Prime Minister to move quickly on passing CGT, negative gearing changes

Prime Minister Anthony Albanese has indicated that Labor will introduce legislation for the changes to the capital gains tax discount and negative gearing in a couple of weeks time when parliament sits in early June.

"The first legislation we'll have will be in a couple of weeks’ time when parliament sits," Albanese said in a press conference this week.

Albanese said it would take longer to develop the legislation on the taxation changes to trusts but said the government would aim to introduce it this year as well.

The Prime Minister outlined there would also be a brief period of consultation with start-up businesses before the legislation for the capital gains tax reforms were introduced.

"In the budget papers we said that for startups, for example, we'll have a period of consultation. It was not possible to have as much consultation before budget night as occurs with tax policy. And we're using this period of this week, next week as well, to have that consultation with startups," said Albanese.

"We're big supporters of startups and venture capital. There's a range of other measures in the Budget as well to provide additional support for small business, for startups, for that research investment as well. So, we'll work through those issues over the next brief period before we introduce the legislation."

Treasurer Jim Chalmers said there were issues particular to the start-up sector which would be the focus of the consultation.

"We’re consulting with the sector in good faith to see if there’s a way through that we can both live with," said Chalmers.

The Australian Financial Review reported that the Greens, who currently hold the balance of power in the Senate, were expected to pass the tax increased.

Independent member for Wentworth Allegra Spender said the impact of the changes to capital gains tax on startups was one of her key concerns about the budget.

Spender said she was meeting with the technology and venture capital sectors and was speaking to government about potential issues with the measure.

"This is really important, we have to get this right, because it has to be about fairness and prosperity and if we don't support the startup sector, we're going to fail on prosperity," she said.