--- title: New CGT Rules from 1 July 2027 description: Prepare for changes for the new CGT rules from 1 July 2027 in Australia. Understand the impact of asset valuation on your tax obligations and plan ahead. image: https://insights.wlm.com.au/hubfs/New%20CGT%20Rules%20from%201%20July%202027.png --- [![WLM\_Logo\_RGB\_Orn50](https://insights.wlm.com.au/hs-fs/hubfs/WLM_Logo_RGB_Orn50.png?width=521&height=169&name=WLM_Logo_RGB_Orn50.png "WLM_Logo_RGB_Orn50")](http://wlm.com.au/) - [About](https://www.wlm.com.au/about/) - [Services](https://www.wlm.com.au/services/) - [Tax & Compliance](https://www.wlm.com.au/services/tax-and-compliance/) - [Strategy & Advice](https://www.wlm.com.au/services/strategy-and-advice/) - [Clients](https://www.wlm.com.au/clients/) - [Construction & Trades](https://www.wlm.com.au/clients/construction/) - [Family Business](https://www.wlm.com.au/clients/family-business/) - [Insurance & Financial Services](https://www.wlm.com.au/clients/insurance-and-financial-services/) - [Renewable Energy & Environment](https://www.wlm.com.au/clients/renewable-energy-and-environment/) - [Service-based & Other Business](https://www.wlm.com.au/clients/service-based-and-other-business/) - [Insights & Case Studies](https://insights.wlm.com.au/blog) - [Blog](https://insights.wlm.com.au/blog) - [Buying a property with a business partner](https://explore.wlm.com.au/buying_a_property_with_a_business_partner_download) - [How to minimise tax & risk with business structure](https://explore.wlm.com.au/business-structure-whitepaper-download) - [Contact](https://www.wlm.com.au/contact/) [Login](https://clientlogin-us2.karbonhq.com/4Frhz6cPZq6r) - [About](https://www.wlm.com.au/about/) - [Services](https://www.wlm.com.au/services/) - [Tax & Compliance](https://www.wlm.com.au/services/tax-and-compliance/) - [Strategy & Advice](https://www.wlm.com.au/services/strategy-and-advice/) - [Clients](https://www.wlm.com.au/clients/) - [Construction & Trades](https://www.wlm.com.au/clients/construction/) - [Family Business](https://www.wlm.com.au/clients/family-business/) - [Insurance & Financial Services](https://www.wlm.com.au/clients/insurance-and-financial-services/) - [Renewable Energy & Environment](https://www.wlm.com.au/clients/renewable-energy-and-environment/) - [Service-based & Other Business](https://www.wlm.com.au/clients/service-based-and-other-business/) - [Insights & Case Studies](https://insights.wlm.com.au/blog) - [Blog](https://insights.wlm.com.au/blog) - [Buying a property with a business partner](https://explore.wlm.com.au/buying_a_property_with_a_business_partner_download) - [How to minimise tax & risk with business structure](https://explore.wlm.com.au/business-structure-whitepaper-download) - [Contact](https://www.wlm.com.au/contact/) # News, views and more ![Charley Tarchichi](https://insights.wlm.com.au/blog/Charley%20Tarchichi) **Charley Tarchichi** 13 November 2026 — 4 min read ### Share [mailto:?subject=New%20CGT%20Rules%20from%201%20July%202027&body=https://insights.wlm.com.au/blog/new-cgt-rules-from-1-july-2027new-cgt-rules-from-1-july-2027-why-a-30-june-2027](mailto:?subject=New%20CGT%20Rules%20from%201%20July%202027&body=https://insights.wlm.com.au/blog/new-cgt-rules-from-1-july-2027new-cgt-rules-from-1-july-2027-why-a-30-june-2027) [mailto:?subject=New%20CGT%20Rules%20from%201%20July%202027&body=https://insights.wlm.com.au/blog/new-cgt-rules-from-1-july-2027new-cgt-rules-from-1-july-2027-why-a-30-june-2027](mailto:?subject=New%20CGT%20Rules%20from%201%20July%202027&body=https://insights.wlm.com.au/blog/new-cgt-rules-from-1-july-2027new-cgt-rules-from-1-july-2027-why-a-30-june-2027) ![New CGT rules from 1 July 2027](https://insights.wlm.com.au/hubfs/New%20CGT%20Rules%20from%201%20July%202027.png) ## New CGT Rules from 1 July 2027 The way capital gains tax (CGT) is calculated in Australia is about to change, and one date now matters more than almost any other: 30 June 2027. If you own an investment property, run a business, or hold assets inside a family group, the value of those assets on that day could decide how much tax you pay when you eventually sell. Here is what is changing, why the valuation matters, and what we recommend you do now. ### What is changing From 1 July 2027, the 50% CGT discount is being replaced by a new system of cost base indexation. These changes are law, having passed Parliament in 2026, with some of the finer details still being finalised. The practical difference is simple: - Until now: if you held an asset for more than 12 months, you were taxed on only half the gain. - From 1 July 