According to an article in the Sydney Morning Herald, a family on $180,000 combined or more, and not eligible for either tax cuts or family benefits, receives only between $3 and $6 a year and faces an average increase in the cost of living of around $1000.
So what does this mean for investment property investors?
Using the free investment property calculator, I work out that if you purchase a residential investment property for the price of $315,000 and rent it out for $420 per week the carbon tax basically costs you half of your investment property.
Based on the figures used in the free investment property excel spreadsheet (BTW, they are actual figures), maintaining the ownership of the aforesaid property only costs you less than $1,850 per year.
Hence, an average increase in the cost of living of around $1000 due to the carbon tax means that the carbon tax effectively costs you half of your investment property.
Download the free property investment calculator now to see how much the carbon tax costs your investment property.