Stamp Duty is a tax on real estate transactions. Abolishing Stamp Duty decreases the cost of buying a property. Not only would abolishing Stamp Duty make housing cheaper, it would also allow people to change their housing more easily. Reducing the cost of property transactions would allow people to upsize and downsize more easily, making the use of available housing more efficient.
Victoria is over-reliant on Stamp Duty revenue, which contributes ~20% of total state revenues. The State Government should immediately move to a sliding scale reduction of Stamp Duty to wean itself off this inefficient and inequitable tax.
The State Government needs to:
- reduce overall spending
- argue for a changed share of Federal tax revenue (income, GST), and
- switch to a more equitable, efficient and stable Land Taxes scheme
https://www.parliament.vic.gov.au/news/economy/treasury-officials/
There are downsides to Land Taxes, especially for those who are “asset rich and cash poor” like retirees. These issues can be addressed through deferred payments. This must be a key State Government commitment to a fairer housing market.
Mel Yuan for Brunswick 
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