Scaling back the capital gains tax discount might not help housing affordability – but there are still good reasons to do it

There is a profound inequity when it comes to tax breaks for investors. Reform could boost the budget bottom line and help renters trying to buy property

• Get our breaking news email, free app or daily news podcast

Slashing tax breaks for property investors might not put much of a dent in house prices, but that’s not to say it can’t make a meaningful difference to home ownership rates over the coming years.

Reading through the submissions to the Greens-led Senate committee on the capital gains tax discount and talking to economists delivers a series of convincing arguments for why the government might be on a winner if it finally finds the courage to prosecute this reform.

Continue reading…

Source: www.theguardian.com

Read full article