As the coalition prepares to unveil its support measures for small businesses on Wednesday, ministers brushed off concerns entrepreneurs could take their investments overseas due to the changes.
The federal budget outlined changes to the capital gains tax, which would replace a 50 per cent discount for assets held for more than a year to a rate based on inflation.
Federal minister Sam Rae said most businesses won't be subject to the capital gains measures.
"Ninety per cent of small businesses will have their quite generous capital gains arrangements preserved, there's no change to that," he told Nine's Today program on Wednesday.
"This is a fairly small number of businesses and we have made clear that we'll work with the start-up sector in order to get the settings right to encourage investment."
Infrastructure Minister Catherine King said she was not surprised by the backlash in some sectors of the community.
"It is going as we expected it to do. We will introduce legislation into the parliament, work our way through that, as we usually do in our systematic way.," she told ABC Radio.
"It's to be expected that there will be people and commentary about from people who are concerned about those changes."
It comes as shadow treasurer Tim Wilson will give his budget reply speech at the National Press Club, where he will promise to work with small businesses on greater protections.
The coalition has pledged to consult on a small business laws, which would enshrine a single definition for a small business, and a provision that each new law require a small business regulatory impact statement to provide a pathway for feedback.
Mr Wilson denied the plan would impose more regulation.
"It's focused on how do we empower small business, particularly around a pathway to be able to get ahead," he told reporters in Canberra.
"(The policy) is going to make sure that when something impacts small business, they get to have their say."
Nationals leader Matt Canavan will also deliver a speech, arguing at the Rural Press Club the government's new tax settings are a "fundamental breach" of Australians' rights, given they undo election promises made by the Albanese government.
"The Labor Party has no mandate for these taxes. They should be opposed in the parliament for that reason alone," he will say.
The government is expected to bring forward its laws on budget measures like capital gains tax and negative gearing changes in coming weeks.
The decision by the government to change how investments are taxed alongside housing took some by surprise, including 31-year-old Holly Nebauer.
She and her fiancé are hoping to secure their forever home in Bungendore, about 40km out of Canberra.
It will be the third property the couple has bought since 2020, having sold their first one. They expect to list their current house on the market soon.
Their first home, a two-bedroom, two-bathroom townhouse in Canberra's north, cost $466,000 at the start of the pandemic and sold for almost $200,000 more 18 months later.
Ms Nebauer says she had invested in the share market as a way to buy property and is now coaching her little sister to do the same, despite federal budget changes.
"We knew as a society that something had to change," she told AAP.
"I imagine I'll still be making more on my investments than I would be if I had all my money sitting in the bank."
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