Capital Gains Tax Changes
Australia's Capital Gains Tax (CGT) landscape is changing significantly from 1 July 2027, making property valuations more important than ever for investors, business owners, SMSFs, trusts and property-holding entities. According to the Australian Taxation Office, the new rules will replace the traditional 50% CGT discount with a cost-base indexation system and a minimum tax rate on capital gains accrued after 1 July 2027.
For the 3.3 million residential property owners, the value of their property as at 1 July 2027 will become a critical reference point when calculating future capital gains tax liabilities.
Why 1 July 2027 matters
The way Capital Gains Tax is calculated on certain assets is changing from 1 July 2027.
To determine the cost base for capital gains purposes, property owners will have the option of using the government’s default formula to calculate gains over the full ownership period, or separating the gain between the periods before and after 1 July 2027 by obtaining an independent market valuation as at that date.
For many property investors, obtaining a professional market valuation as at 1 July 2027 isn’t just about record keeping, it may mean the difference between thousands of dollars in extra tax.
Why Timing Matters
A valuation does not necessarily need to be prepared on 1 July 2027 itself.
However, the longer you wait, the more difficult it can become to accurately reconstruct the property's condition, surrounding market and comparable sales evidence that existed at the relevant date.
Retrospective valuations can require additional research and investigation to establish historical market conditions and property details. This can make the valuation process more involved and potentially more costly than obtaining the valuation around the relevant date.
Do it once. Keep the record. Have it ready when it matters.
Don’t leave it to a Formula
Leave it to us.
A full certified valuation across your property assets, prepared for the 1 July 2027 CGT transition.
Register now to join the list and have your valuation handled independently, rather than relying on the Governments default calculation method.