1 July 2027 Captial Gains Tax

From 1 July 2027 the reforms introduce a minimum 30% tax rate on captial gains

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Australia's Capital Gains Tax (CGT) rules are undergoing significant reform. Under legislation passed in 2026, the long-standing 50% CGT discount for individuals and trusts will be replaced, from 1 July 2027, with an inflation-based indexation system. Rather than automatically reducing a capital gain by half, the new rules aim to tax only the "real" gain after allowing for inflation. The reforms also introduce a minimum 30% tax rate on capital gains in many circumstances.

This means owners of investment properties, shares and businesses should consider obtaining professional tax and valuation advice before the commencement date.

The new rules represent one of the most significant changes to Australia's CGT system in over two decades. As the tax consequences of selling an asset may differ substantially from the current regime, investors, business owners and property owners should review their investment strategies and seek professional advice before disposing of major assets.