Labor reaches deal with the Greens to pass changes to capital gains tax and negative gearing reforms

The article reports that Australia’s Labor government has secured Greens support to pass its contentious changes to capital gains tax and negative gearing, removing a key political overhang for the budget. The deal is expected to help Labor get the reforms through the Senate before parliament’s winter break. In exchange, the Greens won concessions including removal of a loophole for self-managed super funds and limits on ministerial powers to reverse the changes. The reforms would replace the 50% capital gains tax discount with a cost-based indexation model from July 2027 and restrict negative gearing for investment properties bought after 12 May 2026, with exceptions for new builds and some housing programs. The article is primarily political and policy-focused, with implications for Australia’s housing market and property investors, but no listed market instrument is directly traded in the provided universe beyond the Australia 200 index.