ACTU boss Sally McManus calls for five-year plan to limit negative gearing, CGT concessions to one investment property
A controversial policy which has been a thorn in Labor’s side could be back on the cards, after one of Australia’s most powerful union bosses urged the party to “bite the bullet”.   :)


News.com.au
August 3, 2025

Union boss Sally McManus has urged Labor to “bite the bullet” and slash tax benefits for Australians with invest properties through a five-year plan which would only allow people to access the tax incentives on one home.

Speaking to the ABC, the Australian Council of Trade Unions (ACTU) secretary said the changes were needed to tackle intergenerational inequity and calm soaring house prices which have locked young people out of the market.

Under the ACTU’s proposal, which will be debated at the Jim Chalmers’ Economic Reform Roundtable in August, both negative gearing and capital gains tax concessions would be limited to one investment property.

Current conditions would be grandfathered for the next five years for existing homes “to allow people to adjust”.

The move would also annually add about $1.5bn to the budget, or $6bn over the forward estimates.

“One of the biggest issues in terms of living standards for younger people in Australia is the issue of housing affordability. It’s the number one issue. We need to address it,” Ms McManus said on Sunday.

ACTU secretary Sally McManus urged Labor to ‘bite the bullet’ and enact the changes.

“Young people should have the same aspirations as the generations before them, and at the moment, then don’t. It’s been wiped out by the fact that the housing prices have gone up twice the rate of wages over the last 25 years.”

She said the provisions would target the “small number of investors” who own “25 per cent of investment properties”.

Ms McManus quoted a study from the NSW Productivity Commission in 2024, which found the state was losing about 7000 people aged between 30 to 40 years old a year - something that could result in Sydney being a city with no grandchildren.


“That has been driving or fuelling the housing prices. I don’t think that we ever intended even for this to happen as a result of these tax measures but this is where we’re at,” she said.

“Unless we change it, working people can’t live where they work. They can’t live where they grew up.”

Asked whether Labor had the political will to enact the changes, she urged Labor to “bite bullet” and be “brave enough to do something about it”.

If not, they would be at risk of “abandoning” the younger generations,” she added.

“We’re going to go and argue it. We’re going to advocate for it. In the end, the Government will make their decisions based on what they think is the national interest. We would say that it is in the national interest,” she said.

Previously, Labor has unsuccessfully taken changes to negative gearing and capital gains concessions to the 2016 and 2019 federal elections under former opposition leader Bill Shorten, before Anthony Albanese ended the policies.

However the government has faced pressure from grassroots advocacy group Labor for Housing to reconsider the concessions.

WK, due to think it is a good idea to send a small business bankrupt by giving them a big tax bill in a year when they make little or no net profit after paying interest on their loans?

How many different threads do you think you have started on this topic?

Quote:

It’s been wiped out by the fact that the housing prices have gone up twice the rate of wages over the last 25 years.

The real reason is mass, uncontrolled immigration.
Millions of people have arrived here with nowhere to live.
I think by the end of this year alone we will have 600,000 more.
We have up to 12 people living in one bedroom flats and units -
the politicians have turned Australian cities into Calcutta slums.

Why aren't there calls to slash immigration?

Millionaires, tax breaks for property investors in unions’ sights   :)

The Age
August 3, 2025

Negative gearing would be restricted to a single property, millionaires and family trusts would pay at least 25 per cent of their income in tax, and building approvals would be accelerated on everything from housing to large energy projects, under a union proposal to improve living standards.

The Australian Council of Trade Unions today revealed its submission to the Albanese government’s three-day economic roundtable at which it will have two seats, outlining proposals that would raise up to $25 billion in revenue that could be pumped back into services such as the National Disability Insurance Scheme and healthcare.

ACTU secretary Sally McManus will outline a broad agenda of tax increases and regulation overhauls.


Just days after most of the business community rejected a proposal from the Productivity Commission to cut the company tax rate, while introducing a world-first cashflow tax, the ACTU has outlined an agenda unlikely to win corporate or government support.

But ACTU national secretary Sally McManus said the living standards of Australians, particularly younger generations priced out of an increasingly expensive housing market, had to be paramount in any discussion about productivity reform.


Productivity summit
Nine new ways to make us richer, safer and happier
She said wages growth had not kept up with productivity levels over the past two decades, accusing businesses of grabbing disproportionate levels of the improvements in efficiency that boosted profit levels, but leaving little for workers.

“One of the reasons that productivity has slowed in Australia is that companies have directed profits into share buybacks, into dividends to shareholders and into bonuses,” she told this masthead.

“Working people are very careful about wanting to engage in a discussion about productivity, given what’s happened to them.”

Under the ACTU’s proposals, negative gearing and the 50 per cent capital gains tax concession would be restricted to a single home. Existing investors would be grandfathered from the changes for five years.



Their submission backs changes to superannuation performance tests so they can invest in the property sector, and recommends that planning rules be altered to accelerate the construction of new homes.

This week, figures from property analytics company Cotality showed median property values lifted another 0.6 per cent nationally, having increased every month since the Reserve Bank started cutting official interest rates in February.

