Victoria University estimates that national income would be increased by $32.60 per capita for every $1 billion reduction in stamp duties, of which around $21 billion were collected last year. From The AFR:
The economists find that cutting residential stamp duty by $1 billion by 2040 across the country – where currently more than $20.6 billion is collected – would increase national income by $1.19 billion, or $32.60 per capita, or $294 at the state level.
“It is immediately apparent that the clearest allocative efficiency gains would arise from broad-scale state tax reforms,” the paper by Victoria University’s Dr Jason Nassios concludes.
