Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

REINZ concerned about ring-fencing rules

REINZ concerned ring-fencing rules could make rental ownership a less appealing investment choice

If you’re writing on the Revenue Minister’s Taxation (Annual Rates for 2019-20, GST Offshore Supplier Registration, and Remedial Matters) Bill this weekend, please consider the following comment from the Real Estate Institute of New Zealand (REINZ).

Bindi Norwell, Chief Executive at REINZ says: “REINZ is concerned about the impact the proposed loss ring-fencing rules may have on New Zealand’s rental market, particularly in high-density residential areas that already attract high rent prices.

“We consider restricting the use of rental losses for investors could negatively influence the rental market, either by investment property owners passing on the cost of the reduced benefits to renters through increased rental prices or making rental ownership a less appealing investment choice. This may lead to a reduction in rental properties, thereby increasing pressure on the rental market and driving up rental prices,” she continues.

“This is particularly undesirable in the current environment whereby home ownership is at its lowest level in 60 years and the number of people living in rental accommodation is increasing at a greater rate than those living in their own homes,” she concludes.

ENDS



© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Robertson Speech: Budget Sees Wider Debt Target

"New Zealand is well positioned to face this instability and uncertainty, but we are not immune from its impacts. Growth rates are set to be lower than we have seen in recent years..." More>>

ALSO:

Commerce Commission: Spark Warned Of Broadband Price Rise

The warning follows an investigation into representations Spark made on its website and in emails in August and September 2018, notifying in-contract customers receiving its copper-based broadband service of its decision to increase the price by $5 a month. More>>

Law Commission: Resist Rushing To New “Deepfake” Law

Artificial intelligence techniques can create massive volumes of fake audio, images and video that is incredibly convincing and near-impossible to detect... While it is tempting to respond with new law, the study finds that the long list of current legislation covering the issues may be sufficient. More>>

ALSO:

'Contrary To US Interests': US Lockout Sees Android Ditch Huawei

Effective May 16, 2019, the Bureau of Industry and Security (BIS) amended the Export Administration Regulations (EAR) by adding Huawei Technologies Co., Ltd. (Huawei) to the Entity List. More>>

ALSO: