One Nation MP Barnaby Joyce criticized the Labor government's changes to the Capital Gains Tax during a recent interview on Sky News Australia [1].
The dispute centers on the potential economic impact on small enterprises. Joyce said the reforms will increase the tax burden on small businesses and hinder the spirit of entrepreneurship [1, 2].
Speaking with political contributor Chris Uhlmann, Joyce targeted the removal of the existing 50% CGT discount [1]. He described the policy shift as "crazy" and said that it is "not going to work" [2, 3].
"We’ve got to release the – get off the throats of small business with these crazy Capital Gains Tax changes," Joyce said [1].
Joyce said that small business drives entrepreneurship and that the government's approach is flawed. He used a colorful metaphor to describe the situation, saying, "It’s got more hairs than a Greek cook; this is not going to work" [1].
The Labor government has defended the reforms as part of a broader strategy for income tax and CGT adjustments [1]. However, Joyce said the current trajectory unfairly targets the owners of small businesses who provide the backbone of the economy [1, 2].
“"Get off the throats of small business with these crazy Capital Gains Tax changes."”
The clash highlights a fundamental disagreement over tax equity and economic growth. By targeting the 50% CGT discount, the government aims to increase tax revenue from asset sales, but critics like Joyce argue this removes a critical incentive for small business investment and risk-taking.
