Changing Housing Taxation Composition: A Review of Policy in the Australian Capital Territory.

A tax reform introduced by the Australian Capital Territory (ACT) Government in 2012 aimed to ease the barrier of owning a home by replacing stamp duty with a broad-based general rates and land tax. This article assesses on the impact of this reform on the ability of low-income families to buy a house using a microsimulation model. The results show that tax reform has increased property turnover and reduced the amounts paid for stamp duty and rates for most groups of vulnerable families in the ACT. However, extreme increases in house prices may offset this gain for vulnerable families. [ABSTRACT FROM AUTHOR]