2027: that 50% discount no longer applies to growth after this date. Instead, your cost base is indexed for inflation, which shelters part of the gain, but usually by less than the old discount. Importantly, the discount is not disappearing for the years you have already owned the asset. That is where 30 June 2027 comes in. ### Why 30 June 2027 is the date that counts To bridge the old rules and the new ones, the law treats you as if you sold every asset you own at its market value on 30 June 2027, and bought it back at the same value the next day. You do not actually sell anything, and you do not pay any tax at that point. What this does is split your eventual capital gain into two parts: - **Growth up to 30 June 2027**: this keeps the 50% discount. - **Growth from 1 July 2027 until you actually sell**: this is taxed under the new indexation rules, and for some individuals a minimum effective tax rate of 30% can apply to this portion. The higher the value you can support at 30 June 2027, the more of your gain sits in the discounted half, and the less tax you pay when you sell. For many assets, that single figure is worth tens of thousands of dollars. ### Who should be paying attention This affects far more than property investors. You should be thinking about a 30 June 2027 valuation if you: - own a rental or investment property - own a business, or hold business premises, goodwill or shares in a private company - hold assets inside a family trust or family group - own assets you have held since before 20 September 1985 (these “pre-CGT” assets lose their exempt status under the new rules) Business owners have an added reason to plan ahead. From 1 July 2027, the turnover threshold for the small business 50% active asset reduction rises from $2 million to $10 million, bringing more businesses within reach of the small business CGT concessions. ### Getting the valuation right If you hold an asset that is hard to value, independent and well-documented evidence of its 30 June 2027 value is your best protection. The ATO can challenge a figure that is not properly supported, and a strong valuation prepared at the right time is far more persuasive than an estimate made years later when you sell. A few practical points: - **You do not have to get the valuation done on 30 June 2027 itself.** A valuation can be prepared afterwards, as long as it reflects the market value on that date and is ready by the time you lodge the return for the year you sell. The sooner it is done, the stronger the evidence. - **There is a fallback method.** If you do not get a valuation, the law allows a straight-line apportionment that spreads your growth evenly across the whole ownership period. It is simpler, but it often produces a lower 30 June 2027 value, and a higher tax bill, especially for assets that have grown strongly in recent years. - **Not every asset needs a formal valuation.** Listed shares and managed funds already have a market price. Low-value assets may not justify the cost. And valuations prepared for finance or reporting should not simply be reused, because they were prepared on a different basis. ### This is not a deadline to sell It is worth being clear: 30 June 2027 is a valuation and planning date, not a deadline to sell. We do not recommend rushing a sale for tax reasons alone. The right time to sell is driven by your plans, not the calendar. What matters is that you capture good evidence of value before the rules change. ### What we recommend Now is the time to take stock. We recommend you: 1. List the assets you own that may be affected, including property, business interests and pre-CGT assets. 2. Talk to us about which of those are worth valuing, and when. 3. Keep the records that support value, such as improvements, income and comparable sales. The clients who plan ahead will be the ones who keep the most of their gains. If you would like us to review your position and map out a valuation plan, get in touch on (02) 9221 7777 or contact us [here](https://www.wlm.com.au/contact/). We are not just accountants - we are your dedicated business partner, and we are here to help you plan for a successful future. *This article is general information only and does not take your personal circumstances into account. Please speak to us before acting on it.