Thursday, 8 May 2008 
 
 
The Institute of Chartered Accountants in Australia (the Institute) welcomes the Western Australian State Budget delivered today.  
 
Con Abbott, Western Australia General Manager for the Institute said, “The areas of conveyancing stamp duty, payroll tax and motor vehicles are the three areas that have the greatest aggregate impacts on taxpayers.”  
 
“We welcome the relief detailed in the Budget for residential property as there have been substantial increases in stamp duty payable on transfers, as a result of Western Australia’s housing boom,” he said. 
 
The Institute is pleased with the relief provided to householders, however only a small part of the conveyancing duty windfall received from the booming property sector has been handed back.  
 
The top rate of stamp duty of 5.15 per cent is still higher than the rate the Government inherited in 2001. 
 
“It is also good news for motor vehicle purchasers with the bringing forward of an increase in the threshold. This is a step in the right direction, although a return in rate scales to the 2002 level would have delivered further tax relief to families,” said Mr Abbott. 
 
It is disappointing for Western Australian business that payroll tax was overlooked in the Budget with the rate and tax free threshold remaining unchanged.  
 
“In a booming economy, where labour prices have increased substantially in recent years this will add an increased burden, especially for small and medium size growth businesses that will be increasingly caught in the Payroll tax net,” said Mr Abbott.