Labor demands Facebook acts on fake posts

The Labor Party has written to Facebook demanding it take action on a wide-spread campaign spreading lies about a "death tax".

The party believes accounts on the social media platform have been sharing a link to a real press release issued by Treasurer Josh Frydenberg in January, alongside claims Labor and the Greens would create a 40 per cent inheritance tax, the Herald Sun reports.

Labor says the posts are peddling false claims, the party does not have a policy to introduce such a tax, and the posts are part of an orchestrated campaign.

The Coalition told the newspaper it had no knowledge of the campaign.