The ACTU is proposing changes to negative gearing and capital gains tax that it believes would help younger Australians into the property market.
The ACTU is proposing changes to negative gearing and capital gains tax that it believes would help younger Australians into the property market.

The median house value in Sydney has now surpassed $1.5 million, it is above $1 million in Brisbane, and Canberra is likely to reach that level in the coming months.

McManus said levelling the playing field between property investors and first-time buyers had to be on the government’s agenda, while the ACTU also backed reforms to regulations around planning and construction to get more properties built.

Related Article
The proposed cashflow tax would target multinationals that pay little tax in Australia.
Productivity summit
Big cut in company tax would boost economy – but it comes with a sting
“This is the most important issue when it comes to addressing living standards, given what we have now is particularly unfair for younger generations,” she told this masthead.

“People need to be able to live near where they work.”

Figures released last month by the Australian Taxation Office revealed that 91 people in the 2022-23 financial year had income of more than $1 million but paid no tax.

The ACTU wants changes to the nation’s tax laws that would require people earning more than $1 million to face at least a 25 per cent tax impost.

While many financial trusts pay at least 25 per cent in tax, the union movement wants that set as a minimum level for all trusts.

The nation’s oil and gas companies would face a 25 per cent “energy levy” on exports of LNG, while a $20 million cap would be set for businesses that claim fuel tax credits.


Income tax
Income tax out-paced wages as rates and inflation started to bite
In total, the ACTU’s proposals would raise about $25 billion in additional revenue. Treasurer Jim Chalmers has told organisations he wants ideas that are either budget-neutral or improve the budget bottom line.

McManus said apart from channelling that revenue into improved services, the union movement wanted improvements to regulations on the construction of major projects, particularly those instrumental to the net-zero transition. “We need to get yes or no on projects quicker,” she said.

McManus is one of two ACTU representatives to be part of the roundtable that will be held between August 19 and 21.

whiteknight wrote on Aug 3^rd, 2025 at 2:40pm:

Income tax out-paced wages as rates and inflation started to bite

Seeing as income tax is a percentage of wages, how is that even possible?

i think they should look at limiting it to one or two properties.

lee wrote on Aug 3^rd, 2025 at 2:50pm:

whiteknight wrote on Aug 3rd, 2025 at 2:40pm: Income tax out-paced wages as rates and inflation started to bite Seeing as income tax is a percentage of wages, how is that even possible?

Bracket creep I expect.


Quote:

i think they should look at limiting it to one or two properties.

There is an infinite variety of investments that are covered by what is collectively called negative gearing. From small business loans to loans to buy shares to loans for investment properties. At the moment, they are all treated the same under tax, with the exception of the family home, which gets a CG exemption but not negative gearing.

Union proposals tend to ignore this reality. They are essentially a blank page with some very simplified mantras in the title.

you are the only one pretending this is about loans for small business or shares ::)

Quote:

Under the ACTU’s proposal, which will be debated at the Jim Chalmers’ Economic Reform Roundtable in August, both negative gearing and capital gains tax concessions would be limited to one investment property.

Does that sound like it would exclude negative gearing for shares?

freediver wrote on Aug 3^rd, 2025 at 3:18pm:

Quote: Under the ACTU’s proposal, which will be debated at the Jim Chalmers’ Economic Reform Roundtable in August, both negative gearing and capital gains tax concessions would be limited to one investment property. Does that sound like it would exclude negative gearing for shares?

No, it sounds to me like they're discussing NG used for property. Why? Do you think limiting NG used to buy shares would make it easier for first home buyers?

John Smith wrote on Aug 3^rd, 2025 at 3:32pm:

freediver wrote on Aug 3rd, 2025 at 3:18pm: Quote: Under the ACTU’s proposal, which will be debated at the Jim Chalmers’ Economic Reform Roundtable in August, both negative gearing and capital gains tax concessions would be limited to one investment property. Does that sound like it would exclude negative gearing for shares? No, it sounds to me like they're discussing NG used for property. Why? Do you think limiting NG used to buy shares would make it easier for first home buyers?

Yes, that is also a reasonable guess. Do you think the unions knows what they are proposing?

Do you think it makes sense to investment property different under tax law to every other type of investment?

freediver wrote on Aug 3^rd, 2025 at 3:41pm:

John Smith wrote on Aug 3rd, 2025 at 3:32pm: freediver wrote on Aug 3rd, 2025 at 3:18pm: Quote: Under the ACTU’s proposal, which will be debated at the Jim Chalmers’ Economic Reform Roundtable in August, both negative gearing and capital gains tax concessions would be limited to one investment property. Does that sound like it would exclude negative gearing for shares? No, it sounds to me like they're discussing NG used for property. Why? Do you think limiting NG used to buy shares would make it easier for first home buyers? Yes, that is also a reasonable guess. Do you think the unions knows what they are proposing? Do you think it makes sense to investment property different under tax law to every other type of investment?

i think you should stop making things up. ::)

I am not making it up. I am taking what they say at face value. I conceded to you that this is a dangerous thing to do with the unions, and you may be right that they did not mean what they say. But you would only be guessing. As would WK. As would the unions themselves, I expect.

whiteknight wrote on Aug 3^rd, 2025 at 11:01am:

News.com.au August 3, 2025 Speaking to the ABC, the Australian Council of Trade Unions (ACTU) secretary said the changes were needed to tackle intergenerational inequity and calm soaring house prices which have locked young people out of the market.

