Overview
- Two Labor senators backed a Greens-led inquiry finding that the 50% capital gains discount skews housing toward investors and concentrates benefits among wealthier Australians.
- Chalmers told ABC Radio the government is working up options for the May 12 budget, with decisions to be made by cabinet, and he is set to deliver a budget preview speech on Thursday.
- Options reportedly being modelled include cutting the discount to 33% or 25% and scaling back negative gearing, with active debate over phase‑ins versus grandfathering and potential incentives for new builds.
- Liberal senators Andrew Bragg and Dave Sharma warned changes would deter construction and lift rents, while independent research from Treasury, Grattan and banks points to modest price effects and a small impact on new supply.
- Oxfam and Parliamentary Budget Office analyses highlight around $22 billion in annual foregone revenue and find nearly half of the discount’s benefits flow to about 24,000 multimillionaires.