Farmers Call for Certainty on Capital Gains Tax Reforms

The National Farmers' Federation is urging a Senate inquiry into proposed capital gains tax reforms to ensure Australian farm businesses are not disadvantaged by the changes.

Public hearings into the Treasury Laws Amendment Tax Reform Bill are continuing this week, with the federation warning the reforms could affect investment decisions and succession planning across the agricultural sector.

NFF President Hamish McIntyre says farming businesses rely on long-term planning, and any changes to capital gains tax settings must support growth, adaptation and intergenerational transfer.

The federation says many family farms are asset-heavy businesses where ownership is transferred gradually over time, rather than through one-off sales, and policy settings need to reflect those realities.

A key priority for the NFF is ensuring small business capital gains tax concessions remain fit for purpose, arguing existing eligibility thresholds have not been updated since 2007 and no longer reflect the scale of many modern farming operations.

The organisation says uncertainty around the proposed reforms risks delaying succession planning and discouraging long-term investment, while calling for the voice of food and fibre producers to remain central to the inquiry process.