Median house price in Sydney is over $1.5 million.

A couple would need combined income over $300K a year to qualify for a loan.
Repayments would be just over $9K a month for 30 years.

Changes to negative gearing can't fix this problem all it will do is reduce the amount of rental properties resulting in rent increases.

freediver wrote on Aug 3^rd, 2025 at 3:53pm:

I am not making it up

yes you are

Baronvonrort wrote on Aug 3^rd, 2025 at 4:07pm:

whiteknight wrote on Aug 3rd, 2025 at 11:01am: News.com.au August 3, 2025 Speaking to the ABC, the Australian Council of Trade Unions (ACTU) secretary said the changes were needed to tackle intergenerational inequity and calm soaring house prices which have locked young people out of the market. Median house price in Sydney is over $1.5 million. A couple would need combined income over $300K a year to qualify for a loan. Repayments would be just over $9K a month for 30 years. Changes to negative gearing can't fix this problem all it will do is reduce the amount of rental properties resulting in rent increases.

Easy fix, don't live in Sydney unless you can afford it.

Leroy wrote on Aug 3^rd, 2025 at 5:20pm:

Easy fix, don't live in Sydney unless you can afford it

and where do you suggest all the nurses, teachers, tradesmen, check out chicks etc that service sydney live? :D :D

Greens would support reforms to CGT, negative gearing, and a fossil fuel export levy in the senate   :)
2025-08-04
greens.org.au
The Australian Greens welcome the ACTU’s calls to urgently address the unfair tax breaks that benefit property investors, as well as their call for a 25 percent levy on coal and gas exports at Treasurer Jim Chalmers’ Economic Roundtable.

The Greens’ have taken policies for changes to the CGT discount and negative gearing to successive elections. In 2025 the Greens’ policy to wind back these generous tax concessions to property investors which supercharge house prices was announced at the National Press Club in April.

Under the Greens election policy, both negative gearing and the CGT discount would be grandfathered to one existing investment property and removed on all second and subsequent properties, ensuring “mum and dad” investors with a single investment property are not negatively impacted, while disincentivising future speculative and unproductive investment in the property market.

The Greens also welcome the ACTU’s demand for a 25 percent tax on coal and gas export revenue. As former Treasury head Ken Henry has argued, fossil fuel exporters reap vast profits while paying minimal tax here and sending those profits offshore.

Lines attributable to Greens Leader and spokesperson on Climate and Energy, Larissa Waters:

“People and nature should be the beneficiaries of the economic roundtable, and the mega profits of big companies should be in the government’s sights.

“We can’t fix the housing crisis unless we scrap massive tax discounts that give property investors a leg up while locking first homebuyers out of the market.

“It’s absolutely imperative that changes to negative gearing and CGT concessions are on the Economic Roundtable agenda. Young Australians shouldn’t be locked out of home ownership while a small cohort of investors get an unfair tax advantage.

“The cost of climate change shouldn’t be left to ordinary Australians. Fossil fuel exporters are mainly foreign companies that pay little to no tax and send their profits offshore along with our gas or coal.

“It’s time these big polluters paid their fair share, including for the damage they are causing to ordinary Australians whose cost of living and livelihoods are being exacerbated by climate change.

“A 25 percent levy on fossil fuel exporters should be on the summit and the government’s agenda.

“Nurses, teachers and community workers already pay more tax than oil and gas companies. That simply isn’t fair, especially when those industries’ emissions are driving more extreme weather events that we all suffer through.

“Australia urgently needs comprehensive economic reform that tackles both the housing crisis and the climate crisis.

“The Greens would be happy to see reforms in all of these areas come to the senate and to work with Labor to pass them.”

Lines attributable to Senator Barbara Pocock, Greens housing spokesperson:

“If the Government genuinely wants to fix the housing crisis, scrapping tax breaks for wealthy property investors - such as the capital gains tax discount and negative gearing - is an essential and long overdue reform.

“Let’s be clear - this is a tax break for wealthy property investors, a tax break which comes at a cost to first home buyers and owner occupiers. This is also a tax break that increases levels of homelessness, which have increased by 10 percent under this government since it was elected in 2022.

“Massive tax breaks for wealthy property investors are cooking our housing system. Instead of everyone having a roof over their head, houses have become an investment asset class - which fuels intergenerational inequality.

“Instead of funding tax breaks for rich property investors, this government could be redirecting funds to building more public and affordable housing.

“Unless the Government makes the necessary reforms to the tax concessions for property investors, we’ll continue to see house prices rise and rents spiral. The Greens stand ready to work with Labor to action this urgent reform."

