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Capital Gains Tax Calculator Australia 2026
Calculate CGT on property, shares, crypto and other assets. Includes the 50% discount, cost base builder, entity comparison and 2026 proposed reform modeller.
โ Property & Sharesโ Crypto Assetsโ 50% CGT Discountโ 2026 Reform Modellerโ Capital Loss Offset
โ ๏ธ 2026 CGT Reform Alert: The Australian government is considering replacing the 50% CGT discount with inflation indexation from 1 July 2026. Use our reform modeller below to see how this could affect your tax liability. Calculate the impact โ
Reviewed by the ozfinancecalc.com.au editorial team ยท Last reviewed: May 2026 ยท Based on current ATO CGT rulesSources: ATO ยท ASIC MoneySmart
๐ Investment Property
๐ Shares & ETFs
โฟ Crypto
๐ผ Other Asset
๐งฎ
CGT Calculator โ Investment Property
๐ Cost Base Builder (What You Paid)
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Total cost base:$677,000
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Agent commission (~2.5%), legal fees, advertising
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Salary, rent, business โ determines your marginal rate
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Carried forward losses from previous years
Determines 12-month CGT discount eligibility
CGT event is contract date, not settlement
๐ค Individual
๐ฆ Super Fund
๐ข Company
๐ Trust
Individual: 50% CGT discount if held 12+ months. Medicare levy applies.
6-Year Absence Rule
Apply main residence exemption for up to 6 years while renting
Joint Ownership (50/50)?
Split gain equally between two owners โ often reduces total CGT
๐ Summary
๐ข Full Breakdown
๐ Tax Brackets
โ ๏ธ 2026 Reform Impact
๐ข Entity Comparison
Per ATO guidance, capital gains are added to your assessable income and taxed at your marginal rate. The 50% discount applies to resident individuals holding assets for 12+ months.
Step
Calculation
Amount
How your capital gain interacts with each tax bracket โ showing exactly where your income sits and the marginal rate applied to each portion of the gain.
Tax Bracket
Rate
Your Income in Bracket
Gain in Bracket
Tax on Gain
โ ๏ธ Proposed 2026 CGT Reform โ Indexation vs 50% Discount
The government is reportedly considering replacing the 50% CGT discount with an inflation indexation model from 1 July 2026. This calculator models both scenarios so you can see the potential impact on your asset sale.
Proposed reform details sourced from publicly reported commentary. No final policy has been announced. Per Stockspot analysis, the calculator assumes any new system begins 1 July 2026. Always consult a registered tax agent before making financial decisions.
Compare your CGT liability across different ownership structures โ the same capital gain can result in very different tax outcomes depending on who holds the asset.
Entity Type
CGT Discount
Taxable Gain
Tax Rate
Estimated CGT
Net Proceeds
Planning tip: For investment properties, the ownership structure significantly affects CGT. A lower-income spouse holding the asset pays less CGT on the same gain due to a lower marginal rate. Always consult a tax adviser before structuring investments.
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๐ผ Selling an Investment Property? Get Expert Advice
CGT on property can be complex โ cost base adjustments, partial exemptions, timing of the contract. A registered tax agent can often legally reduce your CGT liability significantly.
Federal Budget 2026 โ CGT discount changes reported as under consideration. No final announcement made.
1 JUL 2026
Proposed reform start date โ New CGT indexation system reportedly proposed from this date. Applies to gains accrued after this point.
NOW
Main residence remains exempt โ Your principal place of residence is still fully exempt from CGT under current and proposed rules.
2026
ATO compliance focus โ ATO has flagged investment property CGT and crypto as priority compliance areas for 2025-26 tax returns.
๐ก
CGT Minimisation Tips โ Australia 2026
Hold for 12+ months
The 50% CGT discount is the single biggest legal tax reduction available. Selling just one day before 12 months means paying tax on the full gain โ potentially tens of thousands extra.
Maximise your cost base
Every dollar added to your cost base reduces your capital gain. Include stamp duty, legal fees, buyer's agent fees, and all capital improvements. Many investors miss renovation costs paid years earlier.
Offset capital losses
Capital losses from shares or other investments can offset capital gains from property. Losses carry forward indefinitely. Consider timing a loss crystallisation in the same year as a large gain.
Time your sale year
If your income will be lower next year (parental leave, retirement, career break), selling then means the gain is taxed at a lower marginal rate. The CGT event is the contract date โ not settlement.
Joint ownership
If a property is owned jointly, each owner only declares half the gain. If one owner has a lower income or capital losses, joint ownership can significantly reduce total household CGT.
6-year absence rule
If you lived in the property before renting it out, you may treat it as your main residence for up to 6 years. This can eliminate or reduce CGT entirely. Rules are complex โ get specific advice.
๐ Property CGT โ hold 12+ months for 50% discount
๐ Shares & ETFs โ same 50% discount rules apply
โฟ Crypto โ ATO treats crypto as CGT asset
โ
Capital Gains Tax FAQ โ Australia 2026
How is capital gains tax calculated in Australia?
