Labor’s shock tax overhaul passes first hurdle | 9 News Australia

The Australian Federal Government's highly controversial changes to negative gearing and capital gains taxes have successfully cleared their first legislative hurdle. The comprehensive budget bill sailed smoothly through the Lower House of Parliament on the final sitting day of the week, marking an initial victory for the ruling Labor party as they attempt to restructure national housing wealth metrics. However, as reported live from Parliament House in Canberra by Nine Network federal politics reporter Amanda Copp, the real battlefront now shifts directly to the Senate. In the Upper House, the government lacks a working majority, setting up an intense political showdown. To turn these sweeping tax alterations into official Australian law, the government will be forced to negotiate cross-bench deals, explicitly requiring the legislative backing of either the Australian Greens or the Coalition opposition framework. If passed, these landmark housing laws would completely scrap negative gearing benefits for all existing residential properties. Furthermore, the legislation would eliminate the long-standing 50% discount on capital gains tax while simultaneously providing some targeted tax relief to everyday working families. The Coalition has firmly declared its intention to vote against the bill, stating their strict opposition to any increased tax burdens on private property assets. Meanwhile, the Greens remain locked in deep negotiations with the government. Adding to the economic tension, Reserve Bank of Australia (RBA) Governor Michele Bullock appeared before a parliamentary committee to issue a stark warning regarding national fiscal pressures. Governor Bullock emphasized that underlying inflation remains far too high, confirming that the board will not hesitate to implement further interest rate rises later this year if necessary to restore long-term price stability and employment balance. For more in-depth analysis on this fast-evolving property and economic landscape, hit subscribe. | *Subscribe and 🔔: http://9Soci.al/KM6e50GjSK9* *Get more breaking news at 9News.com.au: http://9Soci.al/iyCO50GjSK6* FOLLOW 9News Australia ► Facebook: https://www.facebook.com/9News/ ► Twitter: https://twitter.com/9NewsAUS ► Instagram: https://www.instagram.com/9news/ Join 9News for the latest in news and events that affect you in your local city, as well as news from across Australia and the world. #9News #BreakingNews #NineNewsAustralia #9NewsAU