Capital Gains Tax Calculator Australia (2025–26)

Capital gains tax (CGT) is one of the most common tax obligations for Australians who sell an investment property, shares, ETFs, crypto or other assets for more than they paid. Despite the name, Australia does not have a separate "CGT rate" — your capital gain is added to your taxable income and taxed at your marginal tax rate.

This guide explains how CGT works, who pays it, the methods available to reduce it and the most common mistakes people make.

Calculate now: Use the Capital Gains Tax Calculator to estimate your CGT on property, shares, crypto and other assets.

How capital gains tax works in Australia

When you dispose of a CGT asset (sell, gift, transfer or lose it), you may make a capital gain or a capital loss. A capital gain occurs when the capital proceeds (what you receive) exceed the cost base (what you paid, plus associated costs).

The basic formula:

Step	Formula
1. Capital gain	Sale price − Cost base
2. Apply capital losses	Capital gain − Current + prior losses
3. Apply CGT discount (if eligible)	Net gain × discount rate
4. Add to taxable income	Other income + net capital gain
5. Tax at marginal rate	Incremental tax on the added amount

The key point: losses are applied before the discount, which changes the final outcome significantly.

Who pays capital gains tax?

CGT applies to Australian residents (and some foreign residents) who dispose of a CGT asset. The rules differ by entity type:

Entity type	CGT discount	Tax rate
Individual	50% (if held 12+ months)	Marginal rate (0%–45% + Medicare)
SMSF	33.33% (if held 12+ months)	15% fund rate
Company	No discount	25% or 30% company rate
Trust	50% flows to beneficiaries	Depends on distribution

Important: Companies never receive the CGT discount. The full capital gain is taxed at the company rate.

The 50% CGT discount

The most commonly used concession. If you are an Australian resident individual and you held the asset for at least 12 months, only half the net capital gain is added to your taxable income.

How the 12-month rule works

The clock starts from the acquisition date (usually settlement, not contract date for property)
The clock stops at the CGT event date (usually contract date for a sale)
You must have held the asset for at least 12 months — exactly 12 months is not enough

Example

You bought shares for $50,000 and sold them for $80,000 after 18 months. No capital losses.

Step	Amount
Capital gain	$30,000
50% discount	−$15,000
Net capital gain (added to income)	$15,000

Calculate your scenario: Try the Capital Gains Tax Calculator with your actual numbers.

CGT cost base — the 5 elements

Your cost base is not just the purchase price. The ATO defines five elements:

Purchase price — what you paid to acquire the asset
Incidental costs of acquisition — stamp duty, legal fees, agent fees, brokerage
Non-capital costs of ownership — costs that are not tax-deductible (some asset types)
Capital expenditure — improvements, renovations, additions that increase value
Capital costs to preserve title — legal costs defending or preserving your ownership

For rental property, capital works deductions (Division 43) you have claimed must be subtracted from the cost base. This is one of the most commonly missed adjustments.

Learn more: Read the full CGT Cost Base Explained guide.

CGT by asset type

Capital gains tax on property

Investment property is the most common CGT scenario in Australia. Key points:

Your main residence is generally exempt from CGT
Cost base includes stamp duty, legal fees, renovations and agent commissions
Capital works deductions reduce your cost base
The 6-year absence rule may apply if you rented out a former home

Property guide: See Capital Gains Tax on Property for a detailed walkthrough.

Capital gains tax on shares and ETFs

Shares, ETFs and managed funds follow the same CGT rules:

Cost base includes purchase price plus brokerage fees
The 50% discount applies if held over 12 months
Capital losses from other share sales can offset gains
DRP (dividend reinvestment plan) shares have their own cost base

Shares guide: See Capital Gains Tax on Shares for parcels, brokerage and loss strategies.

Capital gains tax on crypto

The ATO treats cryptocurrency as a CGT asset:

Selling, trading, gifting or converting crypto triggers a CGT event
Exchange fees form part of the cost base
The 50% discount applies if held over 12 months
Personal use crypto under $10,000 may be exempt

Crypto guide: See Capital Gains Tax on Crypto for ATO rules and common scenarios.

Capital losses

Capital losses can reduce your capital gains, but they cannot be deducted against salary, wages or other income.

Key rules:

Current-year losses are applied first, before any CGT discount
Carried-forward losses from prior years can also be applied
You must apply losses before the discount — the order matters
Unused losses carry forward indefinitely until used

Indexation method (pre-21 September 1999)

If you acquired an asset before 11:45 am on 21 September 1999, you can choose between:

The 50% CGT discount method
The indexation method (adjusting cost base for CPI inflation up to September 1999)

You choose whichever gives the lower taxable gain. The calculator compares both methods automatically for eligible assets.

Methods guide: See CGT Discount & Indexation Methods for worked examples comparing both approaches.

Main residence exemption

Your family home is generally exempt from CGT if:

You lived in it as your main residence
You did not use it to produce income (e.g. renting it out)
You are an Australian resident

Partial exemptions may apply if you rented part of it, used it for business, or were absent for more than 6 years.

2025–26 tax rates for individuals

Taxable income	Rate
$0 – $18,200	0%
$18,201 – $45,000	16%
$45,001 – $135,000	30%
$135,001 – $190,000	37%
$190,001+	45%

Plus 2% Medicare levy on taxable income above the threshold.

Your capital gain is added to your other income, so it is taxed at whatever marginal rate applies to the combined total.

Common CGT mistakes

Mistake	Why it matters
Forgetting selling costs	Agent commission, marketing and legal fees reduce the capital gain
Not claiming capital works reduction	Div 43 deductions lower the cost base on sale — missing this inflates cost base
Applying discount before losses	Losses must be subtracted first, then the discount applied
Ignoring brokerage	Both buying and selling brokerage are part of the cost base
Not carrying forward losses	Unused capital losses can offset future gains indefinitely

Capital Gains Tax on Property — investment property, main residence exemption, 6-year rule
Capital Gains Tax on Shares — shares, ETFs, managed funds, brokerage
Capital Gains Tax on Crypto — ATO treatment, personal use exemption, exchange fees
CGT Discount & Indexation Methods — 50% discount vs indexation, worked examples
CGT Cost Base Explained — the 5 elements, capital works, common errors
Stamp Duty Calculator — stamp duty is part of your CGT cost base

Important: This guide is general information only and does not constitute tax advice. CGT rules are complex and fact-specific. Consider consulting a registered tax agent for your individual circumstances.

Capital Gains Tax Guide (Australia)