivity Contribution' that will immediately cost developers thousands. Undoubtedly the additional cost will be funnelled back to the purchasers.

From 1 October 2023, the upfront construction tax will apply to all development applications in NSW.

The contribution will cost developers $12,000 a house and $10,000 a unit in Greater Sydney. Housing contribution will also apply to industrial, commercial and retail developments on a per square metre basis.

Vincent Young is still coming to grips with this very surprising legislative amendment.

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