Update to tax breaks for ‘green’ buildings
This is an update to our earlier newsletter item on this topic on 12 May 2011.
The Federal Government has announced that it will conduct further consultations around the Tax Break for Green Buildings Program to deliver the best outcomes for the industry.
The program will now come into effect on 1 July 2012.
The Parliamentary Secretary for Climate Change and Energy Efficiency, Mark Dreyfus, said that “While consultation on the scheme will be extended by one year, it will still provide $1 billion in support to the property industry over 8 years to improve the energy efficiency of older, less-efficient buildings around the country.”
Issues raised include whether the benefit should be provided as a bonus deduction (as proposed) or as a refundable tax credit, whether the program should support re-fits for buildings that are already rated above 2 stars on the NABERS rating system, and whether the program should provide more tailored support for the refit of hotels.
For further information contact our Commercial Property Team.
Author: John Turnbull, Accredited Specialist in Property Law and in Business Law