What the budget means for your wealth (and did Boomers win?)
5/20/202627 min
Financial Review wealth editor Joanna Mather and reporter Andrew Hobbs on how Labor’s new tax rules reshape investment strategies and what that means for you.
This podcast is sponsored by Westpac
Further reading:
Albanese says CGT is going back to 1999. That’s not quite true Labor’s proposed capital gains tax inflation model is different from Paul Keating’s in two ways that mean investors will typically pay more tax.
The game has changed – what investors need to know
The budget measures have jolted many wealth plans. We ask the professionals about tips for first home buyers, property and share investors, retirees and those with trusts.
‘Ludicrous’: Modelling shows bucket companies face even bigger tax hit Further examination of the budget papers shows the penalty tax rate that will apply to bucket companies could be as high as 70 per cent, tax specialists say.
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Clips
Transcript preview
First 90 secondsJoanna Mather· Guest0:00
[upbeat music] The Australian Financial Review.
Fiona Buffini· Host0:06
[upbeat music] It's been nine days since Treasurer Jim Chalmers delivered the biggest budget in decades.
Jim Chalmers· Soundbite0:14
This budget includes the most significant tax reform package in more than a quarter of a century.
Fiona Buffini· Host0:20
It's a fundamental reset of the investment landscape, with major tax changes, including scrapping negative gearing and taxing capital gains and trusts at 30%.
Jim Chalmers· Soundbite0:29
And help rebalance a system where house prices have decoupled from incomes.
Fiona Buffini· Host0:34
Labor says it's about making the tax system fairer for wage earners, to help younger generations get ahead and, in particular, to buy their first home. The federal budget is proving to be a tough sell for Anthony Albanese and Jim Chalmers.
Speaker 4· Soundbite0:47
Voters have hit Anthony Albanese with a sledgehammer.
Fiona Buffini· Host0:50
The response has been dramatic, and not in the way the government expected. Australian business owners have taken to social media to introduce their new business partner.
Joanna Mather· Guest0:58
AI generated Anthony Albanese as a plumber and Pilates instructor.
Speaker 4· Soundbite1:03
Mocking the prime minister's changes to the capital gains tax discount.
Fiona Buffini· Host1:07
The first polls were bad, and the social media response has been worse, and some experts are saying the budget may do the opposite of what the government intended.
Andrew Hobbs· Guest1:16
[upbeat music] The overall landscape of the budget was stick it to the boomers. Okay, there's a degree of that, but what do millennials and, and so on get out of it? A little bit of level playing field from the negative gearing, that's