Leroy wrote on Aug 3^rd, 2025 at 5:20pm:

Baronvonrort wrote on Aug 3rd, 2025 at 4:07pm: whiteknight wrote on Aug 3rd, 2025 at 11:01am: News.com.au August 3, 2025 Speaking to the ABC, the Australian Council of Trade Unions (ACTU) secretary said the changes were needed to tackle intergenerational inequity and calm soaring house prices which have locked young people out of the market. Median house price in Sydney is over $1.5 million. A couple would need combined income over $300K a year to qualify for a loan. Repayments would be just over $9K a month for 30 years. Changes to negative gearing can't fix this problem all it will do is reduce the amount of rental properties resulting in rent increases. Easy fix, don't live in Sydney unless you can afford it.

Ahhhh, but who nurses, delivers and  packs the shelves at the supermarket?

Once your core workers can’t afford to live in Sydney who does the job?

Oh, that’s why immigration is at record levels and Australian living standards are falling so rapidly.

Who The Falk would permit endless tax concessions to a 'business' that never realises a profit that is taxable as income on paper..... and never realises one cent as income to the person or whatever who 'owns' it and benefits from it daily, but without this ever being considered income.......?

It's a rip-off - pure and simple.

You SHOULD apply that to virtually every 'business venture' in  this country at this time... some of them amassing BILLIONS to Offshore Venturers ... while Australia goes down the gurgler.

WHY are we promoting unearned profits for those who do nothing for this country, and give them tax concessions while they do it??

Daves2017 wrote on Aug 4^th, 2025 at 11:54pm:

Ahhhh, but who nurses, delivers and  packs the shelves at the supermarket? Once your core workers can’t afford to live in Sydney who does the job? Oh, that’s why immigration is at record levels and Australian living standards are falling so rapidly.

Up to 12 people are living in one bedroom flats, apartments and units.

Albo is turning our major cities into new Calcuttas -
overcrowded slums and ghettos.

John Smith wrote on Aug 3^rd, 2025 at 5:33pm:

Leroy wrote on Aug 3rd, 2025 at 5:20pm: Easy fix, don't live in Sydney unless you can afford it and where do you suggest all the nurses, teachers, tradesmen, check out chicks etc that service sydney live? :D :D

This is not a communist regime John. Except perhaps for education, you cannot force people to work for a low paying job in inner city Sydney. For everything else, employers will just have to pay more if that is what it costs. We don't even need to suggest it to them. And even the public schools have to compete against the private ones for employees.


Quote:

The Australian Greens welcome the ACTU’s calls to urgently address the unfair tax breaks that benefit property investors

More lies and spin from the unions. But thanks for not starting yet another new thread WK.

The same tax rules apply whether you are investing in property, shares, your own business etc.

Bobby. wrote on Aug 5^th, 2025 at 8:27am:

Daves2017 wrote on Aug 4th, 2025 at 11:54pm: Ahhhh, but who nurses, delivers and  packs the shelves at the supermarket? Once your core workers can’t afford to live in Sydney who does the job? Oh, that’s why immigration is at record levels and Australian living standards are falling so rapidly. Up to 12 people are living in one bedroom flats, apartments and units. Albo is turning our major cities into new Calcuttas - overcrowded slums and ghettos.

I don't know why you have 12 people living in one flat, you can buy a unit in Sydney for as little as $375,000 right in the middle of Sydney.

link

Here is a map of hundreds of properties under $600,000

link

If you want a big house with pool and space then yes you will pay over a million.

Seems those links don't work, all you have to do is go to realeastate.com select maps and in the filters put the maximum price of $600,000 and this will show hundreds of properties available in Sydney,

FD said I lied when I said feral cats breed so, yeah, I think he is making it up too.

freediver wrote on Aug 5^th, 2025 at 8:41am:

This is not a communist regime John

No one said it was


freediver wrote on Aug 5^th, 2025 at 8:41am:

Except perhaps for education, you cannot force people to work for a low paying job in inner city Sydney.

No one suggested you should. You really should learn to read.

My question was quite simple FD, if, as you Leroy suggested, don't live in Sydney if you cannot afford it, then where do the check out chicks, teachers, nurses etc who service Sydney live?

Have you an actual answer or are you just going to pretend I said something you dreamed up again?

Quote:

My question was quite simple FD, if, as you Leroy suggested, don't live in Sydney if you cannot afford it, then where do the check out chicks, teachers, nurses etc who service Sydney live?

If they are needed, they will be able to afford it, because they will get paid whatever it takes to get them to turn up to work. Maybe the checkout chicks aren't really needed. They have already been replaced by robots. With the possible exception of teachers, you cannot force them to take a job they don't want. We don't live in a communist regime John. You might not be explicitly stating that we are, but your question pre-supposes and ignorance of capitalism.

This is where minimum wages get a bit silly. People who are unemployable on minimum wages in a place where it is cheap to live may still be employable on minimum wages in a place where no-one else wants to work.

But at the end of the day, you don't have to worry. Sydney is Sydney because so many people want to live there.

