Australian PM Anthony Albanese Defends Tax Reform Amid Small‑Business Backlash

Prime Minister Anthony Albanese defended his government’s tax reforms at the NSW Labor State Conference, describing critics as “barely coherent noise.” The budget changes limit negative‑gearing deductions to new‑build properties and replace the flat 50% capital‑gains‑tax discount with an inflation‑adjusted indexation system that sets a 30% floor.

The reforms prompted a heated dispute with One Nation MP Barnaby Joyce, who accused Albanese of disrespecting small‑business owners. Social Services Minister Tanya Plibersek countered that the government has introduced a $3.8 billion business‑support package, made the $20,000 instant‑asset write‑off permanent, and provided loss‑carryback provisions, asserting that the majority of businesses will be largely unaffected.

Albanese’s supporters cheered the measures as a step toward increasing housing supply and addressing affordability, while opponents argue the changes could exacerbate the housing crisis by reducing rental stock and raising rents.