Negative Gearing Calculator
Project the annual tax saving from a negatively-geared investment property over 1-20 years, with the Budget 2026 regime branches built in.
Capital Gains Tax Calculator
Estimate CGT payable on the sale of an Australian residential investment property. Models the current 50% individual / 33⅓% SMSF discount and the proposed Budget 2026 reform (cost-base indexation plus a 30% minimum-tax floor from 1 July 2027).
When you bought
When you sell
Your tax position
Estimated CGT payable
$40,700
Net cash after tax: $179,300
- Cost base
- $755,000
- Net sale proceeds
- $975,000
- Capital gain
- $220,000
- Discount applied
- 50%
- Taxable gain
- $110,000
- Current law: 50% CGT discount applied (held over 12 months, individual owner).
- Estimate excludes Medicare levy (2%) and any prior-year capital losses.
How this CGT calculator works
Current-law method. Capital gain = (sale price − sale costs) − (purchase price + acquisition costs + capital improvements). For an individual who held the property over 12 months, half of the gain is taxable at the marginal rate; for an SMSF, two-thirds are taxable; for a company, the full gain is taxable. Held under 12 months: the full gain is taxable regardless of owner type.
Budget 2026 reform method. From 1 July 2027 the proposed regime replaces the 50% discount with cost-base indexation. The cost base is uplifted by cumulative CPI over the post-boundary share of the holding period, and the resulting real gain is taxed at the marginal rate — with a 30% minimum-tax floor for marginal rates under 30%. Income-support recipients are exempt from the floor under the draft policy.
Transitional split. For an asset held across the 1 July 2027 boundary, the capital gain is apportioned by holding days either side. The pre-boundary share retains the discount method; the post-boundary share uses indexation. A property bought in 2022 and sold in 2030 would have its gain split roughly 60/40 pre/post-boundary at typical hold patterns.
What this calculator ignores. Main-residence exemption (full or partial via the six-year rule), Medicare levy (2%), Low Income Tax Offset, prior-year capital loss carry-forwards, and progressive bracket stacking on a large gain. For an authoritative figure on a real sale, talk to a registered tax agent. For further reading, see CGT indexation vs discount — worked examples and CGT discount changes in the 2026 Budget explained.
Frequently asked questions
Does the 50% CGT discount still apply after 1 July 2027?
Under the draft Budget 2026 reform, the discount continues to apply to gains accrued before 1 July 2027. Gains accrued after that date use cost-base indexation and a 30% minimum-tax floor instead. For assets held across the boundary, the gain is apportioned by holding days.
How is the indexed cost base calculated?
The cost base is uplifted by cumulative CPI over the post-1-July-2027 share of the holding period. This calculator uses a constant annual inflation assumption (default 2.5%). In practice, the ATO will likely use the published CPI All Groups index for the relevant quarters.
When does the 30% minimum-tax floor apply?
Only to the post-1-July-2027 share of the gain, and only when the seller's marginal tax rate would otherwise be below 30%. Income-support recipients (Centrelink-administered payments) are exempt under the draft policy.
Can a capital loss reduce my CGT?
Yes. Capital losses (current or carried forward from previous years) reduce the capital gain dollar-for-dollar before the discount is applied. This calculator doesn't model carry-forward losses — subtract them from the capital-gain figure manually if you have them.
What about my main residence — is that exempt?
Yes, the main-residence exemption removes CGT on the home you live in. Partial exemptions apply for periods the property was rented (the six-year absence rule covers up to six years of rental treatment as main residence). This calculator models an investment property only.
Related reading
About this calculator
This estimate ignores the main-residence exemption (full or partial / six-year rule), Medicare levy (2%), and prior-year capital losses. It treats the gain as if it were the only addition to your taxable income at the chosen marginal rate — in reality, a large gain may push you into a higher bracket. The Budget 2026 reform is a draft policy and may change before legislation. Talk to a registered tax agent before relying on a figure.