Australia's Labor tax reforms face Greens‑Coalition pushback

Labor's government has introduced a major tax package that bundles a $250 income‑tax offset, a $1,000 instant deduction for workers, limits on negative gearing for new homes from July 2027, and the removal of the 50 % capital‑gains‑tax discount in favour of an inflation‑linked rate. The combined bill cleared the House of Representatives and is now awaiting Senate approval.

The opposition Coalition and the Greens are seeking to extend Senate inquiries to scrutinise both the tax changes and the accompanying National Disability Insurance Scheme (NDIS) reforms. The Greens have warned they will not support the NDIS bill unless its passage is delayed, while the Coalition wants a longer tax‑inquiry. Opposition leader Angus Taylor said, “We'll work with anyone to stop toxic taxes…”, and Independent senator David Pocock accused the government of “actively avoiding scrutiny”. Treasury officials and Finance Minister Katy Gallagher defended the measures as standard legislative practice.