CBA boss says reconsider applying CGT change to non-passive assets

Commonwealth Bank of Australia Chief Executive Matt Comyn has called on the federal government to reconsider the application of proposed Capital Gains Tax (CGT) changes to non-passive assets, warning of potential stifling of productive investment. Addressing the implications of the current tax trajectory, Mr Comyn suggested that a more targeted approach is necessary to ensure the nation’s economic engine remains well-oiled during a period of sluggish growth.

The intervention from the nation’s largest mortgage lender underscores a mounting tension between Canberra’s revenue-raising ambitions and the private sector’s appetite for risk. Industry leaders argue that taxing active business assets at the same rate as passive investments could discourage entrepreneurs from scaling their operations or investing in new ventures that drive employment.

“Taxing the foundations of enterprise with the same brush as passive wealth risks decoupling Australia’s fiscal policy from its long-term economic productivity.”

As the Treasury continues to refine its legislative framework, the banking sector’s critique signals a significant hurdle for the government’s reform agenda. The Treasurer now faces the delicate task of balancing budgetary requirements against the need to maintain Australia’s reputation as a competitive destination for active capital and business development.