Changing capital gains tax (CGT) rules will complicate Australian taxation even further, it has been claimed.
It is widely believed by many analysts that the much-anticipated Henry report will recommend that the current 50 per cent CGT discount for assets held for longer than a year be scrapped.
However, speaking to the Australian, Austock Securities senior private client adviser Michael Heffernan said that such a change would be "disadvantageous" to Australian property investors.
He said: "Bringing in indexation on capital gains tax or making that more prevalent than what it is now and extending the period for which you have to hold the asset before you can get the discount on the gains is simply making things a lot more complicated."
The Australian government is expected to release its views on the tax review early this year. It is currently under review by treasurer Wayne Swan.
It is widely believed by many analysts that the much-anticipated Henry report will recommend that the current 50 per cent CGT discount for assets held for longer than a year be scrapped.
However, speaking to the Australian, Austock Securities senior private client adviser Michael Heffernan said that such a change would be "disadvantageous" to Australian property investors.
He said: "Bringing in indexation on capital gains tax or making that more prevalent than what it is now and extending the period for which you have to hold the asset before you can get the discount on the gains is simply making things a lot more complicated."
The Australian government is expected to release its views on the tax review early this year. It is currently under review by treasurer Wayne Swan.
