Overview
- Labor is considering scaling back the capital gains tax discount and is weighing a carve‑out for newly built homes as budget decisions are finalised.
- The Business Council of Australia asked a Senate committee to spare new dwellings from any discount cut and pressed for no retrospective changes.
- Capital gains tax is charged on profits from selling assets such as property or shares, with a 50% discount after one year and a full exemption for a person’s main home.
- Prime Minister Anthony Albanese and Treasurer Jim Chalmers have signalled a tax‑reform push, while the Greens call for bold changes and the Coalition warns about higher tax burdens.
- Debate over effects has sharpened, with opinion writers warning of fewer rentals and higher rents based on the 1980s negative‑gearing episode, while some analysts argue the current discount is larger than needed and fuels inequality.