• ALP negative gearing tax plan to disadvantage everyday Australians

    New


    REIWA welcomes the findings of a new report by SQM Research which details how the Australian Labor Party’s plan to abolish negative gearing, if elected, would negatively impact everyday Australians.

    The Labor’s Negative Gearing Policy – A Market Update report found that if the ALP’s negative gearing policy is legislated in its current form, dwelling prices would fall and rent prices would increase.

    REIWA President Damian Collins said tinkering with one part of the tax system was a risky move and the findings of the SQM Research report show it’s the everyday Australians who would be most impacted.

    “The report shows that it’s not the wealthy property moguls that would bear the brunt of this change, it’s the mum and dad investors, home owners and tenants that would be dealt the blow.

    “These report results are not entirely hypothetical either. In the 1980s when negative gearing was removed these were the consequences experienced at that time in Western Australia. The impact was so great across the country that negative gearing was re-introduced just two years after it was removed.

    “We must learn from history. Removing or meddling with one part of the tax system is irresponsible. Any changes to our tax system should be done holistically and include a full review of our entire tax system,” Mr Collins said.

    Find out more about why negative gearing is positive for West Australians.