Albanese Emotionally Defends CGT Reforms as Opposition Vows Repeal

Prime Minister Anthony Albanese delivered an impassioned defense of Labor’s capital gains tax and negative gearing changes at the Victorian Labor conference on 23 May. The May 2026 budget replaces the 50% CGT discount with inflation indexation and a 30% minimum rate from July 2027 while limiting negative gearing to new builds. Backlash from startups prompted Labor MPs to signal possible concessions, yet markets have already reacted with the S&P/ASX 200 and financials each down 1.9% and Small Caps off 2.6%. Treasury forecasts show 35,000 fewer homes built over a decade but 75,000 additional first-home buyers. The opposition has pledged to repeal the measures if elected, adding further uncertainty.