Leroy wrote on Aug 5^th, 2025 at 8:54am:

Bobby. wrote on Aug 5th, 2025 at 8:27am: Daves2017 wrote on Aug 4th, 2025 at 11:54pm: Ahhhh, but who nurses, delivers and  packs the shelves at the supermarket? Once your core workers can’t afford to live in Sydney who does the job? Oh, that’s why immigration is at record levels and Australian living standards are falling so rapidly. Up to 12 people are living in one bedroom flats, apartments and units. Albo is turning our major cities into new Calcuttas - overcrowded slums and ghettos. I don't know why you have 12 people living in one flat, you can buy a unit in Sydney for as little as $375,000 right in the middle of Sydney. link Here is a map of hundreds of properties under $600,000 link If you want a big house with pool and space then yes you will pay over a million. Seems those links don't work, all you have to do is go to realeastate.com select maps and in the filters put the maximum price of $600,000 and this will show hundreds of properties available in Sydney,

There are millions of people under the age of 40 who just don't have a deposit
for even the cheapest housing.
There are many who don't even have a job.
Many are students with no money.
There are also families that spend most of their income on rent and are stuck in a rent rut forever.
How could you save for a home if you are paying rent in Sydney?

What is Albo's answer? -
bring in millions of immigrants and make the housing situation even worse.   ::)

They're generous tax concessions and I will admit it having investment property .. long as grandfather it so it doesn't affect me  ;D

freediver wrote on Aug 6^th, 2025 at 8:58am:

If they are needed, they will be able to afford it,

that must explain the increase in working class living in their cars or homeless :D :D :D

https://www.msn.com/en-au/news/other/alarm-over-surge-in-aus-working-poor/ar-AA1JFZ69?ocid=BingNewsSerp


you really should make more of an effort to get out of your cave every now and then

John Smith wrote on Aug 6^th, 2025 at 7:36pm:

freediver wrote on Aug 6th, 2025 at 8:58am: If they are needed, they will be able to afford it, that must explain the increase in working class living in their cars or homeless :D :D :D https://www.msn.com/en-au/news/other/alarm-over-surge-in-aus-working-poor/ar-AA1JFZ69?ocid=BingNewsSerp you really should make more of an effort to get out of your cave every now and then

No it doesn't John. No-one is forcing them to live in Australia's most expensive city.

freediver wrote on Aug 6^th, 2025 at 8:08pm:

No-one is forcing them to live in Australia's most expensive city

so you naively keep claiming

John Smith wrote on Aug 6^th, 2025 at 8:37pm:

freediver wrote on Aug 6th, 2025 at 8:08pm: No-one is forcing them to live in Australia's most expensive city so you naively keep claiming

Who do you think it is being forced to live in our most expensive city John?

freediver wrote on Aug 6^th, 2025 at 8:42pm:

John Smith wrote on Aug 6th, 2025 at 8:37pm: freediver wrote on Aug 6th, 2025 at 8:08pm: No-one is forcing them to live in Australia's most expensive city so you naively keep claiming Who do you think it is being forced to live in our most expensive city John?

jim.

freediver wrote on Aug 6^th, 2025 at 8:58am:

Quote: My question was quite simple FD, if, as you Leroy suggested, don't live in Sydney if you cannot afford it, then where do the check out chicks, teachers, nurses etc who service Sydney live? If they are needed, they will be able to afford it, because they will get paid whatever it takes to get them to turn up to work. Maybe the checkout chicks aren't really needed. They have already been replaced by robots. With the possible exception of teachers, you cannot force them to take a job they don't want. We don't live in a communist regime John. You might not be explicitly stating that we are, but your question pre-supposes and ignorance of capitalism. This is where minimum wages get a bit silly. People who are unemployable on minimum wages in a place where it is cheap to live may still be employable on minimum wages in a place where no-one else wants to work. But at the end of the day, you don't have to worry. Sydney is Sydney because so many people want to live there.

.. and then inflation caused by the endless contest between a living wage and costs of living will rise across the entire nation .... and so those with even less will suffer the most... and those in country towns with far less employment and infrastructure that provides jobs and incomes will pay the same prices and more for goods and services.....

Split up the huge and unwieldy States, I tellz yez..

Welfare groups join union push for housing tax shake-up ahead of productivity talks 


ABC News
7 August 2025

ACOSS chief executive Cassandra Goldie says there should be some tax reward for property investment but "nowhere near as generous" as it is now. 

In short:
Australia's peak welfare body wants to see negative gearing phased out and capital gains tax concessions reduced over the next five years as a way of boosting economic activity.

The Australian Council of Social Services wants to see the revenue generated by these changes reinvested into boosting social housing.

What's next?
Business leaders and community groups are putting forward suggestions to boost Australia's economy to be discussed at the upcoming economic round table, held at Parliament House from August 19 to 21.


The Australian Council of Social Services has thrown its weight behind calls to wind back property investor tax breaks, setting up a potential housing flashpoint ahead of the government's economic round table next fortnight.

It comes days after the Australian Council of Trade Unions urged Labor to tackle negative gearing and capital gains tax reform, but Australia's peak welfare body is also pressing for the billions in extra revenue from the tax changes invested in social housing.

In its submission, ACOSS said the 50 per cent capital gains tax discount is "certainly fuelling the housing crisis" and should be halved over five years. Negative gearing, it said, should be phased out entirely over the same period for existing investments.

Union boss calls for one property limit on negative gearing tax breaks

ACTU Secretary Sally McManus says it's time to "bite the bullet" and reform negative gearing and the capital gains tax to make it easier for young people to enter the housing market.

