It’s early 2026 as I write this, and the news has just hit that the PM is targeting investors with a proposed tax change.
This article is based on what’s been revealed to date, and of course things will change as they progress.
Or maybe it will be dropped altogether. Nobody really knows.
What we know for sure is their plan is to raise more money by cutting the capital gains tax (CGT) discount.
And in case you’re not sure how this works, let’s start with a quick recap.
Here’s How The Capital Gains Tax Discount Works
Any time you make money, you have to pay tax on it.
But with real estate, you don’t have to pay tax on ALL of it.
If you sell an investment property and make a profit (in other words you sell it for more than you paid for it), and you’ve held that property for more than 12 months, only half the profit is taxed.
This is what’s knows as the 50% capital gains tax discount.
In other words, if you sell an investment property for $400,000 more than you paid for it, just $200,000 is added to your taxable income.
Not the full $400,000.
In other words …
… you’re only taxed on 50% of the capital gain you’ve made.
What’s Going To Change?
Nobody knows for sure exactly what’s going to change.
All we know is that Labor are planning to REDUCE the 50% discount.
If people are up in arms it probably won’t fly.
Still, everything’s up in the air at the moment and nobody knows what’s going to change.
Not even the government have made up their mind.
Chances are there’ll be something, but it won’t be the disaster everyone thinks it will be.
The discount won’t disappear altogether.
It could be reduced to say, a 40% or even a 30% discount instead of the full 50%.
And it might not be applicable to properties you already own, only to purchases made after the change comes in.
Or maybe not.
As I say, nobody knows for sure.
Is This The End Of Real Estate As We Know It?
Recent talk about the death of real estate investing is crazy.
I’ve heard all sorts of ranting and raving about it this week.
But I urge you not to be like that.
You should never make your decisions on emotion. Instead, let the numbers do the talking.
Even if there are changes, it might mean you pay a bit more tax if and when you sell.
But if you’re sitting on half a million dollars in profit, it’s not the end of the world.
You’ll be grinning from ear to ear no matter what changes.
And you know what?
If you don’t sell, you don’t pay anything. That’s a strategic decision you make by running the numbers.
There are also ways to reduce the impact by using different structures, depending on what happens.
The Rules Might Change But The Game Is Still Great!
Here’s the thing.
At the end of the day, the amount of money you can potentially make from real estate is jaw dropping.
If you just want to keep your head above water, keep working for a living and don’t invest.
But if you want the kind of lifestyle your job can’t provide, you need to be backed by real estate.
Real Estate Is Where The Money Is
The reason Albo wants to tax capital gains more is because of how much money people make by investing in real estate.
And investors like us can potentially make life-changing wealth and income, even if the CGT discount is reduced.
Sarah, one of our clients increased her net worth by $450,000 in 18 months.
Nicholas’ first investment soared $110,000 in his first year.
Janene from Queensland is already up $705,000.
Let Me Prove It To You
I’m absolutely confident real estate is the best and fastest way to create life-changing wealth and income.
And I want to show you how this works, and see what’s possible for you.
You’re invited to book a time with one of our Senior Property Wealth Planners who can show you what this looks like and how it works.
They’ll map out an overview of what you should do, and when.
They’ll give you the steps to make it happen.
Plus show the opportunities available in the market.
They’ll even tell you how many properties you could invest in right now if you choose to. The more you get now, the faster you’ll go.
And of course answer any questions you have.
There’s no obligation or pressure here, and no cost either.
We figure if we give you actual value and information (instead of pitching our services like everyone else) you’ll see how deep out knowledge and experience is, and might consider using us if you move ahead.
You can book a time to talk with us by entering your details below: