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flag Australia considers ending 50% capital gains tax break for long-term asset holders to improve housing affordability.

flag Australia is reconsidering its 50% capital gains tax discount on assets held over a year, which has cost $19.7 billion in 2024–25 and disproportionately benefits high-income earners and those over 60. flag Critics say the policy fuels housing speculation and worsens affordability, especially for first-time buyers and renters. flag Reforms under discussion include limiting the discount for landlords, tying tax benefits to rental quality, and adjusting the discount based on inflation or property value. flag Since 1999, housing prices have risen faster than inflation, aided by low interest rates and easier credit access, enabling wealthier households to accumulate tax-free gains. flag The government weighs changes to make housing more accessible while balancing economic and social goals.

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