D.Lo
Member
Yes that's how I would do it. Silly to have council rates and a separate item that you have to pay directly to the State. Also like rates it should be based on location and usage, not property value like stamp duty (though location essentially is a control based on property value). Of course grannies in million dollar houses could in theory be forced out because of council rates increasing because of rising land value in an area so potential PR nightmare there too. Technically that would even out - if super or kids chipping in pays for the rates so gran can stay, they'll get their money back relative to the stamp duty they would pay selling their inheritance anyway.You could sort of sneak it in by overhauling council rates. In a lot of ways, rates are a land tax already. Make them payable to the state government so they can pay for health and education. No idea if that would work but at least it doesn't have the "great big new tax" messaging problem.
And local government is writhing is inefficiency and nonsense, so it could be done poorly.