Breakfast Wrap: Why this sector is alarmed by the tax changes

Start-up founders are calling on the federal government to rethink ending the 50% capital gains tax discount - over fears it will cripple the sector.The newly proposed inflation indexation model - announced in the federal budget last week - has been called the most punitive tax treatment on start-up equity in the western world by some in the sector.We hear from all sides on the debate, including the federal government and an independent long calling for tax reform. Then, we get the latest on the Diphtheria outbreak from South Australia. And we cross to north London as Arsenal take out the EPL. Recap the morning's news, politics and global affairs with the Breakfast Wrap.