Capital gains tax in Australia is not a separate tax โ it's part of your income tax. When you sell a CGT asset for more than its cost base, the gain is added to your taxable income and taxed at your marginal rate. For assets held over 12 months, resident individuals can apply the 50% CGT discount, halving the taxable gain. Your cost base includes the purchase price plus acquisition costs (stamp duty, legal fees) and capital improvements.
What is the 50% CGT discount and who qualifies?
The 50% CGT discount means you only pay tax on half the capital gain for assets held over 12 months. It applies to Australian resident individuals and trusts. Super funds receive a 33.33% discount. Companies receive no discount but pay a flat 25% company tax rate. The 12-month clock starts the day after you acquire the asset. Per the ATO, selling even one day before 12 months means you miss the discount entirely.
What are the proposed 2026 CGT changes in Australia?
The Australian government has been reportedly considering replacing the 50% CGT discount for individuals with an inflation indexation model โ where only the real (inflation-adjusted) gain is taxed. For assets held over many years in a high-inflation environment, this could significantly increase CGT for property investors. The Stockspot CGT calculator models this as starting 1 July 2026 for gains accrued after that date. No final policy has been confirmed โ use our reform modeller above to compare your outcomes under both scenarios.
Is my main residence exempt from CGT in Australia?
Yes โ your principal place of residence (main home) is generally fully exempt from CGT in Australia. However, partial exemptions apply if you rented it out, used it for business purposes, or didn't live there for the full period of ownership. The 6-year absence rule allows you to treat a property as your main residence for up to 6 years while renting it out, provided you don't treat another property as your main residence at the same time.
Do I pay CGT on cryptocurrency in Australia?
Yes. The ATO treats cryptocurrency as a CGT asset, not a currency. Every time you sell, exchange, or otherwise dispose of crypto, a CGT event occurs. The same rules apply as for shares โ the 50% discount applies if held over 12 months, and the gain is taxed at your marginal rate. The ATO has access to data from Australian crypto exchanges and has been actively pursuing crypto CGT compliance. Keep detailed records of all purchase dates, prices, and disposal details.
Can I offset capital losses against capital gains in Australia?
Yes, but only against capital gains โ not against ordinary income like salary or rent. Capital losses must be applied before the CGT discount is calculated. If you have more losses than gains in a year, the excess carries forward indefinitely to offset future gains. Per the ATO, you should apply losses to non-discounted gains first (assets held under 12 months) before discounted gains, as this produces the lowest overall CGT.
What is the 6-year absence rule for CGT?
The 6-year absence rule allows you to treat your former principal residence as your main residence for CGT purposes for up to 6 years while you're renting it out. This can fully or partially exempt the property from CGT when you sell. Conditions: you must have actually lived in the property as your main residence at some point, you can only have one main residence at a time (with limited exceptions), and you cannot apply the rule if you've chosen another property as your main residence during the absence period.
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How capital gains tax works in Australia (2025โ26)
CGT isn't a separate tax with its own rate. Your net capital gain is added to your taxable income for the year and taxed at your marginal rate (plus the 2% Medicare levy). That's why the same gain can cost very different amounts depending on your other income โ and why timing matters.
The 50% discount is the big one
If you're an individual and you hold an asset for more than 12 months before selling, you only pay CGT on half the gain โ the 50% CGT discount. Sell at 11 months and the entire gain is taxable; sell at 13 months and half of it disappears from your assessable income. For most people, holding past the 12-month mark is the single biggest CGT lever there is.
What's taxed, what isn't
Your main residence is generally exempt from CGT.
Investment property and shares are the usual CGT events.
Capital losses offset capital gains (not your salary) and carry forward to future years.
Your cost base includes purchase price plus buying/selling costs and some holding costs โ it reduces the gain.
Worked example: $40,000 share gain
Say you bought shares for $50,000 and sold for $90,000 โ a $40,000 gain. Held over 12 months, the 50% discount applies: only $20,000 is added to your income. At a 30% marginal rate (+2% Medicare) that's about $6,400 in CGT. Held under 12 months, the full $40,000 is taxable โ roughly $12,800. Same trade, double the tax, just for selling a month too early. The calculator above lets you test both holding periods and income levels.
Ways to legally reduce CGT
Hold for more than 12 months to unlock the 50% discount.
Realise capital losses in the same year to offset gains (tax-loss selling).
Time the sale for a year when your other income (and marginal rate) is lower.
Make a deductible super contribution in the sale year to reduce taxable income.
Keep every cost record โ purchase costs, improvements and selling costs all lift your cost base and shrink the gain.
What rate is CGT in Australia? There's no fixed CGT rate. The net gain is added to your income and taxed at your marginal rate plus the 2% Medicare levy.
How does the 50% discount work? Individuals who hold an asset more than 12 months pay tax on only half the capital gain.
Do I pay CGT on my home? Your main residence is generally exempt, though exceptions apply (e.g., renting it out or using it for business).
Can capital losses reduce my tax? Losses offset capital gains (not salary) and carry forward indefinitely until used.
When do I pay it? CGT is reported in the tax return for the year you sold (the contract date, not settlement, usually triggers the event).
General information only, based on 2025โ26 ATO rules โ not tax advice, and figures are estimates. CGT is complex; confirm your position with a registered tax agent or the ATO.
