Australia's Senate approves sweeping tax reform package with Greens deal

The Albanese government secured Greens support to pass a major tax reform package in the Senate. The legislation reforms negative gearing and capital gains tax, introduces a $250 Working Australians tax offset and a $1,000 instant deduction, and limits self‑managed superannuation funds from borrowing to buy residential property.

In exchange, the Greens obtained an eight‑week extension to the Senate inquiry into the proposed National Disability Insurance Scheme (NDIS) reforms, which could remove up to 160,000 participants and save billions. The extension follows criticism that the bill would cut supports for people with disability.

Political analysts note the deal comes as Labor’s poll ratings slip and support for One Nation rises, while opposition parties continue to oppose the tax changes. The reforms aim to address housing affordability and fiscal sustainability, but critics warn they could hurt young home‑buyers and renters.