The scrapping of three taxes in next week's state budget will help businesses cut down on administration and operating costs, says NSW Treasurer Gladys Berejiklian.
The treasurer on Monday announced mortgage duty, share transfer duty and non-real transfer duty, worth up to $1.8 billion over the forward estimates, will be scrapped when the budget is delivered on June 21.
"This is a decision we've been able to take because we're a responsible government," she said.
"By supporting business we're supporting jobs, we're supporting economic growth.
The government says the taxes were responsible for 250,000 transactions last year and cost the state's businesses $400 million.
Sydney Business Chamber Executive Director Patricia Forsythe said the taxes, which have been slated to be axed for years, were inefficient.
"They don't raise in any one year a lot of money for the government but they do tie businesses in red tape," she said.
Labor says it's worried the cuts will lead to a government reliance on stamp duty receipts.
It says it wants to know how other schools and hospitals are going to be paid for.
"What is missing here is the delivery of sustainable funding to the education and health sectors," Shadow treasurer Ryan Park said.
"Those funding shortfalls are not only going to hit services but also weaken the budget over the next few years."
The taxes' abolition completes the state's repeal obligations under a 2008 intergovernmental agreement.
Businesses paid on average $1000 per mortgage duty and share transfer duty transaction and around $46,700 every time non-real transfer duty was paid, the government says.
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