Submission to Tax Amendment Bill
National Shelter welcomes the opportunity to provide this submission and strongly supports the proposed reforms to negative gearing and the Capital Gains Tax (CGT) discount.
Australia is facing a severe housing affordability crisis. Rents remain high due to multiple factors, including a chronic undersupply of new housing, while homelessness services are under increasing pressure. Too many households are unable to access safe, secure and affordable housing. Current tax settings, particularly the interaction of the CGT discount and negative gearing, have contributed to these outcomes by encouraging speculative investment in existing housing rather than supporting new supply or more productive investment.
