The Block billionaire Adrian Portelli is now facing an eye-watering tax bill after snapping up all five properties in the show’s auction on Sunday.
The billionaire, 35, spent a grand total of $15.03million as he bought all of the luxury Phillip Island homes from the show’s 2024 season in a first ever on the program.
On the back of the huge purchases, his tax obligations to the Victorian government has been revealed, with hefty stamp duty and annual land taxes on the horizon.
The top Block bidder is facing staggering costs exceeding $1.2million after his multimillion-dollar purchases.
In stamp duty alone, the Victorian State Revenue Office could reap as much as $876,950, according to realestate.com.au.
On top of that, Portelli will also reportedly be forking out approximately $332,182 annually in land taxes.
Alan Mitchell, managing director of Mitchell Partners, emphasised the toll that taxes are taking on property investors.
He noted that many of his clients are opting to sell their Victorian assets and reinvest in Queensland properties or even the stock market due to the high taxes.
The Block billionaire Adrian Portelli is now facing an eye-watering tax bill exceeding $1.2 million. (Portelli is pictured with winners Maddy and Charlotte Harry)
After acquiring all five homes from the show’s 2024 season during Sunday’s grand finale auction, Portelli’s tax obligations to the Victorian government has been revealed, with hefty stamp duty and annual land taxes on the horizon
‘Even if the government winds these taxes back, property is a long-term investment,’ Mitchell explained to Realestate.com.au.
‘If investors decide to buy in Queensland, they’re not likely to sell in Queensland just to take advantage of reduced rates in Victoria.
‘It’s like turning around the Titanic – even if they reduce rates, it could take five to ten years to counteract the effects of recent tax policies.’
He added that the state government’s reliance on taxing investors could backfire in the long run, describing the revenue from land tax as a ‘short-term gain’.
He pointed out that as more investors exit the Victorian property market, the government could see a drop in revenue in the coming years.
It comes after Libertarian MP David Limbrick shared a video last week suggesting that the ‘real winner of The Block’ would ultimately be the State Revenue Office.
He highlighted how escalating transaction costs were pushing investors away, with many opting to put their funds into the stock market, where there’s no stamp duty.
The Victorian State Revenue Office could reap as much as $876,950 in stamp duty alone, according to realestate.com.au
Portelli revealed his shock plan for ‘Block Island’ after purchasing all five of the contestants’ homes during auction day.
He revealed he will be giving away all the houses in a massive ‘resort giveaway’ through his LMCT+ raffle business.
‘Under new management! And as mayor of Portelli town, I would like to announce a world first. LET’S GIVE AWAY A FKN RESORT!’ he confirmed on Facebook.
‘1 Giveaway – 1 Prize – Winner takes the whole resort OR $8,000,000 instant Tax-Free Cash instead! Let the game begin.’
Accompanying the announcement was a photo of Portelli posing alongside one of his lavish cars as he posed inside the Block complex, which he had just purchased.
He was all smiles as he relaxed against his vehicle while holding an LMCT+ banner reading ‘No Vacancy’.
The ‘rewards club’ that Portelli has made his billions from sees his customers pay for different tiers of membership to receive a number of entries in luxury giveaways.
Portelli has been buying up Block houses over the last three seasons and giving them away in his raffles.
It comes after Portelli revealed his shock plan for ‘Block Island’ after purchasing all five of the contestants’ homes during auction day. Pictured: Portelli’s business’ Facebook post
Despite nabbing all five properties, Portelli confessed to The Kyle and Jackie O Show on Monday that he doesn’t even like Phillip Island and that is why he will be giving all the homes away in the raffle.
‘I was thinking of starting my own resort, but I’m actually going to give them away to one of my customers,’ Adrian responded.
Host Kyle Sandilands explained: ‘That’s what he does. Every time he buys these houses he gives them away to one of his customers… It’s part of a contest [LMCT+].’
‘We give them away and someone gets to win it,’ Adrian said, before slamming the location where The Block was filmed this year.
‘I’m not much of a fan of Phillip Island. It’s a bit of a drive for me. I can’t be bothered to drive all that way,’ he said.
Portelli also revealed that the auction was rigged after Maddy and Charlotte Harry became the youngest ever winners on Sunday.
Portelli also revealed that the auction was rigged after Maddy and Charlotte Harry (both pictured) became the youngest ever winners on Sunday
‘We hand-selected the auction order to make sure the girls [Maddy and Charlotte Harry] went last. So we can get them to win,’ Portelli told Nova’s Jase & Lauren.
Portelli revealed it was decided their house would be the last to go to auction to increase the drama after the latecomers came under criticism from their co-stars.
‘The girls cared. They came in late. They were the underdogs, were picked on, were bullied,’ he claimed.
He said Marry and Charlotte were informed in advance as to why their property would be auctioned last, adding the other contestants were kept in the dark.
‘It was just the girls [who were in on the plan]. How good is that? They are the sweetest and innocent and were playing the game the best,’ he shared.