Candidate says nothing to fear and much to gain

LABOR candidate for Leichhardt Elida Faith has brushed off concerns changes to negative gearing would reduce rental stock and further burden the public housing sector.

“This assumes Australian investors only buy property because of the tax concessions – they clearly don’t,” she said.

“In 2017-18, no more than one in six residential properties transacted were negatively geared and out of all invest- ment properties, no more than 60 per cent are negatively geared.”

Leichhardt MP Warren Entsch argued the Opposition reforms would spell disaster.

“The private sector provides the overwhelming majority of

rental accommodation,” he said.

“If you take that out of the equation, there is no way the State Government is going to be able to keep up with the shortfall.”

Ms Faith said Labor’s policy would level the playing field between first homebuyers and seasoned investors.

“Right now, there’s more support from the Federal Government for a property investor buying their sixth or seventh investment property than there is for a first home buyer,” she said.

“Australia has among the most generous property investment tax concessions in the developed world. That is unsustainable, unfair and needs to stop.”