STATEMENT
Coalition stands firm against CGT changes
The Coalition Senators have issued a Dissenting Report opposing changes to the Capital Gains Tax discount, arguing that "Changin the Capital Gains Tax discount won't fix the housing crisis - and risks making it worse."
The statement criticizes Labor's housing record, claiming the Housing Australia Future Fund has "delivered only a handful of homes" despite $11.4 billion in funding. Coalition senators contend that Labor's 5% deposit schemes have inflated entry-level prices and increased debt exposure for young Australians.
The core argument centers on housing supply, not taxation. The release states: "You cannot tax your way out of a supply shortage." Australian dwelling construction has declined from approximately 220,000 units in 2018 to 170,000 last year, well below the OECD average.
The Coalition warns that weakening the CGT discount would "cut rental stocks, pushing up rents, and discouraging investment" while doing little for affordability. They argue the actual solution requires increasing housing supply rather than implementing additional tax policy changes.
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