Estimation Of Tax Expenditure (e15)

Written by Claude Haiku 4.5 from the extracted text on 16 May 2026. It can miss or misread redacted and scanned pages. Check the source before relying on it.

Treasury documents detailing the 2024-25 Tax Expenditures and Insights Statement reveal that the capital gains tax discount for individuals and trusts (E15)—allowing only 50% of capital gains to be taxed—cost $22.7 billion in revenue foregone in 2024-25. The tax expenditure affected approximately 990,000 people, with 82% of benefits flowing to the top 10% of earners. The estimate increased significantly from the previous year's publication due to a stronger outlook for capital gains in the 2023-24 income year, representing one of the largest variations among tax expenditures. A ministerial submission to Treasurer Jim Chalmers sought approval to release and table the statement, noting that revisions across major expenditures reflected improved wages, capital gains, and interest income projections, partially offset by the Cost of Living Tax Cuts.