OT: Current Affairs and Politics

[Gary Gutful]

#ReleaseTheKraken

@hineyrulz has it.

 

[strider]

#ReleaseTheKraken

I wish they would hurry up

A firehose worth of kraken .... hiney will be jealous

 

[hineyrulz]

@hineyrulz has it.

Annnnnnnnd it’s gone.


Actually I’m sweating it out as we speak, so I sorta am releasing the Kraken.

 

[Gary Gutful]

*shitting

 

[hineyrulz]

*shitting

That came first.

 

[Gronk]

NSW Government pulled the trigger on Stamp Duty reforms today. Blah blah public consultation, but they will do it.

What it means is that punters will be given a choice when buying a home to:-

• Pay the regular stamp duty up front like now and their primary residence will be exempt from land tax*, or
• Elect not to pay stamp duty upon purchase, however their home (primary residence) will be liable for annual land tax (assume threshold still applies) *

* unsure if it will be called Land Tax and calculated at current land tax rates

To tackle an inefficient property tax system, over the coming months the Government will seek feedback from the public on a possible transition away from the current transfer duty and land tax system. The outcome of this transition would be lower barriers to home ownership, and a boost to long-term growth.

https://www.budget.nsw.gov.au/budget-detail/economic-reform-lasting-prosperity

It will create a conundrum for many families. Do we intend to stay in the home long term or will we likely move on after a few years ?

Here is a scenario.

Merkin buys a house for $2.67m
Stamp duty is $131,875

Land Value is $1.57m
Land Tax ($1.57m less $734k x 1.6%) is $13,376 per annum.

So does he pay the $130k up front or elect to pay $13k per annum.

 

[Twizzle]

so this actually happened

 

[I'm a loser baby...]

The winner is Sidney?

 

[Gronk]

The winner is Sidney?

Sidney is going to be a hero or a car crash victim.

ATM all she is saying right now that the voting machine when used in Venezuela, was manipulated.

So far this is just hot air. All bravado, no evidence.

She has until mid December to have all cases heard and resolved. Tick, tock.

https://www.bbc.com/news/election-us-2020-54959962

https://www.usatoday.com/story/news...achines-didnt-delete-switch-votes/6282157002/

https://www.nytimes.com/2020/11/11/...ting-machines-did-not-delete-trump-votes.html

 

[84 Baby]

NSW Government pulled the trigger on Stamp Duty reforms today. Blah blah public consultation, but they will do it.

What it means is that punters will be given a choice when buying a home to:-

• Pay the regular stamp duty up front like now and their primary residence will be exempt from land tax*, or
• Elect not to pay stamp duty upon purchase, however their home (primary residence) will be liable for annual land tax (assume threshold still applies) *

* unsure if it will be called Land Tax and calculated at current land tax rates

To tackle an inefficient property tax system, over the coming months the Government will seek feedback from the public on a possible transition away from the current transfer duty and land tax system. The outcome of this transition would be lower barriers to home ownership, and a boost to long-term growth.

https://www.budget.nsw.gov.au/budget-detail/economic-reform-lasting-prosperity

It will create a conundrum for many families. Do we intend to stay in the home long term or will we likely move on after a few years ?

Here is a scenario.

Merkin buys a house for $2.67m
Stamp duty is $131,875

Land Value is $1.57m
Land Tax ($1.57m less $734k x 1.6%) is $13,376 per annum.

So does he pay the $130k up front or elect to pay $13k per annum.

Idealistically it’ll help get people with the earning capacity to pay ownership costs into the market earlier (before their current purchase capacity).
Realistically I think there’ll be a bunch of people who’ll f**k it up and won’t be able to afford annual costs.
But I think eventually those people will be weeded out and it’ll give first homebuyers a boost. The obvious rort is how long do I have to live in it for it to apply? I’ll happily rent my current house out, buy a new one sans stamp duty cause I’ll have to pay land tax anyway, live there for a few months then move back into my current house

 

[Gronk]

The obvious rort is how long do I have to live in it for it to apply?

It's a forever tax mate.

One of the problems with the NSW gov is planning because Stamp Duty revenues fluctuate with the property market.

Getting merkins on annual property tax irrespective of what's happening in the market in lieu of traditional up front payment is their plan to regularize income streams. So the property market could shit itself and they will still get their annual land tax. Cunning as a shithouse rat they are.

 

[Gronk]

 

[Suitman]

https://www.npr.org/sections/biden-...ers-to-encourage-a-smooth-transition-of-power
michelleobama
Verified
This week, I’ve been reflecting a lot on where I was four years ago. Hilary Clinton had just been dealt a tough loss by a far closer margin than the one we’ve seen this year. I was hurt and disappointed—but the votes had been counted and Donald Trump had won. The American people had spoken. And one of the great responsibilities of the presidency is to listen when they do. So my husband and I instructed our staffs to do what George and Laura Bush had done for us: run a respectful, seamless transition of power—one of the hallmarks of American democracy. We invited the folks from the president-elect’s team into our offices and prepared detailed memos for them, offering what we’d learned over the past eight years.

