With this year’s budget, the Albanese government has delivered a suite of bold tax reforms aimed at improving Australia’s “intergenerational equity” – particularly young people’s access to home ownership.

The reception, however, has been mixed. Some groups have welcomed the government’s proposed changes to wind back generous concessions on capital gains income and negative gearing. In stark contrast, opposition leader Angus Taylor used his budget reply speech to call it an “assault on aspiration”, representing broken promises.

Proposed changes to the way capital gains are taxed have been a particular point of concern. The removal of the 50 per cent capital gains tax discount has not been limited to investment properties – it will apply to other assets, such as shares, too.

That’s led some to warn the changes could actually backfire for young people, particularly those investing in shares to save for a housing deposit or build their wealth.

Separately, startup founders and investors have warned taxing capital gains more will make it less attractive to start or invest in a business in Australia, and harder to attract and retain talent by offering them shares.

So, are this budget’s tax changes really an “assault on aspiration”? The answer is nuanced. And although the government has announced these changes, the legislation hasn’t passed through parliament yet, and further changes could be........

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