* [![Talk to us](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/6037207/interactive-365318344176.png)](https://insights.wlm.com.au/hs/cta/wi/redirect?encryptedPayload=AVxigLKx02lcCizMQQS0b84OH2j1G3GtKaFkoIP53qi9gSYLfV2elWT7ik4AY3rKsmHB0s18bd1Gjt9ofBCIjGpw0u1IvUcJs8sDH4HL%2BGy%2BrRrs0stxwowP%2BUeeAsIPTTWVCASiPQXmPZDG6HZJGRhQIbNP4a6K%2Bcx7NMutOwXrj1woUu0SaC8%2BJwqRLP4sv%2Br4CexRNW5j&webInteractiveContentId=365318344176&portalId=6037207)   [![Under the ledger podcast - buying a business](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/6037207/a2ed114c-501b-4694-8820-a54124bb6321.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/6037207/a2ed114c-501b-4694-8820-a54124bb6321) ##### Make a comment [Next](https://insights.wlm.com.au/blog/protect-the-break-a-cash-flow-plan-for-the-christmas-shutdown) ## Wealth matters. Ask us how we can help you boost yours. [Contact WLM Financial](http://wlm.com.au/contact/) ## Subscribe Stay up to date with tax and accounting news, and subscribe to our newsletter. [![WLM\_Logo\_RGB\_Orn50](https://insights.wlm.com.au/hs-fs/hubfs/WLM_Logo_RGB_Orn50.png?width=195&height=63&name=WLM_Logo_RGB_Orn50.png)](http://wlm.com.au/) ###### Contact WLM Financial Services Pty Limited Level 20, 56 Pitt Street, Sydney NSW 2000 GPO Box 5025, Sydney NSW 2001 **T** [02 9221 7777](tel:292217777) ###### Social - - - - - [TAX & COMPLIANCE](https://www.wlm.com.au/services/tax-and-compliance/) - [Business Tax](https://www.wlm.com.au/services/tax-and-compliance/business-tax/) - [Company Secretarial](https://www.wlm.com.au/services/tax-and-compliance/company-secretarial/) - [Self-managed Super Funds](https://www.wlm.com.au/services/tax-and-compliance/self-managed-super-funds/) - [Personal Taxes](https://www.wlm.com.au/services/tax-and-compliance/personal-taxes/) - [Back-Office services](https://www.wlm.com.au/services/tax-and-compliance/back-office-services/) - [AFSL Accounting](https://www.wlm.com.au/services/tax-and-compliance/afsl-accounting/) - [STRATEGY & ADVICE](https://www.wlm.com.au/services/strategy-and-advice/) - [Business Systems](https://www.wlm.com.au/services/strategy-and-advice/business-systems/) - [Outsourced CFO](https://www.wlm.com.au/services/strategy-and-advice/outsourced-cfo/) - [Business Sales](https://www.wlm.com.au/services/strategy-and-advice/business-sales/) - [International Business](https://www.wlm.com.au/services/strategy-and-advice/international-business/) - [Our Trusted Advisor Network](https://www.wlm.com.au/services/strategy-and-advice/trusted-advisor-network/) - [CLIENTS](https://www.wlm.com.au/clients/) - [Construction & Trades](https://www.wlm.com.au/clients/construction/) - [Family Business](https://www.wlm.com.au/clients/family-business/) - [Insurance Underwriting, Insurance Brokers & Financial Services](https://www.wlm.com.au/clients/insurance-and-financial-services/) - [Renewable Energy Projects & Asset Managers](https://www.wlm.com.au/clients/renewable-energy-and-environment/) - [Service-based and Other Business](https://www.wlm.com.au/clients/service-based-and-other-business/) - [OTHER](http://wlm.com.au/about/) - [Resources](https://insights.wlm.com.au/blog) - [About](http://wlm.com.au/about/) - [Careers](https://explore.wlm.com.au/careers) - [Contact](https://www.wlm.com.au/contact/) - [Login](https://clientlogin-us2.karbonhq.com/4Frhz6cPZq6r/Identity/Account/Login?token=) - [Privacy Policy](http://wlm.com.au/privacy-policy/) ###### [Insights](https://insights.wlm.com.au/blog) ###### Legal Notices The information contained in the WLM website, has been prepared from a wide variety of sources, which WLM, to the best of its knowledge and belief, considers accurate. WLM does not however warrant the accuracy of the information and forecasts possibly contained in the WLM website. No visitor to the site should rely upon the information and/or recommendations contained in the WLM website. WLM strongly recommends that all prospective purchasers of securities should make their own inquiries and seek professional advice before acting on any of the information contained in the WLM website. Should you wish to seek advice, please feel welcome to [contact us](http://wlm.advisclient.com.au/contact/). ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Charley Tarchichi", "url" : "https://insights.wlm.com.au/blog/author/charley-tarchichi" }, "dateModified" : "2026-11-12T22:17:32.631Z", "datePublished" : "2026-11-12T22:17:32.000Z", "headline" : "New CGT Rules from 1 July 2027", "image" : [ "https://insights.wlm.com.au/hubfs/New%20CGT%20Rules%20from%201%20July%202027.png" ], "mainEntityOfPage" : { "@id" : "https://insights.wlm.com.au/blog/new-cgt-rules-from-1-july-2027new-cgt-rules-from-1-july-2027-why-a-30-june-2027", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://insights.wlm.com.au/hubfs/WLM_Logo_RGB_Orn50.png" }, "name" : "WLM Financial Services Pty Ltd" } } ```