Robert Carling's media comments on proposed CGT changes - The Centre for Independent Studies
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Robert Carling’s media comments on proposed CGT changes

Australia’s controversial $23 billion tax break for property investors back up for debate (story across NewsCorp)

Robert Carling, a Senior Fellow at the Centre for Independent Studies, said news of changes to the discount was “probably not all that surprising, but disappointing”.
“The capital gains tax discount has been a target for years,” he said.
“It keeps being revisited because people have this misconceived notion that the 50 per cent discount is too much. I think that’s wrong.”
Mr Carling, who previously served in federal treasury, was glad the focus of CGT reform appeared to only be on housing investments – and not wider reforms being explored in a current senate inquiry – but was sceptical that it would be justified.
“First of all, presumably all existing investments would be grandfathered. So it would only affect new investments in housing,” he said.
“And maybe it would have a big psychological effect initially, and would turn people off investment housing.
“But the evidence that I’ve seen is that over time the capital gains tax discount has not been responsible for much of the increase in house prices that we’ve seen.”

Capital gains tax shift must not just be a cash grab (The Australian)

Centre for Independent ­Studies senior fellow and former NSW Treasury executive Robert Carling said a cut to the tax ­discount from 50 to 25 per cent would be a “savage approach” even if the measure was limited to housing assets.
“What evidence there is suggests that the capital gains tax discount has not been a major driving force behind house price increases,” he said. “If they reduced the discount just for housing it would certainly discourage new building which is, I would have thought, the last thing you would want to do. So it would increase the cost of capital and be a discouragement of the investment that we need for productivity growth.”

Capital gains tax reform back on agenda as Greens pressure Albanese government (across NewsCorp)

The Centre for Independent Studies, which is chaired by former Macquarie Bank CEO Nicholas Moore, said in a submission that there “is a very strong case for some form of tax concession for capital gains relative to full marginal rates.
“This concession should go beyond simply allowing for inflation.”
The current discount “has the advantage of being simple and well understood and there is no strong case for changing it,” the CIS said.

Capital gains tax reform among options as Labor weighs housing pitch (ABC)

The Centre for Independent Studies recommended against it, while the Property Council of Australia argued it would not improve housing affordability.

$250 billion warning over huge new tax move (across NewsCorp)

Robert Carling, a Senior Fellow at the Centre for Independent Studies, said news of changes to the discount was “probably not all that surprising, but disappointing”.
“The capital gains tax discount has been a target for years,” he told news.com.au.
“It keeps being revisited because people have this misconceived notion that the 50 per cent discount is too much. I think that’s wrong.”
Mr Carling, who previously served in federal treasury, was glad the focus of CGT reform appeared to only be on housing investments – and not wider reforms being explored in a current senate inquiry – but was sceptical that it would be justified.
“First of all, presumably all existing investments would be grandfathered. So it would only affect new investments in housing,” he said.
“And maybe it would have a big psychological effect initially, and would turn people off investment housing.
“But the evidence that I’ve seen is that over time the capital gains tax discount has not been responsible for much of the increase in house prices that we’ve seen.”