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> A government with the nerve to crash the market through sane taxation would be able to reap a sufficient dividend to compensate those genuinely disadvantaged
by conanbatt 9y ago
> A government with the nerve to crash the market through sane taxation would be able to reap a sufficient dividend to compensate those genuinely disadvantaged through negative equity,
Ha!
The government is already collecting taxes because of home sales, it doesn't need to restrict it to solve it with its magical redistribution powers.
- elyobo 9y agoI don't think you understand the NZ situation very well; the government collects very little from property sales compared to most parts of the world, because there's no stamp duty and there's practically no capital gains tax. That said, government revenue isn't even the problem, the excessive cost of housing is the problem. The government is already interfering in the housing market by not taxing it at the same level as normal income; by making it tax advantageous to earn capital gains rather than by labour it pushes money into that market. I'd prefer that they stopped messing with the housing market by treating it the same.