"We are very clear we would phase out the very generous 50 per cent tax discount and get it down to 25 per cent so there'd be some tax reward for property investment but nowhere near as generous," ACOSS chief executive Cassandra Goldie told the ABC.

"If you've got capital, and you're thinking, where can I park it to really grow my wealth, you put it into property."

ACTU secretary Sally McManus made a similar case on ABC's Insiders at the weekend, saying it was time to "bite the bullet" on property tax reform.

While the two peak bodies are not coordinating their campaigns, their aligned positions revive a politically fraught debate Labor abandoned after losing the 2016 and 2019 elections with policies on negative gearing and capital gains tax.

ACOSS wants revenue from the tax changes invested in social housing, arguing Australia has "among the highest home prices in the world" and rents that are "all too often unaffordable" with many tenants lacking security of tenure.

The share of social housing has "fallen by one third from 6 per cent to 4 per cent over the last 30 years" — a trend it wants reversed to "at least its historic level of 6 per cent of dwellings by 2035, and to 10 per cent by 2045", with First Nations housing "a national priority".


Business groups and some senior government figures privately argue welfare groups and the unions' proposed tax changes will do little to boost new housing supply.

Government paring back expectations
Nearly half of all Australian landlords had negatively geared properties in 2023, with the highest earners claiming tens of billions in tax concessions and loopholes.

But business groups and some senior government figures privately argue welfare groups and the unions' proposed tax changes will do little to boost new housing supply, warning that investor demand underpins construction and removing incentives risks stalling projects.

Will Labor's conversation about everything produce anything much?

Inside Labor, two camps have formed around the government's productivity round table: those who doubt Anthony Albanese has the inclination to tackle contentious new policy and those who see a genuine opportunity to achieve something of substance.

ACOSS's submission also urges faster action on climate change, calling for new building standards to achieve zero-carbon, climate-resilient homes and tougher rental rules to improve the energy performance of properties. The group said these measures would cut bills for low-income tenants while protecting them from extreme heat and weather.

In recent weeks, the government has pared back expectations for the summit amid concern among the business community about a union-led ambush and fears the event could be used to justify tax crackdowns on employers and property investors.

Despite the government billing the meeting as a contest of ideas, the ABC understands there will be no joint communique at its conclusion. Instead, Treasurer Jim Chalmers will deliver a wrap-up and nominate a handful of specific changes for implementation.

Ahead of this year's election, Prime Minister Anthony Albanese dismissed speculation Labor was planning to scale back the housing tax breaks.

John Smith wrote on Aug 6^th, 2025 at 8:54pm:

freediver wrote on Aug 6th, 2025 at 8:42pm: John Smith wrote on Aug 6th, 2025 at 8:37pm: freediver wrote on Aug 6th, 2025 at 8:08pm: No-one is forcing them to live in Australia's most expensive city so you naively keep claiming Who do you think it is being forced to live in our most expensive city John? jim.

And who is forcing him?

freediver wrote on Aug 7^th, 2025 at 6:52am:

John Smith wrote on Aug 6th, 2025 at 8:54pm: freediver wrote on Aug 6th, 2025 at 8:42pm: John Smith wrote on Aug 6th, 2025 at 8:37pm: freediver wrote on Aug 6th, 2025 at 8:08pm: No-one is forcing them to live in Australia's most expensive city so you naively keep claiming Who do you think it is being forced to live in our most expensive city John? jim. And who is forcing him?

his circumstances

John Smith wrote on Aug 7^th, 2025 at 10:43pm:

freediver wrote on Aug 7th, 2025 at 6:52am: John Smith wrote on Aug 6th, 2025 at 8:54pm: freediver wrote on Aug 6th, 2025 at 8:42pm: John Smith wrote on Aug 6th, 2025 at 8:37pm: freediver wrote on Aug 6th, 2025 at 8:08pm: No-one is forcing them to live in Australia's most expensive city so you naively keep claiming Who do you think it is being forced to live in our most expensive city John? jim. And who is forcing him? his circumstances

Can you give an example John, of why someone would be forced to live in the one place they cannot actually afford to live?

Baronvonrort wrote on Aug 3^rd, 2025 at 4:07pm:

whiteknight wrote on Aug 3rd, 2025 at 11:01am: News.com.au August 3, 2025 Speaking to the ABC, the Australian Council of Trade Unions (ACTU) secretary said the changes were needed to tackle intergenerational inequity and calm soaring house prices which have locked young people out of the market. Median house price in Sydney is over $1.5 million. A couple would need combined income over $300K a year to qualify for a loan. Repayments would be just over $9K a month for 30 years. Changes to negative gearing can't fix this problem all it will do is reduce the amount of rental properties resulting in rent increases.

How has Australia  become so completely  unaffordable?

