Australia: cement tax would hit house costs

Australia: cement tax would hit house costs
Published: 04 June 2010

Analysts at investment bank Merrill Lynch this week warned that the Federal Government’s proposed resource super profits tax could increase the cost of building houses by $800.

Merrill Lynch said that if the tax is applied to cement and concrete producers, including Boral, Adelaide Brighton, Hanson and Heidelberg, the cost of the tax is likely to be passed on to consumers.

Industry group Cement Concrete & Aggregates says the tax will put at risk the building industry recovery. The Government has claimed the tax would not increase prices.