>Anthony Albanese’s cabinet is nearing a decision on plans to reform the capital gains tax, which would fulfil a long-held Labor ambition **but risk a heated political debate.**
Uh, no. Their massie majority in the lower house would pass this easily and they would have immediate support for intelligent legislation in the senate.
I assume that line instead refers to the massive debate wealthy Labor donours and corporate owned media would be having…
The more of that I article I read the more I realize Labor is not up to the task of tax reform. Every proposition they have to increase housing supply relies on trying to manipulate the market. Every one of those proposals will be subpar. I expect what ends up in the budget to very underwhelming.
Pottski on
Albo is so afraid to act even with a massive mandate.
He’s the ultimate status quo PM.
karma3000 on
Use the Lib’s brainless slogan against them ” if you tax something you get less off it”
“well we’re not changing the tax incentives on new build housing”
david1610 on
>. I hate the fact that every barbecue in Australia thinks you solve housing affordability by doing something about housing taxation and negative gearing, but that is what they think.
> “I don’t think tax is the main game.
> I do have a problem with the capital gains tax discount, but broadly I don’t think it has much of an effect on housing.”
This is unfortunately the problem, the government doesn’t actually want to solve the housing issue, because then home owners and investors would be angry, so they are tinkering with tax policy, which yes will help reduce investor demand, however will just transfer the problem to rents. You need policy that decreases prices for rents and house prices. This unfortunately is all the state governments and locals area, you need massive zoning reform, land release and infrastructure for new city centres or connection to existing. We know that the problem is land prices not building prices, no matter what you hear in the news, land prices have far exceeded building price inflation for decades now. Zoning changes and land release are the only things that fix this in existing cities
differencemade on
Haven’t they realised that all these tax breaks etc on homes just raises the floor of the market?
FHB pretty much eliminated all homes under 500k.
More_Law6245 on
All well and good for capital gains taxes reform but which genius didn’t think about who was going to build these new houses to actually get the benefit of the tax reform. Yet another half assed policy from the government in trying to solve the Australian housing crisis
Suspicious-Ant-872 on
They’re going to do it, but will hand some money back as income tax cuts to calm the farm.
Dubhs on
Not liking that grandfathering is coming across as a given.Â
We have a housing *crisis*. Investors will just hold and hope LNP gets in with a promise to repeal the legislation. Being ‘fair’ isn’t gonna win anyone any friends.Â
Phase out over the next 5 years, pits the investors that panic sell against the ones that don’t, makes it much harder for the LNP to come out with a coherent policy to repeal (but what about the investors that already sold), makes it more likely the changes stick.Â
SectorGood2258 on
They’re squirming and under pressure from the, very rich and influential, property lobby and rich folk. Write to your MP and tell them not to cave in to these vested interests.
RhesusFactor on
You’d need to defang Newscorp before the ALP will be brave enough to make any move.
splittingheirs on
Couldn’t they just undertake a large public works initiative to build more public housing? Which would take the pressure of the rental market (especially for the lower income) and thus cool profit driven rental property investments?
Consistent_Yak2268 on
If they set it at a higher rate for new properties but don’t grandfather exisiting laws, who’s to say they won’t take it from new houses in the future, once investors have already bought them?
If they’re considering this – I think they’re leaning towards grandfathering. Which they should – because who can trust a government that changes the rules.
12 Comments
>Anthony Albanese’s cabinet is nearing a decision on plans to reform the capital gains tax, which would fulfil a long-held Labor ambition **but risk a heated political debate.**
Uh, no. Their massie majority in the lower house would pass this easily and they would have immediate support for intelligent legislation in the senate.
I assume that line instead refers to the massive debate wealthy Labor donours and corporate owned media would be having…
The more of that I article I read the more I realize Labor is not up to the task of tax reform. Every proposition they have to increase housing supply relies on trying to manipulate the market. Every one of those proposals will be subpar. I expect what ends up in the budget to very underwhelming.
Albo is so afraid to act even with a massive mandate.
He’s the ultimate status quo PM.
Use the Lib’s brainless slogan against them ” if you tax something you get less off it”
“well we’re not changing the tax incentives on new build housing”
>. I hate the fact that every barbecue in Australia thinks you solve housing affordability by doing something about housing taxation and negative gearing, but that is what they think.
> “I don’t think tax is the main game.
> I do have a problem with the capital gains tax discount, but broadly I don’t think it has much of an effect on housing.”
This is unfortunately the problem, the government doesn’t actually want to solve the housing issue, because then home owners and investors would be angry, so they are tinkering with tax policy, which yes will help reduce investor demand, however will just transfer the problem to rents. You need policy that decreases prices for rents and house prices. This unfortunately is all the state governments and locals area, you need massive zoning reform, land release and infrastructure for new city centres or connection to existing. We know that the problem is land prices not building prices, no matter what you hear in the news, land prices have far exceeded building price inflation for decades now. Zoning changes and land release are the only things that fix this in existing cities
Haven’t they realised that all these tax breaks etc on homes just raises the floor of the market?
FHB pretty much eliminated all homes under 500k.
All well and good for capital gains taxes reform but which genius didn’t think about who was going to build these new houses to actually get the benefit of the tax reform. Yet another half assed policy from the government in trying to solve the Australian housing crisis
They’re going to do it, but will hand some money back as income tax cuts to calm the farm.
Not liking that grandfathering is coming across as a given.Â
We have a housing *crisis*. Investors will just hold and hope LNP gets in with a promise to repeal the legislation. Being ‘fair’ isn’t gonna win anyone any friends.Â
Phase out over the next 5 years, pits the investors that panic sell against the ones that don’t, makes it much harder for the LNP to come out with a coherent policy to repeal (but what about the investors that already sold), makes it more likely the changes stick.Â
They’re squirming and under pressure from the, very rich and influential, property lobby and rich folk. Write to your MP and tell them not to cave in to these vested interests.
You’d need to defang Newscorp before the ALP will be brave enough to make any move.
Couldn’t they just undertake a large public works initiative to build more public housing? Which would take the pressure of the rental market (especially for the lower income) and thus cool profit driven rental property investments?
If they set it at a higher rate for new properties but don’t grandfather exisiting laws, who’s to say they won’t take it from new houses in the future, once investors have already bought them?
If they’re considering this – I think they’re leaning towards grandfathering. Which they should – because who can trust a government that changes the rules.