Looks like the Rudd government is entertaining the idea of slapping a capital gains tax on the family home, and making the family home interest deductible. Initially on $2m+ homes, but how long then would it take to slowly bring that threshhold down.
If they did go in this direction, then no doubt, negative gearing would eventually be removed for investment properties.
Given government have spent so much in stimulus, they will now try and find anyway to increase the tax revenue.
Family homes face a wealth tax
http://www.theaustralian.news.com.au/story/0,25197,25931551-601,00.html
If they did go in this direction, then no doubt, negative gearing would eventually be removed for investment properties.
Given government have spent so much in stimulus, they will now try and find anyway to increase the tax revenue.
Family homes face a wealth tax
http://www.theaustralian.news.com.au/story/0,25197,25931551-601,00.html