The enacted 2027 CGT framework.

For established residential property acquired on or after 1 July 2027 and held for more than 12 months, cost-base indexation generally replaces the historic 50% discount. Each eligible cost-base element is indexed from its own expenditure quarter, while third-element ownership costs are not indexed. A free choice between the two methods is not available for an ordinary established property. A choice can remain for a statutorily eligible new residential dwelling, but this calculator requires that eligibility to be confirmed before showing it.

The Treasury Laws Amendment (Tax Reform No. 1) Act 2026 received assent on 26 June 2026, and Schedule 1 commenced on 1 July 2026. The new CGT framework applies to relevant events from 1 July 2027. Eligible assets held for more than 12 months can use indexation for gains accruing from that date. Assets acquired before the application date require a split between the earlier component and the indexed later component, generally using a market value immediately before 1 July 2027 or a prescribed apportionment method.

An ordinary established asset acquired from 1 July 2027 is not shown a choice between the historic 50% discount and indexation. If you confirm that an asset is an eligible new residential dwelling, the tool shows both statutory choices but does not recommend one from taxable gain alone. Tax payable depends on losses, deductions, other income and the minimum-tax calculation, so the decision belongs in a full accountant-prepared calculation.

No. This is a general estimate only: it doesn't account for your full circumstances, other income, capital losses carried forward, main residence exemptions or other CGT events in the same year, any of which can change the outcome materially. Always confirm the numbers with your accountant before lodging, and if the calculation rests on a market value, make sure that figure is evidenced rather than estimated, that's what a CGT valuation is for.

Start with capital proceeds less the relevant cost base, then apply the correct dated regime, capital losses and any available exemption. For relevant post-1 July 2027 gains, the enacted framework can also impose a 30% minimum tax after comparing the statutory amount with basic income tax already attributable to the gain. Taxable gain and tax payable are different figures. This calculator keeps them separate and only estimates a minimum-tax top-up when both basic income tax liability inputs are supplied.

More than the purchase price. Your CGT cost base also includes buying costs (stamp duty, conveyancing fees, buyer's agent fees, building and pest inspections), selling costs (agent's commission, marketing, conveyancing), and capital improvements like renovations, extensions and structural repairs, though amounts you've already claimed as deductions, such as capital works depreciation, generally come back out. Every dollar of cost base is a dollar off the taxable gain, so gather the records from both ends of the ownership before you calculate anything, missing receipts are the most expensive kind.

Usually not, your principal place of residence is generally exempt from CGT for the period you genuinely live in it. The complications start when a property does double duty: renting it out, running a business from it, or holding it alongside another 'main residence' can all create a partial liability, apportioned over time or floor area. The six-year absence rule can preserve the exemption while you rent your home out, but only for one property at a time. If your home has ever earned income, get advice before assuming the exemption covers everything.

These transitions are exactly where valuations meet CGT. When a home you've lived in first earns rent, the tax rules generally reset its cost base to market value on the day it becomes income-producing, so future CGT is measured from that figure, not your old purchase price. Moving into a former rental works in reverse: the gain is typically apportioned between the rental and residence periods. Either way, an evidenced market valuation dated to the changeover, obtainable retrospectively if the date has passed, is what substantiates the number with the ATO.

Capital losses can reduce capital gains, and unapplied net capital losses can generally carry forward. Ordering and category rules matter, especially where a transaction has both deferred pre-commencement and post-commencement components. The calculator accepts a simple loss input for the supported scenario, but it refuses complex transitional losses and does not allocate losses across multiple CGT events. An accountant should prepare that ordering calculation.

Whenever the calculation turns on a market value rather than an actual sale price, yes. The common triggers: a home becoming a rental (cost-base reset), inheriting property, transferring between related parties or into or out of a trust or SMSF, and separating jointly owned assets. The ATO expects a defensible, evidence-based valuation for these events, not a real-estate appraisal or an online estimate, and it can be prepared retrospectively, dated to the event, if the moment has already passed. That evidenced figure is what your whole CGT calculation stands on.