The Greens have backed the government’s planned changes to negative gearing and capital gains tax, but say Labor should go further in taxing large corporations.
Greens Senator Sarah Hanson-Young said the party supports long-standing efforts to reform property tax settings, but argued the changes do not go far enough in addressing what she described as generous treatment of wealthy investors and property developers.
“We have obviously campaigned for these changes for a long time, and we’re glad to see the government moving in that direction, but we are disappointed that the government seems to have let 95 percent of those making massive profits, those big wealthy property developers, still off the hook,” she told ABC Radio National.
She said criticism of the reforms was being driven by “vested interests,” including big business and sections of the media, and said the Greens were willing to work with Labor to improve the legislation.
“I’m concerned that this big campaign against making these changes fairer for everyday people is coming from the usual suspects, the big property developers, the right-wing media, the Murdoch press, whole lot of pressure coming on the government to not do this,” she said.
Hanson-Young also flagged the Greens would scrutinise the reforms through a parliamentary inquiry due to begin next week, saying the party was “well versed” in the issue after previously conducting its own inquiry.
“We want to make sure it actually delivers,” she said.
She also criticised the government’s broader budget approach, arguing it should raise more revenue from gas exports rather than cutting the National Disability Insurance Scheme (NDIS).
“It feels as though the government’s caved into the gas companies and is trying to make those living with disabilities and their families pay the price,” she said.
“We’re not happy about that, and we won’t be doing anything that facilitates that bill’s passage over the next two weeks.”
The capital gains tax changes would apply more broadly than housing, affecting some investors and business owners selling eligible assets acquired after the reforms take effect.
The reforms, announced in the May Budget, would restrict negative gearing to newly built investment properties and reduce the capital gains tax discount on some assets purchased after the changes take effect.
Treasurer Jim Chalmers said the changes were designed to improve housing affordability and help more Australians enter the housing market, saying they were “pro‑aspiration, pro‑worker, and pro‑investment.”
He said the reforms could allow an extra 75,000 Australians to buy homes.
“These changes punish aspiration,” Opposition Leader Angus Taylor said.
“We also don’t support Labor’s changes to negative gearing. Their own budget papers explicitly admit that the combined impact on these taxes will reduce housing supply,” he said.
Industry groups, including Australian Energy Producers, argue higher taxes on industries like gas would leave Australia more exposed to future energy shocks, increasing domestic prices and reducing investment certainty
