Jane Hume says effort to roll back CGT discount ‘hypocrisy’ from politicians who probably benefited from it themselves
Jane Hume, the deputy liberal leader, had sharp criticism for the carve outs to the new capital gains tax changes for small businesses, telling Sky News this morning the policies remained an “assault on aspiration”.
Treasurer Jim Chalmers announced the “generous” exemptions for small businesses last week amid backlash to the budget, saying some 2.7m entities would benefit from the carve out. Labor will be appealing to the Greens to get those changes across the line in parliament this week.
Hume told Sky today Australians knew the changes were “entirely unfair”, accusing lawmakers of pulling the ladder up behind them after “plenty of politicians” had used negative gearing to create wealth.
double quotation markNegative gearing has been a way for people to create wealth for generations, and that includes plenty of politicians, particularly from Labor and from the Greens. And I think people should be asking .. politicians whether they have ever used negative gearing, to build wealth and to get ahead, because I’ll lay you odds that they have.
What extraordinary hypocrisy that they are now trying to deny that ability from the next generation.
Hume went on to say the Senate had a job to scrutinise legislation, but only had a few days to do so for a change that would affect “millions” of Australians.
‘Missed opportunity’ allowing existing properties to remain negatively geared, say Greens
Larissa Waters says the Greens are pleased the government has tackled some of its concerns with the tax changes – including winding back ministerial discretion powers.
But, she says, the party is unhappy that existing property owners can keep negatively gearing their properties. (The treasurer, Jim Chalmers, has argued that most property owners negatively gear their properties for between five and 10 years at the maximum, so the tax incentive will phase itself out).
Waters tells AM:
double quotation markGrandfathering in those negative gearing and capital gains tax perks that have seen homes become so ridiculously unaffordable in this country is just condemning whole generations of people to never being able to afford their own home.
Asked if it’s a deal breaker, and if the Greens are prepared to walk away if the government keeps the incentives for existing owners, Waters says, “We will have a look at the final shape of the package. They’re still making changes as late as last week.”
Greens mull offer on NDIS and property tax from Labor
There are two very big pieces of legislation right now that the government wants to get through: its changes to negative gearing and capital gains tax, that it wants the Greens to pass, and reforms to the NDIS which it needs the Coalition’s support for.
Both bills have just gone through very short Senate inquiries – which neither the Greens nor Coalition were particularly happy with.
Greens leader Larissa Waters is asked by the ABC’s AM program this morning, whether her party would pass the tax changes in exchange for a longer inquiry into the disability insurance scheme.
double quotation markWe take these issues on their merits, Mel [Clarke], and we’ll have a chance to talk about how these tax reforms we don’t think are actually going to fix the housing crisis. They could have, they could have been designed to do so.
We are doing everything we can to try to stop this cruel NDIS bill that will see more than 340,000 people left without the ability to have a shower or even leave the house in some cases. So we are having those discussions, but we are using everything we’ve got to make sure that these cuts actually are stopped completely, but at the very least inquired into even further. We saw through the inquiry last week the scale of the depravity of these cuts and the real human impacts that they would have.
Labor faces heat over cooling house prices
Labor MPs are facing a slate of questions over falling house prices in some capital cities – which means they’re walking a bit of a messaging tightrope between wanting younger people to get into housing, and ensuring that people who already own housing don’t go way backwards.
(Although a Resolve poll in the Nine papers this morning shows that of a poll of 1800 people, 54% supported lower house prices, while 11% said they were opposed).
Murray Watt says it’s a good thing if a bit of cooling in the auction market makes it easier for young Australians to buy a first home.
He also points out that Treasury modelling showed price growth would slow.
double quotation markAllowing young Australians, in particular, to get into the housing market for the first time, was the central focus of our budget, and that’s why we put forward those changes around both negative gearing and capital gains tax.
We’re not surprised to see some level of cooling in auction markets. And if that makes it more possible for Australians to get into the housing market for the first time, that’s a good thing.
So our modelling from Treasury did suggest that there may well be a short-term impact in housing prices, but that they would continue to grow over time.
The environment minister, Murray Watt, says a widespread outbreak of bird flu in Australia could severely impact wildlife, but that Australia is well prepared.
So far, he says an outbreak in Western Australia is also nowhere near a poultry farm, but the government is working closely with the industry.
The government confirmed on Friday that a wild migratory bird had been found in WA and died from the H5N1 virus.
Watt tells ABC News Breakfast:
double quotation markThere’s no doubt, James [Glenday], that if we were to have a widespread outbreak of this deadly strain that would have a very significant impact on wildlife in Australia.
There’s no evidence at all, that this has affected poultry stocks in Australia. It’s a wildlife matter at this point in time. In terms of the species, As I say, we know that bird flu can not only impact on birds, but also mammals as well …
We are as well prepared as we possibly could be for this, but it is a risk that we need to take seriously.
Search begins for new Nacc commissioners
The attorney general, Michelle Rowland, has opened applications for the new leaders of the National Anti-corruption commission, following the resignation of Paul Brereton.
Rowland said a new commissioner and deputy commissioner would be appointed through an open, competitive and merit-based selection process.
Applications will be assessed by an eminent panel, charged with preparing a shortlist of suitable candidates for the attorney-general’s consideration.
Rowland will then ask the Parliamentary Joint Committee on the National Anti‑Corruption Commission to approve her preferred candidates for each role, before recommending them to the governor general for appointment. Applications close on 13 July.
double quotation markThe government is committed to strengthening the Nacc, including by continuing to make appointments through an open, competitive and merit-based selection process.
This is an opportunity for the Nacc to refresh and reset, and I look forward to working across the Parliament to appoint the best possible candidates for these roles.
Brereton quit in May, saying criticism of him was “drawing attention away” from the commission’s work.
Good morning, Krishani Dhanji here with you for the final sitting fortnight before the winter break.
With just days before the end of the financial year and some key legislation Labor is desperate to get through, expect some drama in the house and plenty of deal-making behind the scenes.
Last week the government announced significant concessions on its capital gains tax legislation, the question is, will it be enough to get the Greens over the line. Those talks will be happening over coming days – with the Coalition promising to repeal the legislation if it gets into power.
And this morning the prime minister is convening a national cabinet meeting on fuel security, days after promising to extend the fuel excise cut (albeit at a lower rate). Overseas, Iranian negotiators have suspended talks with the US in Switzerland.
I’m here with our news blogger Nick Visser, who’s making a cameo appearance in the national capital this week – so stick with us!
Source: Guardian - World News
