Bill could grow again



By Michael Esposito
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4th May 2010 11:07:02 AM


A parliamentary committee could revive the recently defeated Growth Area Infrastructure Contribution as soon as today.

Planning minister Justin Madden’s controversial bill, which proposes a $95,000 per hectare tax on the sale of land in developing fringe suburbs such as Beveridge, was defeated in the upper house in March and was sent to a dispute resolution committee

The committee had until 22 April to reach a resolution, and, unless there are exceptional circumstances, is required to report its decision to parliament this week.

Legislative Assembly clerk Ray Purdey explained if the committee did not reach a resolution, or it was knocked back in the lower or upper house, it would give premier John Brumby a trigger to call an early election.

Under a new parliament Mr Madden will then be able to re-introduce the bill.

If the bill was still not passed by the upper house, a joint sitting of both councils could be held to consider the passage of the bill.

Michael Hocking, chairman of anti-GAIC lobby group Taxed Out, said the dispute resolution committee was secretive and Labor-dominated.

“Representatives from all opposition parties have met extensively with affected landowners and attended public meetings over many months. They have a thorough understanding of how the Brumby Government’s GAIC proposal will affect landowners,” Mr. Hocking said.

"This is in stark contrast to the Labor members of the dispute resolution committee (Peter Bachelor, Bob Cameron, Tim Holding, Gavin Jennings, Tony Lupton and treasurer John Lenders) none of whom has met a single landowner in the 15 months since the GAIC was first announced.”

Mr Hocking said “insiders” have indicated a 10 hectare minimum land area will be introduced as a tax trigger, but believed it would distort the market.

“If a 10ha minimum was introduced, the sale of a property just under 10 hectares would trigger no tax, while the sale of a property just over 10 hectares would trigger a tax liability of almost $1 million,” he said.

Mr Purdey said the committee was unlikely to report its findings today because the budget was being handed down.


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