Treasury admits dearth of foreign ownership data
The Federal Treasury has admitted that it does not have accurate data on the stock of residential properties in Australia held by foreign investors.
The dearth of accurate data has been confirmed in an answer to a question on notice posed by NSW Greens Senator, Lee Rhiannon during Senate Estimates.
Treasury admitted that there was “currently a lack of data available on the stock of residential properties held by foreign investors”.
It said the total number of Foreign Investment Review Board (FIRB) applications for residential real estate was expected to be around 15,000 in 2016-17 but admitted, “we do not currently have data on the breakdown of this figure into price ranges for this time period”.
“Since 1 December 2015 the Australian Taxation office (ATO) has collected data on applications to the FIRB rather than actual property settlements,” it said. “From 1 July 2016, FIRB applicants who applied for approval to purchase residential property and purchased property after 1 July 2016 were requested to register their purchase on the Land Register.”
“In regards to the budget impact reference of ‘an estimated gain to revenue of $20 million over the forward estimates’ in 2017-18 Budget Factsheet 1.6, the costing focuses on the revenue raised from the vacancy charges and makes only high level assumptions on properties for which the vacancy charge will not be paid,” the Treasury response said.
Recommended for you
The Reserve Bank of Australia (RBA) has lowered rates to a level not seen since mid-2023.
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
