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Land Tax Review Needed To Save Gippsland Businesses: HallGippsland MP Peter Hall has again called on the State Government to review its land tax obligations, particularly as it relates to coastal businesses. By Peter Hall - 16th December 2004 - Back to News Mr Hall told State Parliament this week that the increase in land tax was having a "particularly harsh impact on coastal businesses."
"The Victorian coast is where land valuations are increasing most rapidly, consequently those coastal businesses are suffering from a very severe increase in the land tax payable by them," he said during Members’ Statements.
Outside Parliament, Mr Hall said Gippsland was more prone to land tax increases, which come about as property values spiral upward, because of its long coastline.
"The value of any coastal land is rising quickly and that applies in Gippsland from Phillip Island through to the NSW border.
"When you take into account the length of shoreline on the Gippsland Lakes, you can see just what an impact this has on Gippsland."
Mr Hall told Parliament that he welcomed the recent decision by the Bracks government to abolish land tax for caravan parks, but added that the same principle needed to be applied to other businesses.
"I give as an example to the house today the Metung Hotel. Anybody who has been to Metung - that lovely village on the Gippsland Lakes - will know that the local pub is a focus of tourist activity in that area.
"Four years ago it was paying land tax of $4000; now that figure has risen to $43,240."
Mr Hall said it had moved to a stage where icons such as the Metung Hotel would be replaced by units, because under the current land tax provisions, that would be a much more efficient use.
He also indicated his concern for other businesses right along the Gippsland coast and in areas of the Gippsland Lakes. "What will happen if land tax is not reviewed is that many of the businesses along the coast will be decimated," he told Parliament. "I say again that the government needs to apply to other businesses the same principle of exemption it has applied to caravan parks."
Source: http://gippsland.com/ Published by: news@gippsland.com
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