Property sales freefall blows $5.2 billion hole in Victoria’s budgetProperty sales freefall blows $5.2 billion hole in Victoria’s budget

PHOTO: Victorian Treasurer Tim Pallas

A $5.2 billion hole blasted in the state budget by the real estate downturn has forced the Andrews Labor government to launch a tax raid on property owners, gold-miners and luxury car buyers to help make ends meet.

The government says stamp duty revenue will collapse by an average of $1.3 billion a year for the next four years, the worst such result in Victoria’s history, dwarfing the losses seen during the global financial crisis.

Treasury predicts the total shortfall over the four-year budget projection period will be $5.2 billion.

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