Plan to slug caravan rents extra 10% GST slammed by Premier
A proposal by the Australian Taxation Office to slug families 10% extra tax for living in permanent caravans has been slammed by Queensland Premier Campbell Newman.
He has called on the Federal Government to reject the plan, saying it would add $15-$30 per week to rents – $1,000 per year – ‘’that they simply cannot afford’’.
The ATO plan is to add GST to rents paid by the 30,000 Queenslanders who live in permanent caravans and demountable homes across the state’s accommodation parks.
“I’ll be making it clear to the Federal Government that adding GST to the rent paid by families on their permanent caravans in parks is just not on,” Newman said.
“This draft plan earmarked by the ATO is unfair and the Queensland Government is calling on Joe Hockey to reject it immediately to give these people certainty.
“The GST paid by these residents would ultimately filter back to the state’s budget, but in this case, I‘ll be saying we don’t want it.
“Families living in these dwellings shouldn’t be hit with this burden while others living in an apartment or a house are exempt from paying GST on their rent – it’s just not fair.”
Newman said residents would have to pay $20,000-$50,000 to remove their home from a park should they disagree with the increase.
The draft ATO ruling would apply to mixed-use parks which have both long-term residents and temporary sites for caravans or tents.