Shadow Treasurer Chris Bowen today announced that 1 January 2020 would be the start date for their negative gearing and capital gains tax increases if the ALP were to win the Federal election.
The Property Council of Australia remains strongly opposed to this policy and deeply concerned with its potential impacts on housing markets and the broader economy at this uncertain time in the cycle.
In particular, we are concerned with the impact of these tax changes on new housing construction, with a survey of investors commissioned for the Property Council indicating that this policy will not create the stimulus for new housing construction that the ALP has assumed.
We are relieved that the Opposition has taken account of industry views and does not intend to rush this change in for a 1 July 2019 start date if they were to win government. To do so would have required retrospective legislation, rushed drafting and no opportunity to take expert advice from Treasury and stakeholders..
