NSW Greens are pushing for a mega villa tax to help build more social housing

Wealthy homeowners could soon be taxed more heavily on properties worth more than $10million in a push by the NSW Greens.

The party announced its Extreme Wealth Property Tax package on Sunday, which includes plans to increase property taxes for developers and mega-villa owners.

Proposals include introducing a flat 4 percent tax on owner-occupied mega-mansions with a land value of $10 million or more.

Wealthy homeowners could soon be taxed more heavily on properties worth more than $10million in a push by the NSW Greens

The extra money will be used to build more public housing and affordable real estate for ordinary residents.

Green MP Jenny Leong said the wealthy owners of trophy villas and large property portfolios had gone unchecked for too long.

“Tackling economic inequality through affordable housing should be one of the top priorities in the state, but the liberal national government has failed to address this crisis,” she said.

Ms Leong said the extra money would be used to restore equity in the housing market.

“The Greens have a plan to counter growing housing inequality and address NSW’s chronic shortage of affordable housing by introducing a range of measures to tax billionaires, big investors, property lords and the super-rich.”

Under the plan, additional taxes levied on just 10 megavillas would fund 86 new affordable homes each year, Greens said.

The extra money will be used to build more public housing and affordable real estate for ordinary residents

If the party has its way, a new property tax on high-end residential properties would be introduced and the existing property tax on investment properties would be increased and expanded.

The plan would also scrap current property tax concessions for developers under “build-to-rent” schemes, which the Greens say fail to provide affordable housing.

“NSW is in the midst of a serious housing crisis and the inequality gap is widening, but instead of addressing this, the Liberals and Nationals continue to offer special treatment and tax breaks for large investors,” Ms Leong said.

“Greens believe that those who own and live in obscenely expensive properties – as well as those who have large property portfolios – should pay their fair share.”