I have to be honest and say that none of this was easy for me. Donald Trump had spread racist lies about my husband that had put my family in danger. That wasn’t something I was ready to forgive. But I knew that, for the sake of our country, I had to find the strength and maturity to put my anger aside. So I welcomed Melania Trump into the White House and talked with her about my experience, answering every question she had—from the heightened scrutiny that comes with being First Lady to what it’s like to raise kids in the White House.

I knew in my heart it was the right thing to do—because our democracy is so much bigger than anybody’s ego. Our love of country requires us to respect the results of an election even when we don’t like them or wish it had gone differently—the presidency doesn’t belong to any one individual or any one party. To pretend that it does, to play along with these groundless conspiracy theories—whether for personal or political gain—is to put our country’s health and security in danger. This isn’t a game. So I want to urge all Americans, especially our nation’s leaders, regardless of party, to honor the electoral process and do your part to encourage a smooth transition of power, just as sitting presidents have done throughout our history

 

[Gary Gutful]

Sidney is going to be a hero or a car crash victim.

ATM all she is saying right now that the voting machine when used in Venezuela, was manipulated.

So far this is just hot air. All bravado, no evidence.

She has until mid December to have all cases heard and resolved. Tick, tock.

https://www.bbc.com/news/election-us-2020-54959962

https://www.usatoday.com/story/news...achines-didnt-delete-switch-votes/6282157002/

https://www.nytimes.com/2020/11/11/...ting-machines-did-not-delete-trump-votes.html

Release it!

 

[Gronk]

Anywho they were talking about the multitude of cases by the Trump campaign. Of the 20 or so that have been run already, they have all been thrown out as having zero substance*. Half a dozen lawyers were threatened by the judges that their licenses were in jeopardy for filing frivolous legal actions.

 

[Gronk]

 

[84 Baby]

It's a forever tax mate.

One of the problems with the NSW gov is planning because Stamp Duty revenues fluctuate with the property market.

Getting merkins on annual property tax irrespective of what's happening in the market in lieu of traditional up front payment is their plan to regularize income streams. So the property market could shit itself and they will still get their annual land tax. Cunning as a shithouse rat they are.

The differences between market fluctuations, recoup periods and non-payments between stamp duty and land tax probably even out.

And it’s not a forever tax but my rort question was how SHORT a period I could live in a property and not pay the stamp duty? Could I conceivably buy essentially a rental property and forgo stamp duty in favour of paying a land tax and then how long down the track could I move back to my current home (assuming, having paid stamp duty on it, I could return it to land tax exempt)?
As your calculation showed it’s about 10 year recoup period on the one property. Even factoring in the additional land tax now payable on my current home (that I rent out for the period), the recoup is still going to be years. So if the minimum main residence period for the new home is less than that, financially I’m better off. Not even factoring time value of money.

Even just less of a rort through plain hard work, would be moving house within the recoup period. There’s other costs and hassles to factor in, but there’s definite financial benefit.

 

[Gronk]

The differences between market fluctuations, recoup periods and non-payments between stamp duty and land tax probably even out.

And it’s not a forever tax but my rort question was how SHORT a period I could live in a property and not pay the stamp duty? Could I conceivably buy essentially a rental property and forgo stamp duty in favour of paying a land tax and then how long down the track could I move back to my current home (assuming, having paid stamp duty on it, I could return it to land tax exempt)?
As your calculation showed it’s about 10 year recoup period on the one property. Even factoring in the additional land tax now payable on my current home (that I rent out for the period), the recoup is still going to be years. So if the minimum main residence period for the new home is less than that, financially I’m better off. Not even factoring time value of money.

Even just less of a rort through plain hard work, would be moving house within the recoup period. There’s other costs and hassles to factor in, but there’s definite financial benefit.

More info is filtering through..

There will be an owner occupied rate and a investor rate.

The bolded bit is f**kery at it’s finest. If I find a keeper and intend to live there forever, I can’t pay the duty up front because a predecessor in title already opted to an annual tax.

==============================

The proposal would give home buyers the option of paying a large lump sum upfront, similar to stamp duty, or an annual property tax.

The property tax would be a fixed amount plus a rate applied to the unimproved land value of an individual property – similar to that which occurs with council rates.

Under the change, once a property is subject to the tax, subsequent owners must also pay.

The changes would only apply to those buying property. If you’re not moving home and have already paid stamp duty you will not have to pay the tax.

Under Mr Perrottet’s proposal, owner-occupied homes would be liable for lower rates on the property tax than investment properties. However, protections would also be put in place so that the property tax would not result in rent increases without a tenant’s agreement.

First home buyers, who have stamp duty concessions for properties of up to $800,000, would be given a grant of up to $25,000 to go towards the tax or home refurbishing.

The Treasurer says that, in the short term, the property tax proposal would reduce state government revenue but it is expected to be cost-neutral in the long term.

https://www.smh.com.au/politics/nsw/how-nsw-s-proposed-property-tax-would-work-20201117-p56faq.html

 

[Poupou Escobar]

The bolded bit is f**kery at it’s finest. If I find a keeper and intend to live there forever, I can’t pay the duty up front because a predecessor in title already opted to an annual tax.

Sure, but this would find its way into the price. Plus the lender would account for this extra expense in the prospective borrower's ability to repay.

 

[Eelogical]

Speculate to accumulate, eh?