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The Guardian - AU
The Guardian - AU
National
Patrick Commins Economics editor

Massive profits already earned by property investors to be shielded from Chalmers’ CGT changes

The treasurer, Jim Chalmers
The treasurer, Jim Chalmers, says Australians should not expect a ‘huge amount of new revenue’ in the budget if changes are made to capital gains tax. Photograph: Darren England/AAP

Massive paper profits earned over recent years by property investors will be shielded from Labor’s changes to the CGT discount, after Jim Chalmers said any new tax rules would “recognise the decisions that people have taken in the past”.

The treasurer is widely expected to modify the 50% tax discount on profits from the sale of assets held for more than one year, potentially returning to the pre-1999 model where capital gains are adjusted for inflation.

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