SMATS Group Chairman Steve Douglas has begun a campaign to have the Australian Federal Government back down on thier recent announcement to remove the current CGT concession on gains made by Non-Resident Investors.
As the largest accounting firm in the world looking after Non-Resident Australian landlords, we have an obligation to try and protect their interests. This change is not just about the tax impact though, as I do not believe the Government has consdiered the potential to contract the A$18.64bn property investment market which is worth billions in tax revenues to Australia and creates thousands of jobs in the property & construction industry.
We also believe that there is a level of unfairness in the system by treating Australians abroad and foreign investors differently to there counterparts living in Australia.
We sincerely believe that the potential revenue of this change forseen in the budget, A$55m over four years, will be greatly eclipsed by the lost revenue from a possible contraction in foreign investment and expatriate activity. This could mean a significant blow to the Labor Governments plans to bring the budget back to surplus in 2012-13.
For all of these reasons we intend to pursue all fronts to try and return the position to remain unchanged.
We are seeking the help of everyone to support our push by joining our online petition to give weight to our efforts.
