Australia May End 50% Capital Gains Tax Break, AFR Reports

Australia’s center-left government may scrap a 50% capital gains discount for assets held for at least 12 months, in favor of reverting to a pre-1999 model, the Australian Financial Review reported.

The 50% CGT discount was introduced by former Prime Minister John Howard in 1999. The AFR said Wednesday that the current Labor government will abolish the discount in the May 12 budget and go back to the former model for all asset classes, including property and shares, that taxed real gains adjusted for inflation over the period the asset is held.

The newspaper said speculation is rife that ...