ban borrowing in self-managed super funds<\/a> for purchasing investment properties.<\/p>\nIt also wound back provisions that would have given the Treasurer discretionary powers over the taxes after they had been legislated.<\/p>\n
The government was also forced to exempt testamentary trusts from its plans to impose a 30 per cent tax on discretionary trusts.<\/p>\n
The “widows tax” came to light after Treasury officials confirmed during Senate Estimates that in the event of a transfer of an interest the “new owner … would no longer benefit from the exemption\u201d.<\/p>\n
Mr Pocock said this would mean some Australians would lose \u201clegitimate access\u201d to grandfathered exemptions and vowed to move an amendment ensuring they remain in place.<\/p>\n
\u201c(The amendment) allows the transferee to choose to apply the same concession to a later capital gain that the transferee would have been entitled to apply immediately before the transfer,\u201d he said.<\/p>\n
The senator also attacked the government’s messaging on the tax changes which he described as “disappointing”.<\/p>\n
“They\u2019re saying that this is something that they knew about all along, and we\u2019re going to address, and yet just this morning we had ministers on radio saying that it wasn\u2019t an issue, it was just how the system worked, and there was nothing to see here,\u201d Mr Pocock said.<\/p>\n
\u201cI appreciate the minister\u2019s commitment on this but some of it\u2019s hard to comprehend.<\/p>\n
“You really scramble to get stuff drafted and talked about … as a crossbench, we agree with the intent of the bill, we\u2019re putting forward amendments in good faith, and then we\u2019re somehow accused of not engaging.\u201d<\/p>\n
The government\u2019s grandfathering arrangements mean Australians who purchased a property before budget night or who build a new home can negatively gear.<\/p>\n
Capital gains on property purchased before budget night fall under the old 50 per cent discount model until July 1, 2027.<\/p>\n
After this date, the new inflation-adjusted model will apply.<\/p>\n","protected":false},"excerpt":{"rendered":"Labor is making another change to its controversial tax legislation as backlash over the laws has forced the…\n","protected":false},"author":2,"featured_media":38778,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[22,21,4957,3180,156,3977,5203,31858],"class_list":["post-38777","post","type-post","status-publish","format-standard","has-post-thumbnail","category-australia","tag-au","tag-austrlia","tag-cgt","tag-jim-chalmers","tag-labor","tag-negative-gearing","tag-treasurer","tag-widows-tax"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/posts\/38777","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/comments?post=38777"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/posts\/38777\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/media\/38778"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/media?parent=38777"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/categories?post=38777"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/tags?post=38777"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}