Poor explanations of the budget’s tax changes have confused mum and dad traders across Australia, and senior ministers are worried about the political pain the government will endure if it is drawn out.

Australia’s biggest business groups warn of an increasingly unpredictable tax system as the backlash against the capital gains tax overhaul continues.

Labor’s pre-election promise of a $1,000 standard tax deduction and $250 ‘working Australians tax offset’ will be included in the draft laws