Finance & Fury Podcast

The political spectrum and where we line up, plus a look at what we know so far of Bill Shorten and Scott Morrison’s policies. Everything is portrayed as a ‘cost’, which is ironic. “Costs” from the Government’s perspective is simply NOT charging you tax. Not taking all income earned is a trillion-dollar cost to them.   Shorten’s Policies Lowering 50% CGT discount to 25% (for assets purchased after 1 July 2017) People will potentially hold onto assets longer because they will be taxed so much if they were to sell. Negative Gearing – Removal of negative gearing (grandfathering existing) (ABS Stats) 21% of households own a second home as an Investment property 35% of dwellings are investment properties (rental properties) Can’t offset more tax than is paid What if property is not rented for a while? People may not buy highly leveraged – high growth properties What if rates go up? A lot of properties in the past were negatively geared Depreciation already gone, property may become less attractive Less ince