{"id":676217,"date":"2026-05-17T06:31:13","date_gmt":"2026-05-17T06:31:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/676217\/"},"modified":"2026-05-17T06:31:13","modified_gmt":"2026-05-17T06:31:13","slug":"capital-gains-tax-changes-government-signals-potential-carve-outs-for-start-ups-and-venture-capital-firms","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/676217\/","title":{"rendered":"Capital gains tax changes: Government signals potential carve-outs for start-ups and venture capital firms"},"content":{"rendered":"

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Treasurer Jim Chalmers has dismissed suggestions the government should index tax brackets as Angus Taylor has pledged to do, warning that the opposition\u2019s tax plan would add more than $250 billion in debt to the budget bottom line.<\/p>\n

He has also sent the strongest signal yet that Labor\u2019s changes to capital gains tax breaks could be walked back to allow more relief for business start-ups and venture capital firms.<\/p>\n

\"TreasurerTreasurer Jim Chalmers during a television interview last Wednesday following the budget.Alex Ellinghausen<\/p>\n

In an interview on the ABC\u2019s Insiders program on Sunday, Chalmers said the Coalition plan to index Australia\u2019s tax rates to tackle bracket creep \u2013 when wages rise over time with inflation and push people into a higher tax bracket \u2013 was one of the least responsible he had ever seen.<\/p>\n

\u201cWe are cutting income taxes five times using three different mechanisms, and the last time we cut income taxes Angus Taylor voted against it and said he would repeal it,\u201d he said.<\/p>\n

\u201cAngus Taylor will be adding a quarter of a trillion dollars to national debt [by indexing the tax rates]. That would cost tens of billions of dollars in extra debt interest because he has an uncosted, unfounded tax announcement, which was all about trying to stave off One Nation.\u201d<\/p>\n

\u201cThere are a number of problems with what Angus Taylor is proposing but overwhelmingly, this extra quarter of a trillion in debt and tens of billions of dollars in debt interest makes his budget reply the least responsible I\u2019ve seen.\u201d<\/p>\n

\"OppositionOpposition Leader Angus Taylor.Alex Ellinghausen<\/p>\n

Taylor dismissed modelling released by Labor<\/a> on Friday that estimated the opposition\u2019s tax proposal would cost $35 billion, not $22.5 billion, over four years and up to $250 billion over a decade.<\/p>\n

\u201cThat is their tax hike, that is their planned income tax increase,\u201d Taylor said in an interview on Sky News.<\/p>\n

\u201cIf Labor wants to crow about their planned income tax increases, $200 billion, that is all coming away from the private sector, that is a plan to grow government and shrink the private sector forever.\u201d<\/p>\n

Chalmers said Labor was \u201centhusiastically\u201d returning additional tax collected because of bracket creep in a more responsible way than the Coalition would, adding \u201cwe have created room to return more bracket creep into the future\u201d \u2013 widely expected to be future increases in tax write-offs.<\/p>\n

On the impact of the CGT changes, Chalmers said the government recognised \u201cthat start-ups and venture capital, and particularly the tech sector, have got a different kind of cost-based calculation\u201d.<\/p>\n

\u201cIt\u2019s not unusual after a big tax change is announced for there to be consultation on implementation, and we flagged for some time that we are prepared to do that, and that\u2019s already begun.\u201d<\/p>\n

Taylor said the Coalition\u2019s immigration policy would cut \u201cmass migration\u201d by at least 70 per cent, to below about 200,000 people a year, by tying migration to the number of new houses built.<\/p>\n

\u201cI\u2019m not going to declare that number until we know how many houses are being built and we\u2019ll know that in the next little while,\u201d he said.<\/p>\n

Cut through the noise of federal politics with news, views and expert analysis. Subscribers can sign up to our weekly Inside Politics newsletter<\/a>.<\/p>\n

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\"JamesJames Massola<\/a> is chief political commentator. He was previously national affairs editor and South-East Asia correspondent. He has won Quill and Kennedy awards and been a Walkley finalist. Connect securely on Signal @jamesmassola.01Connect via X<\/a> or email<\/a>.From our partners<\/p>\n","protected":false},"excerpt":{"rendered":"Save You have reached your maximum number of saved items. Remove items from your saved list to add…\n","protected":false},"author":2,"featured_media":676218,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[64,63,44],"class_list":["post-676217","post","type-post","status-publish","format-standard","has-post-thumbnail","category-australia","tag-au","tag-australia","tag-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/676217","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=676217"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/676217\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/676218"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=676217"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=676217"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=676217"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}