Wed 29 Jul 2015
Win of the decade for Members and the Industry – Stamp Duty…Stamped Out!
As always, CCF Victoria have been pushing hard on the Advocacy front around the issues that affect all our Members and the industry. One issue that has been on our radar for some time now has been the matter of successive State Government’s forcing Contractors to pay Stamp Duty on items of Mobile Plant.
Finally, and as a result of very direct lobbying by CCF Victoria, this impost was removed from 1 July, 2015.
Contractors will no doubt ask how CCF achieved this very considerable saving, not only for its Members, but also for the industry as a whole.
The answer is persistency, strongly documented policy positions and provision of clear evidence that this unnecessary tax was in fact adding to Victoria’s high cost of construction. The other side of the story is that CCF enjoys an outstanding relationship with Victoria’s Treasurer; Hon. Tim Pallas, who to his credit, was prepared to listen and act on CCF’s advocacy position.
What this means to Contractors is a 2.5% saving on the cost of registering an item of Mobile Plant. In real terms, Contractors purchasing a $70,000 Skidsteer loader with the purpose of being operated within the road reserve (and therefore is required to be registered) will save $1,750.00 on their registration bill.
For a 15 tonne roller worth around $170,000, the saving escalates to $4,250.00 which is certainly well worth the effort by CCF to have the duty removed.
The move has brought a little light to the end of the tunnel for Victorian equipment dealers as well, as purchase and registration of Mobile Plant in Victoria is now as competitive (from a registration perspective) as it is with neighbouring States, thus removing the incentive to buy, and register Plant interstate and transport it into Victoria.
If you have any questions about this, please contact CCF Victoria CEO, John Stewart on (03) 9822 0900.