"As we approach the Federal Budget, speculation is swirling about changes to the Capital Gains Tax (CGT) discount and negative gearing. And just yesterday a senate committee handed down its report on the CGT discount after hearing evidence that it worsens inequality and encourages property investors to gamble on housing – a report completely devoid of recommendations that would diffuse the inequality bomb set off by John Howard when he slashed the tax rate for investment income.
As the inquiry unfolded, rumours about potential CGT changes in the next federal budget were already making headlines.
Some say the CGT discount could be changed from 50 percent to 33 percent, carefully grandfathered to protect property investors who want to cash in on the housing crisis they helped create. Allegra Spender launched a plan for CGT changes to fund income tax cuts that would do little to make up for degraded public services and unbearable living costs.
Once again, the community is presented with “bold ideas” that amount to little more than tinkering – ideas that would make little difference to most people, and where those of us in poverty are entirely forgotten."
https://thepoint.com.au/opinions/260318-its-time-to-scrap-tax-discounts-for-the-wealthy-and-stop-turbocharging-inequality
10 Comments
And “bold ideas” aren’t something that a Government like if I remember Yes, Minister correctly…
Remove CGTD and NG completely from existing properties and only apply it to new builds for a limited time
Want to make a real change to housing affordability? Remove or reduce the principal place of residence exemption from CGT. At the moment you can invest an unlimited amount into your principal place of residence and receive an unlimited amount of untaxed capital gain. You can then reinvest that into a more expensive principal place of residence and so on. It is this that is primarily driving the increase in house prices, not investors. Twenty years ago, I bought a house in Essendon for $237,500. I sold it after two years. The same house, in the same condition, last sold in 2024 for $1.6m. It’s not investors driving that in suburbs like Essendon. It’s owner occupiers, mostly without mortgages.
Why would they?
Those in charge are benefiting from it.
Look at how many MPs are landlords.
If you make under a certain your wrong get a tax break, if you make over a certain amount you get a service charge. Make a card, issue it. Make it available and then do the fucking thing.
10% isn’t the same for low earning people. 10% is the difference between food and paying your rent. Do you want food? Do you want a home for your family?
When you make money its nothing in comparison. When you make nothing its life saving.
Food, roof, electricity. That’s it. Allow certain things like food, housing and electricity. Just do the bare minimum here.
Edit: no. Fuck off. If they can’t live and work the 40 hours, your wrong. People work 40 hours plus and don’t have the money to pay for everything. It’s okay to be wrong.
The time for that was 20 years ago when little Johnny knew damn well what he was doing and Rudd got in.
Personally, I’d prefer for the market to quite literally crash entirely – even if I was an owner – because it’s long overdue. Sadly that’ll NEVER happen.
This my friends is why Gina wants Pauline. Your “disillusioned” vote is just going to make things worse.
It’s “been time” for about a decade and a half now.
End Corporate welfare/ Reintroduce a progressive taxation system. End all sales and consumption taxes.
Can we start by taxing our countries natural resources properly?