State Budget 'fails to secure' Tasmania's future

Friday, 18 May 2012

The latest State Budget for Tasmania has come under fire over concerns that it fails to accommodate the economic future of the region.

Mary Massina, Tasmanian executive of the Property Council Australia, explained that micro-economic reform was needed in the state to encourage urban productivity and planning.

"Rather than ensuring we can increase capacity and efficiency, the budget points to the continuation of bad practices, which certainly have not shown to have future-proofed our state and our economy," she commented.

Steps need to be taken to improve business lending in Tasmania, which in turn will drive investment and show that the area is "pulling its weight", Ms Massina indicated.

One of the main aspects of the Budget that has proved contentious is the increase in stamp duty, as the Property Council believes this is penalising those who want to diversify their investments of buy a house.

Colliers International recently highlighted that the end of the tax year is a good time to think about entering the Australian property market, especially as there are so many taxation benefits on offer.