Capital Gains Tax And Negative Gearing Amendments: Key Changes And Implications

On 28 May 2026 the federal government introduced a Bill to Parliament to give effect to the wide-ranging capital gains tax (CGT) and negative gearing changes that had been announced in the 2026-27 Federal Budget. The Bill deems sales of existing CGT assets, and imposes additional compliance requirements and new layers of complexity – though critical details are yet to come. In this Insight, we explain how the changes will be implemented, the additional compliance burden on taxpayers, and what’s still left to be considered. 

Key takeaways from the capital gains tax and negative gearing amendments 

The key elements and changes within the CGT rules introduced to Parliament are: 

• taxpayers previously eligible for the 50% CGT discount (resident individuals, trusts and partnerships) will instead index their cost bases from 1 July 2027 unless an exception applies;