Tax Planning
Navigating Australia’s New Minimum Tax Rate for Capital Gains from 1 July 2027
Australia is introducing a **30% minimum tax rate on real capital gains** accruing after 1 July 2027—this article breaks down what this means, who’s affected, and how to plan ahead.
By NomadicTax Research Team • 5-8 min read • June 28, 2026
## What’s changing?
Starting **1 July 2027**, Australia plans to implement a **minimum 30% tax rate** on *real capital gains* that accrue after this date. That is, any capital gains that accumulate from that date forward (even if the asset was acquired earlier) will be subject to this new floor rate. Assets held before that date remain under the old system for gains realised up to that moment. Gains beyond then are split: gains up to 30 June 2027 are taxed under the current rules, while those after fall under the new regime. ([community.ato.gov.au](https://community.ato.gov.au/s/question/a0JMo0000057pEH/p00420353?utm_source=openai))
## Who’s impacted?
- Individuals and entities holding investment properties, shares, or other assets expected to generate capital gains.
- Those who have held assets for many years; gaining after 30 June 2027.
- Investors considering selling assets around that cutoff date.
## How to plan ahead
**1. Timing your disposals**
Consider selling assets before 1 July 2027 if current tax treatment (e.g. discounts) is more favorable, especially for high unrealised gains. If you wait longer, the gain splits and you may face a higher effective rate.
**2. Segmentation of gains**
For assets held before that date, know that only post-30 June 2027 gains are under the minimum rate. This means careful tracking of pre-July 2027 values for tax records will be critical.
**3. Explore deferral vehicles or restructuring**
Using trusts, super-annuation funds, or other entities may provide opportunities to defer or manage realised capital gains. But be alert to changes that may limit benefits under the new regime.
## Practical example
Suppose you bought shares in 2016 for $20,000.
- Their market value on **30 June 2027** is $50,000.
- You sell them on 1 September 2027 for $80,000.
- Gain up to 30 June 2027: $30,000 taxed under old rules.
- Gain after: $30,000 accrues post-30 June 2027 taxed at minimum 30%.
## Key takeaways
- Record the market values of all capital assets as of 30 June 2027.
- Prioritize transactions in the 2026-27 tax year when old rules may still offer better outcomes.
- Monitor prospective legislation—this measure is *proposed* (not yet law). Confirm final text before making big tax decisions.
**Stay tuned:** As of now, this rule is part of Budget 2026 statements—and not yet enacted. You’ll want to follow parliamentary progress to ensure your plans align with final legislation.
**Action items:**
- Get valuations or appraisals done by mid-2027.
- Talk to your accountant or advisor about switching entity structures if needed.
- Keep detailed records of transactions and asset ownership dates to delineate pre- and post-30 June gains.
By being proactive, many taxpayers can manage their exposure under the new minimum rate and retain flexibility going forward.