by John Kehoe
September 5, 2025
The tax-free family home is the “elephant in the room” when it comes to intergenerational fairness, arguably contributing more to inequality and unproductive investment than any other concession.
Prosper Australia director of research and policy Tim Helm says the tax exemption on the family home is skewing investment into housing and away from potentially more productive activities such as small business and entrepreneurialism.
“It is causing people to bid up the price of land and houses, instead of putting it into other more productive investments like investing in companies.”
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