Daves2017 wrote on Aug 8^th, 2025 at 10:47am:

Baronvonrort wrote on Aug 3rd, 2025 at 4:07pm: whiteknight wrote on Aug 3rd, 2025 at 11:01am: News.com.au August 3, 2025 Speaking to the ABC, the Australian Council of Trade Unions (ACTU) secretary said the changes were needed to tackle intergenerational inequity and calm soaring house prices which have locked young people out of the market. Median house price in Sydney is over $1.5 million. A couple would need combined income over $300K a year to qualify for a loan. Repayments would be just over $9K a month for 30 years. Changes to negative gearing can't fix this problem all it will do is reduce the amount of rental properties resulting in rent increases. How has Australia  become so completely  unaffordable?

No not really, just like now many people 50 years ago could not afford to buy a median priced house in Sydney.

The good news is most people that do not live in Sydney can afford to buy a house.

Leroy wrote on Aug 8^th, 2025 at 11:23am:

No not really, just like now many people 50 years ago could not afford to buy a median priced house in Sydney.

huge difference

50 years ago the average house price in Sydney was 4.5 times the average salary
today it's 12 times the average salary

End of housing crisis is possible, only obstacle is Labor   :(
2025-08-07

The Australian Greens welcome ACOSS’s calls to urgently address the unfair tax breaks that benefit property investors, as well as their call for redirecting funds to building more social housing."

Momentum is growing - ACOSS joins a chorus of stakeholders, including the ACTU and banks, calling on the government to wind back negative gearing and the capital gains tax discount ahead of the Government’s Economic Reform Roundtable."

Under the Greens 2025 election policy, both negative gearing and the CGT discount would be grandfathered to one existing investment property and removed on all second and subsequent properties, ensuring “mum and dad” investors with a single investment property are not negatively impacted, while disincentivising future speculative and unproductive investment in the property market."

Lines attributable to Greens spokesperson for housing Senator Barbara Pocock:

“Every day these tax handouts keep flowing to wealthy property investors, the housing crisis gets worse. They’re cooking our housing system and fuelling intergenerational inequality. Ending the housing crisis is possible, but it’s up to Labor."

“Momentum is growing - we’ve seen calls from across the sectors - unions, banks, economists, welfare groups - all urging the government to take action. It’s absolutely imperative that changes to negative gearing and CGT concessions are on the Economic Roundtable agenda. Winding back the tax discounts for wealthy property investors is the obvious first step in fixing our housing crisis."

“Labor has a choice - it can help fix this housing crisis by reforming the tax discounts for wealthy property investors or it can choose to continue with a system that locks out first home buyers and increases rents. It could choose to redirect funds to build more public and community housing.”

“Let’s be clear - these are tax breaks for wealthy property investors, which come at a cost to first home buyers and owner-occupiers. These are tax breaks that increase levels of homelessness, which advocacy groups have said is the worst in living memory - increasing by 10 percent under this Government since it was elected in 2022."

“Unless the Government makes the necessary reforms to the tax concessions for property investors, we’ll continue to see house prices rise and rents spiral. The Greens stand ready to work with Labor to action this urgent reform."

Lines attributable to Greens Economic Justice Spokesperson Senator Nick McKim:

“Negative gearing and the CGT discount is a gift to wealthy investors that’s helped turn housing from a human right into a speculative asset.”

“They are some of the most destructive tax concessions in the country. They drive up prices, fuel inequality, and help to shut an entire generation out of home ownership.”

“Labor should listen to what the housing advocates, equality stakeholders and Greens have been saying for years, and bring reform to these unfair tax handouts for property investors into the parliament.”

John Smith wrote on Aug 8^th, 2025 at 1:15pm:

Leroy wrote on Aug 8th, 2025 at 11:23am: No not really, just like now many people 50 years ago could not afford to buy a median priced house in Sydney. huge difference 50 years ago the average house price in Sydney was 4.5 times the average salary today it's 12 times the average salary

What was the average size house 50 years ago and what was the average wage 50 years ago compared to now.

50 years ago you painted your house yourself and made curtains, you didn't have an ensuite bathroom on your main bedroom and you did not have a double garage with remote roller door. No alfresco dining area, no insulation, compare apples to apples.

lots of people still paint their own houses dumbarse ::)

John Smith wrote on Aug 9^th, 2025 at 12:07pm:

lots of people still paint their own houses dumbarse ::)

If you think that house prices are going to fall or stay stable because they remove tax advantages for investors you should be a politician.

Remove investors and you will be reducing supply and we all know when supply falls demand increases and when demand increases you believe that prices will fall. OK

Leroy wrote on Aug 9^th, 2025 at 12:13pm:

John Smith wrote on Aug 9th, 2025 at 12:07pm: lots of people still paint their own houses dumbarse ::) If you think that house prices are going to fall or stay stable because they remove tax advantages for investors you should be a politician. Remove investors and you will be reducing supply and we all know when supply falls demand increases and when demand increases you believe that prices will fall. OK

:D :D :D

you know there is a shortage of about 200 000 homes as off today, right?

John Smith wrote on Aug 9^th, 2025 at 12:07pm:

lots of people still paint their own houses dumbarse ::)

Or they hire unskilled labor and give them a tin of paint and a paint brush.   :-[

You STILL painting houses then Booby?

