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Thread ID: 135512	2013-11-12 01:45:00	Capital gains tax in the news ..	Nomad (952)	PC World Chat

Post ID	Timestamp	Content	User
1359545	2013-11-12 01:45:00	I just read a few of the readers comments. Put aside their primary motives. While some say there is enough tax in the country, how CGT isn't right b/c the landlords will just hike up the rent so the renter pays instead so it doesn't help the renters, they also claim they are provided a public service to enable houses for people to live in. Or those that says rates etc .. may be seen as a expense so the gains may not outweigh the costs much for the govt. But isn't that giving landlords the convenient exemption? By in large generally property value appreciates. If one put it in a term investment or is into share investments the gains are taxed anyway right. Sure for property if you sell often quickly there is tax but those who rent them out and hold it for sometime do they have to be taxed, not right ... :confused: There been some talk anyway about exempting CGT on the primary house. That may sound nicer to the people but at the end of the day that is an asset right you cannot die and keep the house so even the primary house is an investment right? It may be in their decisions to better buy then rent for a lifetime b/c that was the better financial decision and undoubtedly many would think of the speculative capital gains in that primary property. Even if they pass it on ... the new party gains that investment asset.	Nomad (952)
1359546	2013-11-12 04:48:00	I'm against capital gains tax on people homes, as in the one they own and live in. For any used as an investment or source of income though it makes sense. I'm about 5 years away from owning my house if I stick to my current payments. After that I only have rates and insurance to worry about and it will have only taken 19 years of payments to get there... and you want to reward this hard work by taxing me for capital gains? Historically houses have gained approx 8-10% per year for well over the last century, rubbish you say it's much lower than that? I bought my house in 1999 for 130,000. Last valuation a few years back bumped it up to 250,000 - almost double and pretty close to 10% a year from 1999-2009. If you called that income you might say I'm getting $20k + in capital gains each year currently and tax me accordingly and that does not sound like a good thing to me. I live in my house I don't make money from it, it's a constant drain on my resources and if you tell me it has gained value it makes no financial difference to my lifestyle knowing that. Sure I can sell it and make a profit, but then what? live on the street? blow all the gains on rent that has also increased since I originally bought my house? buy another house that has also gained value over the same time period? The only way to profit from the family home is for your family to sell it and divide up the money after you're gone and I for one see no need to tax that. That's assuming your retirement years don't eat up all that money.	dugimodo (138)
1359547	2013-11-12 19:46:00	CGT is the holy grail of the Labor and Greens parties. It will just push up the prices even more as the tax gets added to the price though most houses here in Auckland are auctioned rather than sold at an advertized price..	paulw (1826)
1359548	2013-11-12 20:46:00	We're missing the whole point. This country doesn't have a housing crisis. Auckland has a housing crisis. There isn't much work outside of Auckland. People are ditching small town because they don't have work and moving to Auckland. The government needs to fix this issue and somehow provide incentives for job creation outside Auckland. If this does not happen nothing will change in the near future. The prices in Auckland will only keep rising, we need to stop the population influx one way or another.	Cato (6936)
1359549	2013-11-12 21:56:00	There is certainly a "housing crisis" here in Christchurch and perhaps its worse that Auckland as its developed in Auckland over years and years, here its hit us hard within 2-3 years. If CGT is introduced it will cause rents that are already sky-high to rise out of the reach of a lot of people. How can that possibly be good.	DeSade (984)
1359550	2013-11-13 00:20:00	There is certainly a "housing crisis" here in Christchurch and perhaps its worse that Auckland as its developed in Auckland over years and years, here its hit us hard within 2-3 years. Well, I specifically ignored Christchurch in my last post because that was a result of a natural disaster, and in time it will be rebuilt.	Cato (6936)
1359551	2013-11-13 00:58:00	Well, I specifically ignored Christchurch in my last post because that was a result of a natural disaster, and in time it will be rebuilt. Yes it will But I can guarantee you that rents will not drop, we will never regain our previous levels and at the end of this year when we the city is expecting major rent hikes its going to hurt as salaries are still paid at the old "Christchurch Cost of Living" rate.	DeSade (984)
1359552	2013-11-13 01:57:00	Yes it will But I can guarantee you that rents will not drop, we will never regain our previous levels and at the end of this year when we the city is expecting major rent hikes its going to hurt as salaries are still paid at the old "Christchurch Cost of Living" rate. But that won't worry the public servants who live there, they'll just get a pay rise to cover the costs..	paulw (1826)
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