Tanya Plibersek (Sydney, Australian Labor Party, Deputy Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister. According to the Housing Industry Association:

An increase of 5 per cent in the GST on a typical house and land package in Sydney will increase the cost of a mortgage by around $60,000 over the life of the loan.

Why is the Prime Minister so intent on making the dream of home ownership even harder by increasing the GST?

Mr Matheson interjecting—

Mr Ewen Jones interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Macarthur will not interject, and I remind the member for Herbert that he has been warned. This is his final warning.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the Prime Minister. It would seem it is my turn on this one. It is the same question. We will take it in turns to give you basically the same answer! Those opposite constantly raise prospects of proposals that are not being put forward by the government. What the member is referring to is something that was said back in July in relation to something that was not a proposal of the government. Those on this side of the House have been taking the issue of housing affordability very seriously. I have to just mention that in what we are seeking to do in freeing up supply we on this side of the House are ensuring that there are proper controls on foreign investment in residential real estate.

It is those on this side of the House who have been putting additional resources into the Australian Taxation Office to ensure that we can find those individuals, those foreign residents, who have been seeking to thwart our foreign investment rules to buy properties, particularly in Melbourne. There have been a host of those properties—most recently a week and a half ago there was a $5 million property—that the Australian Taxation Office has been able to identify.

Those opposite scoff. Here is the chief scoffer now.

Mr Tony Burke (Watson, Australian Labor Party, Shadow Minister for Finance) Share this | Link to this | Hansard source

Mr President, I rise on a point of order on direct relevance. The question did not refer to $5 million homes. We are talking about people getting their dream of—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Watson will resume his seat. The Treasurer has the call.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

Those opposite may not be aware that whether it is foreign residents taking advantage of a property at about $150,000 or at $5 million you need to ensure you have a system of enforcing regulations that ensure that home buyers can have a fair go. This government is enforcing the rules around residential real estate and foreign investment. If the member cared to inquire he would know that we are cracking down not just on those properties at $5 million but on properties right down to $200,000 as well.

We know that we need to act to ensure that first home buyers and other homebuyers across the country are getting a fair go when they turn up to an auction or go into a real estate agent's office. They can have confidence that this government understands the problem, is acting on that problem and is getting results. Those opposite just simply scoff.