As the Federal Election draws closer, Labor is continuing to release further information regarding its tax policies.
Two policies which have attracted attention are the intended limitation on the tax benefits of negative gearing and the cutting of the general CGT discount for individuals and trusts from 50% to 25%. Labor has confirmed that if it wins office at the next Federal Election that these policies will be introduced with effect from 1 January 2020. This means that any asset purchased prior to this date will still be able to access the 50% discount on sale and/or negative gearing tax benefits for the life of the asset.
If you have any queries regarding how this proposal could impact you, please do not hesitate to contact us.