The Government could raise billions of dollars by taxing more profits from the sale of property and shares.
What sort of things might be newly taxed? Probably profits from the sale of land, shares, investment property, baches, businesses and intellectual property, and possibly almost any other assets that could appreciate in value and that don’t fall under the existing tax net.
What about the family home? The Government has ruled out taxing profits from the sale of the “family home” and the land it sits on.
What would the tax rate be? The TWG is suggesting that instead of creating a new tax, profits could be taxed through the existing income tax system. That could mean capital gains would be taxed at people’s personal income tax rate, so at up to the rate of 33 per cent.
How much tax would all this raise? The TWG has suggested that a broad tax on capital gains could raise $290 million in its first year, rising to $2.7b in 2026 and just under $6b in 2031.