Episode 46: Victorian ‘budget of hard choices’ hits foreign investors as stamp duty slumps

May 28, 2019 | Podcast Episodes

This week we’re discussing the Labour government’s newly released state budget, and Treasurer Tim Pallas’s plan to fill a large hole in the budget, caused by the downturn in the property market and subsequent slump in stamp duty revenue.

Since November 2018, revenue forecasts from stamp duty have been revised down by 5.2 billion. To help generate revenue to make up for the hole in the budget, tax paid by foreign property investors will increase 1%, and tax paid by absentee landowners will increase 0.5 %; both in line with New South Wales rates.

Other news in the ‘budget of hard choices’, includes a forecasted surplus of $1 billion for 2019-20, growing to $4.9 billion in 2022-23. In parallel with the surplus, the net state debt will more than double over the same duration to $54.9 billion by 2022-23, to pay for the Melbourne Airport Rail Link and the Suburban Rail Loop.

Listen in to hear Brett, Joel and Louis discuss the Victorian state budget now.

This Week’s Investor Exchange Round Table Covered:

  • AustralianSuper Pty, plans to expand overseas to seek more investment opportunities, opening an office in New York and expanding in London. Listen in for Joel’s insights on the advantages of investing in overseas companies. (17:24)
  • Joel raises the issue surrounding a lack of diversity in Australian export markets. With 80%  of exports being commodity based, and only 20% of exports being service-based, we haven’t been successful in broadening our spread of exports. Listen in on what this may mean for investors. (26:28)
  • We’re only days away from the 1st of June, which means: Tax time! Listen in as Louis shares the top 4 tax concessions. (32:52)

You Cannot Be Serious:

A police officer in Lincoln Nebraska arrested a 26-year-old man for various nasty charges, who tried lying about his identity while wearing a name tag!

A Boston man returned home with his young child to find his backdoor wide open. Expecting he had been robbed, he was pleasantly surprised to find the intruder cleaned his entire home. Speculators suggest a house cleaner turned up to the wrong address, broke in, and cleaned up!

Listener Questions:

Write in to get your investment and wealth management questions answered by Joel, Brett and Louis.

Ask a Question: https://theinvestorexchange.com.au/ask/

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The Investor Exchange Theme Music: “Happy Happy Game Show” by Kevin MacLeod (incompetech.com) Licensed under Creative Commons: By Attribution 3.0.

Image Source: The Australian

The post Episode 46: Victorian ‘budget of hard choices’ hits foreign investors as stamp duty slumps appeared first on The Investor Exchange.

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The Investor Exchange

The Investor Exchange is weekly podcast where the expert panel share banter, tips and insights on how to grow and manage wealth.

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Episode 114: Have The Markets Reacted To a COVID-19 Normal World?

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This week’s edition of the investor exchange podcast kicks off with a discussion on the COVID-19 situation in Victoria. It’s been 20 days since Victoria recorded its last case and is on track towards a COVID normal Christmas. Following that, Louis talks about the benefits of holiday for your mental health which in turn impacts our performance in work and in life. Brett takes us through the changes in stamp duty that will soon be in place for home buyers soon and breaks down what the costs and benefits will be. Finally, Joel provides a share market update and highlighting the current situation in the United States.

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