Overview
- The government introduced the consolidated tax bill to the House on Thursday, replacing the 50% capital gains discount with an inflation‑indexed approach, adding a 30% minimum tax on net gains and restricting negative gearing to newly built homes.
- The bill was automatically referred to a Senate committee that must report by June 22, creating a roughly three‑week inquiry that compresses time for technical fixes and stakeholder input.
- Business groups and some state Labor leaders warned the broader CGT changes could deter investment and asked for carve‑outs, and the government says it is consulting on targeted exemptions for start‑ups and small businesses.
- The Greens signalled they will probably allow the accelerated timetable to proceed and plan to use the inquiry to press the government on grandfathering and concessions, leaving crossbench negotiations decisive for passage.
- Treasury modelling shows the top 1% would have paid about $400,000 more over a working life under the proposals, and the government argues reduced investor demand will improve first‑home buyer access while economists caution the reforms could slow some investment and business growth.