Negative gearing


Discussion paper

Rich men and tax concessions

This paper looks at the distribution of four tax concessions. The four tax concessions are worth $60 billion per year and include negative gearing, superannuation tax concessions, capital gain tax discount and excess franking credits.
Fact sheet

Fact Check: Scott Morrison says police officers who own an investment property have just one. Is he correct?

Scott Morrison lambasted Labor's proposed changes to negative gearing and capital gains tax during a recent appearance on Sydney radio, using police officers as an example of those who may be affected.

Positive plan to help housing affordability

This policy sets out the Labor party's plan on housing. It includes strategies to address affordability and to support housing construction by reforming negative gearing and capital gains tax arrangements. Links include previously archived and updated versions.
Fact sheet

Fact Check: Why using taxable income to attack Labor's negative gearing, capital gains and dividend imputation policies is misleading

In the lead up to the 2019 federal election, RMIT ABC Fact Check examines how tax data is being used in the public policy debate.

Levelling the playing field: the economic case for reforming negative gearing

Given the developments in the Australian property market since 2015-16, and the repeated claims from Federal Treasurer, Josh Frydenberg and others, that reform of the negative gearing policy would have severe negative impacts, this report argues that it's time to revisit the policy, in light...
Fact sheet

Fact Check: Do two-thirds of negative gearers have a taxable income under $80,000?

Treasurer Josh Frydenberg claims that two-thirds of people who use negative gearing have a taxable income of less than $80,000 a year.

Who really benefits from negative gearing?

The Morrison Government is keen to highlight the number of people who negatively gear but this hides where most of the benefit is going. There are a small number of high income property investors who are negatively gearing large numbers of properties or expensive properties.

Inquiry into the future of the private rental sector

This study focused on the Australian private rental sector including formal rules (policies and regulation); organisations and structures; and informal rules (social norms and practices), and reviewed the sector in ten countries.

The income tax treatment of housing assets: an assessment of proposed reform arrangements

This research models several politically acceptable pathways to reform negative gearing and CGT so as to reduce impacts on less sophisticated property investors. Two reform models— a rental deduction cap of $5,000 and a progressive rental deduction based on income—could lead to savings of over...

Housing taxes: getting from here to there

A shift to a property tax will make the housing market fairer and more efficient, and researchers have come up with a practical way to do it, writes Peter Mares.
Discussion paper

Assisted housing affordability: discussion paper

This discussion paper endeavors to identify the underlying causes of housing affordability issues, and to consider some useful policy responses in the current and historical context.

How the Property Council is shaping the debate around negative gearing, taxes

Housing affordability and tax reform have shaped up to be two of the defining issues this election. The Property Council of Australia – which describes itself as “the Voice of Leadership” – has helped frame the debate on behalf of its 2200 company members. The...
Fact sheet

Fact Check: Do two-thirds of negative gearers earn under $80,000?

Assistant Treasurer Kelly O'Dwyer argues Labor's negative gearing policy would disadvantage average earners, claiming two-thirds of negative gearers have incomes of $80,000.

Hot property: negative gearing and capital gains tax

Long overdue changes to negative gearing and capital gains tax would save the Commonwealth Government about $5.3 billion a year. SummaryThe interaction of a fifty per cent capital gains tax discount with negative gearing distorts investment decisions, makes housing markets more volatile and reduces home...
Fact sheet

Fact Check: Do most negative gearers earn a modest income?

Treasurer Scott Morrison claims Australians on modest incomes make up the "vast majority" of negative gearers — with two-thirds earning a taxable income of $80,000 or less, and a similar proportion owning just one property.

Truth and negativity in the negative gearing debate

It’s not too late for Malcolm Turnbull to regain some of the ground he’s lost on tax. Labor’s plan shows why he can’t afford to dodge it THE LAST fortnight has been a bitter one for many Australians who wanted to see Malcolm Turnbull succeed...

Briefing note: tax concessions by age

The Australia Institute has released data from modelling commissioned from NATSEM together with ATO statistics which show that young Australians are receiving little benefit from three of the budget’s most expensive tax concessions. The research shows Australians under 30 years of age receive only 6.4%...

Positive plan to help housing affordability: reforming negative gearing

For most young families in Australia, the dream of purchasing and owning their own home is almost completely out of reach. Working and middle class families are increasingly being priced out of the housing market. Ownership rates for young people aged 25-34 have spiralled downwards...

Budget impacts of negative gearing

‘Negative gearing’ has been a topic of frequent debate. This flagpost summarises some of the estimates of the impact of negative gearing on the Commonwealth Budget.

It might say free trade on the label, but what’s in the tin?

This article discusses a report released by the Property Council of Australia about negative gearing.

Per Capita tax survey 2015: public attitudes towards taxation and government expenditure

Australia has witnessed a remarkable shift in public attitudes to public spending and tax over the last two years. We no longer feel overtaxed. We want more spent on public services, especially health and education, and we are willing to pay more tax to enable...

Switching gears: reforming negative gearing to solve our housing affordability crisis

This report attempts to break the current political impasse by provide a range of politically pragmatic proposals that would reform negative gearing without abolishing it outright. In each of these scenarios, existing investors are quarantined, with negative gearing only partially restricted. In addition, this report...

Tax: the need for change

This report argues that the current arrangements for taxation of asset incomes are flawed and recommends changes. Overview
Fact sheet

Fact Check: Did abolishing negative gearing push up rents?

Treasurer Joe Hockey claims abolishing negative gearing could push up rents, because that's what happened in the 1980s.

Top gears: how negative gearing and the capital gains tax discount benefit the top 10 per cent and drive up house prices

Summary: The combination of negative gearing and the capital gains tax (CGT) discount is distorting the Australian residential property market, encouraging speculative behaviour and being used by predominately high income households as a tax shelter. Modelling commissioned by The Australia Institute shows that these tax...