Abbie Chatfield

And they're all saying it in this way that I was saying to you before we recorded.

I was with my girlfriends on the weekend and we were talking about the budget.

I was like, oh, I'm talking to Larissa.

And they were like, oh, can you ask her to explain what's happening with capital gains?

Because they were worried that if they bought a primary residence to live in, that it would be affected by capital gains tax.

No.

That's not the case.

They were worried that their rent was going to increase because their landlord would have to pay more every week because of negative gearing.

That's not the case.

Their rent might increase, but that's because of people's greed.

Yes, that's because landlords seeing an opportunity to say, oh, well, the media landscape, the society is thinking this is going to happen.

It's expected of us.

So let's go through capital gains and what's actually happening because I think people don't understand what it is.

Understandably, like how often – if you're a young person, you're not thinking about capital gains tax.

You're thinking if you can afford your rent.

That's right.

So can you explain what the rules were before and what's actually changed?

No, it wouldn't affect if you buy a house, for example, or if you're a small business owner, which we should talk about.

If you buy a house and you are living in that house and you make profit on that house, that is not affected by capital gains tax.

And also this has been grandfathered in as well.