WHAT WAS CLAIMED
Labor's policy is to abolish capital gains tax discounts.
OUR VERDICT
False. Labor has ruled out capital gains tax changes.
AAP FACTCHECK - Peter Dutton is falsely claiming Labor has a policy to axe the capital gains tax discount.
Labor has repeatedly ruled out changes to capital gains tax (CGT) ahead of the forthcoming election.
The opposition leader made the claim at a press conference on April 17, 2025, after Prime Minister Anthony Albanese denied Labor had asked Treasury to model reforms to negative gearing and the CGT discount.
"That was not true," Mr Dutton said.
"This government is proposing to tax an unrealised capital gain, right? That's their policy. Their policy is to abolish the capital gains tax discount."
Mr Dutton was referring to Labor legislation currently before the Senate that reduces tax concessions on superannuation for those with balances of more than $3 million.
While superannuation is an unrealised capital gain, the legislation is completely distinct from the 50 per cent discount on CGT introduced by the Howard government in 1999.
Grattan Institute experts argue the policy has helped drive property prices up, alongside negative gearing, which offers property investors tax reductions in income taxes.
Debate has erupted on the campaign trail about Labor's negative gearing and CGT discount policies amid voter anger over worsening housing affordability.
Labor took plans to halve the CGT discount and wind back negative gearing for existing dwellings to both the 2016 and the 2019 elections, but dumped both policies after campaign defeats.
Treasurer Jim Chalmers ruled out changes to negative gearing at a press conference on April 16, 2025, with his office later confirming to AAP FactCheck that this included the CGT discount.
"We are not proposing changes to negative gearing," Dr Chalmers told reporters.
"We've got a plan for housing, we've got a plan for tax, and that's not in it. We've made that clear."
Mr Dutton's false claim came after accusations Mr Albanese had lied in the second leaders' debate when he denied Labor had modelled negative gearing reforms.
After Mr Dutton said the government had modelled negative gearing and CGT discount changes, Mr Albanese said: "That's not right."
The prime minister was then asked by moderator David Speers whether the government modelled the changes.
"It certainly wasn't commissioned by us to do so," Mr Albanese claimed.
Dr Chalmers was asked about modelling in 2024, after Nine Newspapers reported Treasury had modelled property tax reforms, citing two anonymous sources.
He confirmed that Treasury had given government advice on reforms in an ABC Radio interview.
The Treasurer later said that the analysis indicated changes wouldn't increase housing supply enough, the Australian Financial Review reported.
Dr Chalmers sought to draw a distinction between modelling done by Treasury and advice provided to the government by the public service at a press conference on April 17, 2025.
"I've said on a number of occasions now, that I sought a view, now that's different to commissioning modelling," he said.
AAP FactCheck has been unable to independently verify the details or format of the advice the government received.
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