ECONTECH REPORT INTO BOARDING HOUSES

The Department of Family and Community Services commissioned the economic

modellers Econtech to analyse the effects of tax reform on boarding houses.

The Report shows that expected average price increases will be more than

compensated by increases in pensions and rent assistance.

In the short-term both input taxing and the concessional rate approaches

give nearly identical price change results, respectively 3.6% and 4%.

In the long-term, the concessional rate approach becomes significantly

more attractive than input taxing, with respective price changes at 1.5%

and 3.1%.

In the Report, Econtech makes it clear that short-term refers to first

year (2000/01) effects.

Download Econtech Report

RTF 524KB

CANBERRA

20 June 2000