As NZ struggles to resolve its long-running housing crisis, investors should be taxed for keeping homes empty

<https://theconversation.com/as-nz-struggles-to-resolve-its-long-running-housing-crisis-investors-should-be-taxed-for-keeping-homes-empty-212356>

"The property market is New Zealand’s largest industry, adding NZ$41.2 billion
a year to gross domestic product. But there is a debate over how we tax houses
– particularly those sitting empty despite the ongoing housing crisis.

Housing affordability is a concern for both renters and home owners. Last year,
one in four rental households spent more than 40% of their disposable income on
housing costs, compared with one in five households that were paying a
mortgage.

A comprehensive capital gains tax has been ruled out by both major political
parties.

While the bright-line rule means home owners have to pay income tax on profits
from properties sold less than 10 years after purchase, this still only applies
to house sales. What about those investment properties sitting empty for
investment reasons?

My forthcoming research looks at the feasibility of taxing empty homes and what
I found was a potential source of substantial revenue for the government."

Cheers,
       *** Xanni ***
--
mailto:xanni@xanadu.net               Andrew Pam
http://xanadu.com.au/                 Chief Scientist, Xanadu
https://glasswings.com.au/            Partner, Glass Wings
https://sericyb.com.au/               Manager, Serious Cybernetics