Australian Treasurer Jim Chalmers has signaled that existing property investors might not face increased taxes in the upcoming budget, as he aims to acknowledge past investment decisions. Proposed changes to the Capital Gains Tax (CGT) may involve modifying the current flat 50% discount on profits from asset sales held for over a year, potentially reverting to the pre-1999 model where capital gains are adjusted for inflation. Chalmers noted that any reforms would not generate significant revenue, with estimates suggesting that halving the CGT discount could yield around $6.5 billion AUD annually. However, scaling back tax breaks for landlords may not necessarily reduce home prices but could shift home ownership towards owner-occupiers. Economic forecasts indicate that changes could decrease home prices by 1% to 4% while increasing home ownership rates by three percentage points. Chalmers reiterated the government's commitment to addressing intergenerational issues in the tax system and the housing market, emphasizing that increasing housing supply is essential for making homes more affordable.