The new office towers that are coming to Melbourne are set to become the latest example of a global trend.AUSTRALIANS will be able to claim up to 20 per cent of the building’s cost through the Building Services and Construction Tax Credit.
Key points: AUSTRA is considering offering a 20 per to 30 per cent tax credit for new tower projectsA new office tower at the iconic Fitzroy Hotel in Melbourne’s west is set to be a prime example of the trendThe new building is one of a number of planned office towers in Melbourne, including the $1.5 billion office building in Fitzroy that has been delayed and will cost $1 billion.
But the 20 per and 30 per Cent credits are only available to those who own or lease the building and the new building will only be able claim the credit if it is converted into a hotel.
The new buildings will be built in two phases, with the first to be completed next year and the second in 2021.
“This credit is a key part of our city’s strategy to support new growth and create jobs,” Victorian Premier Daniel Andrews said.
“It is a tax credit that is available to all building owners and is available through our Building Services Tax Credit scheme.”
Building owners and occupiers are encouraged to apply for this credit, which will allow them to enjoy the benefits of a tax break for the investment they make in new buildings.
“A Victorian Government spokesperson said the new buildings would be funded by the building services tax credit.
They are also expected to include a retail, hotel and office building.
One of the new towers in Fitzrovia is expected to be the world’s tallest, which is set for completion in 2021 and cost $2 billion.
A new hotel and two office towers will be constructed in the city centre of Melbourne in the next three to five years.