Transfer stamp duty bracket creep and its impact on first home buyers was a key issue that should be addressed in the 2015 State Election, according to the Real Estate Institute of New South Wales (REINSW).
REINSW President Malcolm Gunning said it was time to tackle the real issues faced by those seeking to purchase property.
"We are dealing with an unfair, unjust and inefficient stamp duty regime, which sees the NSW Government as the biggest winner in the current property boom,” he said.
"In the 2013-14 budget, transfer stamp duty was $4,960 million and revised upwards by $938 million or 18.9 per cent to $5,898 million because of the property boom.
It is now expected to increase by a further 12 per cent in 2014-15, following growth of 40 per cent in 2013-14.”
He said it was time to review these taxes immediately.
“An overhaul of bracket creep must be put to the top of the agenda and first homebuyers must be supported by tapping into these outrageous profits the Government is collecting,” he said.
"A review of bracket creep will encourage further transactions and will not affect the huge windfall of transfer stamp duty collected.
"An underestimate of $938 million in transfer stamp duty is no laughing matter and clearly shows that the Government can not only afford to review the tax system, but also provide support to our young people who need help to make the great Australian dream a reality.”