John Smith wrote on Aug 9^th, 2025 at 4:19pm:

Leroy wrote on Aug 9th, 2025 at 12:13pm: John Smith wrote on Aug 9th, 2025 at 12:07pm: lots of people still paint their own houses dumbarse ::) If you think that house prices are going to fall or stay stable because they remove tax advantages for investors you should be a politician. Remove investors and you will be reducing supply and we all know when supply falls demand increases and when demand increases you believe that prices will fall. OK :D :D :D you know there is a shortage of about 200 000 homes as off today, right?

And your solution is to take out the investors that build homes,

Jovial Monk wrote on Aug 9^th, 2025 at 5:14pm:

You STILL painting houses then Booby?

Got a little crush have we Monk.

Leroy wrote on Aug 9^th, 2025 at 5:18pm:

Jovial Monk wrote on Aug 9th, 2025 at 5:14pm: You STILL painting houses then Booby? Got a little crush have we Monk.

Monk spoke about male appendages today.   :-[
https://www.ozpolitic.com/forum/YaBB.pl?num=1703501835/165#169

Bobby. wrote on Aug 9^th, 2025 at 4:38pm:

[quote author=John_Smith link=1754182863/43#43 date=1754705241]lots of people still paint their own houses dumbarse ::)

Or they hire unskilled labor and give them a tin of paint and a paint brush.   :-[/quote]


stop making every thread about you goober ::)

Leroy wrote on Aug 9^th, 2025 at 5:17pm:

John Smith wrote on Aug 9th, 2025 at 4:19pm: Leroy wrote on Aug 9th, 2025 at 12:13pm: John Smith wrote on Aug 9th, 2025 at 12:07pm: lots of people still paint their own houses dumbarse ::) If you think that house prices are going to fall or stay stable because they remove tax advantages for investors you should be a politician. Remove investors and you will be reducing supply and we all know when supply falls demand increases and when demand increases you believe that prices will fall. OK :D :D :D you know there is a shortage of about 200 000 homes as off today, right? And your solution is to take out the investors that build homes,

most new homes aren't built by investors. New estates tend to be in the outer suburbs. Investors prefer properties closer to the ammenties, so they tend to buy existing houses ... easier to lease that way
Another factor is time. Build new, you spend your money then wait a year or more before you get a tenant. Buy existing, and you can rent it out the next day

John Smith wrote on Aug 10^th, 2025 at 9:01am:

Leroy wrote on Aug 9th, 2025 at 5:17pm: John Smith wrote on Aug 9th, 2025 at 4:19pm: Leroy wrote on Aug 9th, 2025 at 12:13pm: John Smith wrote on Aug 9th, 2025 at 12:07pm: lots of people still paint their own houses dumbarse ::) If you think that house prices are going to fall or stay stable because they remove tax advantages for investors you should be a politician. Remove investors and you will be reducing supply and we all know when supply falls demand increases and when demand increases you believe that prices will fall. OK :D :D :D you know there is a shortage of about 200 000 homes as off today, right? And your solution is to take out the investors that build homes, most new homes aren't built by investors. New estates tend to be in the outer suburbs. Investors prefer properties closer to the ammenties, so they tend to buy existing houses ... easier to lease that way Another factor is time. Build new, you spend your money then wait a year or more before you get a tenant. Buy existing, and you can rent it out the next day

How Smart Investors Make BIG Money with New Homes


https://www.youtube.com/watch?v=OLQ6hOQ-yUs

Leroy wrote on Aug 10^th, 2025 at 9:18am:

How Smart Investors Make BIG Money with New Homes

I didn't say that investors don't buy new or that they can't make money, I said most prefer to buy existing to buying new. Only 12 percent of total property sales are for new houses and less than half of those are for new. Most of those being units.

So true, smith - that's why it's called 'house flipping' ....

The 'policy' of 'encouraging investment' has failed to produce the extra housing - so an entirely different approach needs to be taken.

What are your suggestions given the inherent weakness of income opportunities for most in regional areas?  Short of changing our States as I've suggested and starting again?  Can we keep flooding people into regional areas where the work is hard to find?  How are those to be developed into economically viable regions, especially when the insane cost of homing now has spread to the regions and houses there are way beyond what most people can ever afford.

By all means - get rid of negative gearing that is going to a 'venture' that never realises profit (and it's not the only such venture) - and find a new way...

HOW is it to be done?  Government housing - well - look at the satellites around Campbelltown...

To achieve anything - especially under the madness of mass immigration - means we need a reliable and solid economic underpinning - and that is nowhere in sight .. in fact, the country is already in ruins.

freediver wrote on Aug 8^th, 2025 at 7:13am:

John Smith wrote on Aug 7th, 2025 at 10:43pm: freediver wrote on Aug 7th, 2025 at 6:52am: John Smith wrote on Aug 6th, 2025 at 8:54pm: freediver wrote on Aug 6th, 2025 at 8:42pm: John Smith wrote on Aug 6th, 2025 at 8:37pm: freediver wrote on Aug 6th, 2025 at 8:08pm: No-one is forcing them to live in Australia's most expensive city so you naively keep claiming Who do you think it is being forced to live in our most expensive city John? jim. And who is forcing him? his circumstances Can you give an example John, of why someone would be forced to live in the one place they cannot actually afford to live?

John would you like to share your insights into Sydney's housing market with us?