The First Home Super Saver Scheme (FHSSS), along with the downsizer contribution, passed the Senate on Tuesday. But the Bill will need to return to the House of Representatives, as it was amended.
The Treasury Laws Amendment (Reducing Pressure on Housing Affordability Measures No. 1) Bill 2017 passed the Senate, with a Liberal Democratic Party amendment. The First Home Super Saver Tax Bill 2017, which only includes a small part of the measure, also passed, without amendment.
Assistant Minister to the Treasurer Michael Sukkar said: “Thanks to broad support from the crossbench, the Turnbull Government will now be able to legislate to give first home buyers a significant leg-up towards saving their deposit, which is often the main barrier to getting into the market.”
“While the Turnbull Government is delivering on its commitment to reduce pressure on housing affordability for all Australians, Labor has continued to treat the issue like a political football, voting to deny first home buyers a tax cut and downsizers with the benefit of superannuation concessions. Thankfully, Labor was completely isolated in voting against these measures in the Senate,” he said.
The LDP amendment, put by Senator Leyonhjelm, requires the minister to start an independent review of the measures in the Bill as soon as practicable after 18 months after the date of Royal Asset, to be completed within 6 months. The amendments also allow the FHSSS to be opened to people who have suffered financial hardship, with details to be set in regulations.
As the Bill was amended in the Senate it will need to return to the House for the amendment to be either accepted or rejected.