Australia’s property tax overhaul unpopular with voters, polls show

SYDNEY, May 18 (Reuters) – Australia’s centre-left government is facing voter blowback after breaking election promises to roll out the biggest changes to investment taxes in decades in its latest budget, according to two closely watched polls.

• The government last week said it would limit capital gains tax discounts and negative gearing on assets to address intergenerational inequity.

• The policies have been criticised for skewing home ownership towards older and wealthier investors.

• A Newspoll survey conducted after the budget’s release found 47% of voters believed it would be bad for the economy.

• Some 60% of voters said the housing measures were a “step in the wrong direction” or would “make no difference.”

• The budget had a minus 25 net approval rating and was the most unpopular in decades, the poll, which surveyed 1,252 voters, said.

• But the Labor government’s primary vote remained unchanged at 31%. Prime Minister Anthony Albanese was voters’ preferred leader, with his approval rating also steady at minus 17%.

• Opposition leader Angus Taylor’s approval rating improved one percentage point to minus 12% but support for the conservative-coalition opposition dropped one point to 20%. The far-right One Nation party’s vote increased 3 points to 27%.

• A separate Resolve poll that surveyed 1,800 voters found the budget dented Labor’s primary vote, falling 3 points to 29%.

• Support flowed to One Nation, up 2 points to 24%, instead of the coalition, which polled at 23%.

• Taylor became voters’ preferred prime minister, leading Anthony Albanese 33% to 30%.

• The budget was unpopular among older voters, property investors and property owners, with about 40% in each category saying Labor’s broken promises damaged their view of the party.

• Younger Australians and renters were less hostile to the measures, the poll said.

• Tax reform around property investment in Australia is politically risky. Labor vowed it would not change housing taxes during its 2025 election campaign, before securing a second term in a landslide win.

(Reporting by Christine Chen in Sydney; Editing by Thomas Derpinghaus)