If you own investment property, shares, a business interest or other investments, 30 June 2027 is a date worth adding to your tax planning calendar.
Australia's capital gains tax rules are changing from 1 July 2027. The changes affect how certain investment gains are calculated and taxed when assets are sold.
For assets already held before the new rules begin, a transitional calculation can separate gains accrued before 1 July 2027 from gains accrued afterwards.
This makes the value of an asset around 30 June 2027 relevant to future tax calculations.
Does that mean every investor needs a professional valuation before the deadline?
Not necessarily. The answer depends on the asset, its ownership, the applicable transitional rules and the valuation or apportionment approach used.
What is changing to capital gains tax in 2027?
The Treasury Laws Amendment (Tax Reform No. 1) Act 2026 introduced changes to the taxation of capital gains.
The main changes include replacing the general 50% CGT discount with cost base indexation for relevant gains arising from 1 July 2027, together with a minimum 30% tax framework for affected capital gains.
The changes include exceptions and special rules. For example, qualifying investments in new residential dwellings may have access to different arrangements.
Existing investments also receive transitional treatment so that gains accrued before the change are not simply treated as though they arose under the new rules.
Why is 30 June 2027 important?
Under the transitional rules, certain assets held at the end of 30 June 2027 are treated as though they were sold just before 1 July 2027 and acquired again immediately afterwards.
This is known as a deemed sale and reacquisition.
It is a tax calculation, not an instruction to physically sell the asset.
For an eligible investment, the deemed transaction generally uses the market value immediately before 1 July 2027, unless a permitted alternative apportionment method is chosen.
A notional gain or loss arising from the transitional calculation is generally deferred until a later realisation event.
That means an investor is not automatically required to pay CGT in 2027 simply because the transitional calculation applies.
A valuation reference date is not the same as a compulsory sale date.
You may continue holding an investment after 30 June 2027.
The transitional rules can affect the tax calculation when the asset is eventually sold.
Which investments may be affected?
The reforms cover a broad range of CGT assets. Their application depends on the ownership structure and relevant statutory rules.
Investment property
Residential and commercial investment property may require a review of market value, cost base and ownership history.
Shares
Listed and unlisted shares can be affected. Valuation evidence may differ depending on the type of investment.
Business interests
Interests in private companies, partnerships and trusts may require more detailed analysis.
Other CGT assets
Certain cryptocurrency holdings, precious metals and other investments may also be relevant, depending on their tax classification.
Your family home may qualify for the main residence CGT exemption. Other exemptions and special rules can also affect the calculation.
Assets held through companies, trusts or superannuation structures should not automatically be treated the same as assets owned personally.
Does every investment need a valuation?
No. The legislation provides for market value as a transitional starting point in relevant circumstances, but it also allows a prescribed apportionment method to be chosen.
This means investors should not assume that every holding requires an independent valuation immediately.
The practical question is whether you will have reliable evidence to support the calculation when the investment is eventually disposed of.
For some assets, a reliable market price may be readily available.
For others, particularly unlisted businesses and property, establishing a defensible market value can require specialist work.
Investment property
A professional valuation may provide useful evidence of a property's market value around the transitional date.
Property owners should consider the type of valuation evidence appropriate to the property and circumstances.
A registered or suitably qualified property valuer may be appropriate where an independent valuation is needed.
The legislation does not establish a universal requirement that every investor must commission a registered valuer for every property.
Listed shares
Listed securities generally have observable market prices and transaction records.
Investors should retain relevant broker statements, acquisition details and reliable market information for the applicable date.
Unlisted shares and private businesses
Private business interests can be more difficult to value because there may be no regularly quoted market price.
Relevant information may include financial statements, earnings, assets, liabilities and the terms of ownership interests.
Professional valuation assistance may be appropriate for complex holdings.
Gold and cryptocurrency
Market pricing information may help establish values for eligible assets where the relevant CGT rules apply.
Keep records of quantities held, acquisition dates, transaction fees and market information.
The tax classification of each holding should be established before applying the transitional rules.
How could the transitional calculation work?
An investment held before and after 1 July 2027
Assume you purchased an eligible investment for $400,000.
Its market value immediately before 1 July 2027 is $650,000.
You eventually sell the investment for $800,000.
Ignoring transaction costs, capital losses, indexation and other adjustments, the value movements are:
Before 1 July 2027: $650,000 − $400,000 = $250,000
After 1 July 2027: $800,000 − $650,000 = $150,000
These amounts illustrate the division between the two periods.
They are not the final taxable gains. The actual calculation must apply the relevant cost base, discount, indexation, minimum tax and other statutory rules.
Can you use an alternative to market value?
The legislation provides for an alternative apportionment method determined under section 112-185 of the Income Tax Assessment Act 1997.
Where an applicable method is available, an eligible taxpayer may choose it instead of using market value.
The choice generally does not have to be made until the income tax return is lodged for the year of the later realisation event.
That does not mean delaying all record gathering is advisable.
Historical documents may become difficult to obtain, and the eventual method chosen can affect the tax result.
Before relying on an alternative method, confirm the applicable legislative instrument and eligibility conditions.
Should you sell your investments before 1 July 2027?
Not solely because the CGT rules are changing.
A sale before 1 July 2027 may fall under the existing CGT arrangements, but that does not mean selling early will produce a better result.
Your tax position depends on the investment's cost base, capital gains and losses, ownership structure, applicable concessions and future plans.
Selling can also create transaction costs and change your investment exposure.
If you are already considering a sale, transfer or restructure, the timing deserves careful review.
What should you do before 30 June 2027?
Prepare a list of relevant investments and ownership structures.
Gather purchase dates, costs, transaction records and improvements.
Consider whether reliable market information or professional valuation work may be needed.
Discuss the market value approach and any available apportionment method.
Consider the tax implications before selling, transferring or restructuring assets.
Investment valuation checklist
You can start gathering information now without immediately commissioning valuations for every asset.
- List investment properties, shares, business interests and other relevant assets.
- Identify the legal owner of each asset.
- Confirm acquisition dates and original costs.
- Locate purchase contracts, settlement statements and transaction records.
- Gather capital improvement and other relevant cost base records.
- Retain available market price information around the transitional date.
- Identify assets where independent valuation evidence may be useful.
- Review any planned sales or ownership changes.
- Discuss special rules applying to trusts, companies and other structures.
- Keep supporting records for future CGT calculations.
Frequently asked questions
Is 30 June 2027 a compulsory valuation deadline?
It is an important transitional valuation reference date, but the law does not require every investor to commission a professional valuation by that day. The relevant rules and alternative apportionment provisions should be reviewed.
Do I need to sell my assets on 30 June 2027?
No. The deemed sale and reacquisition is a tax mechanism. It does not require you to physically dispose of an investment.
Will I pay CGT in 2027 because my investment increased in value?
Not simply because the transitional deemed transaction applies. Relevant notional gains are generally deferred until a later realisation event.
Do I need a registered valuer for my investment property?
Not in every case. An independent valuation from a suitably qualified professional may provide useful evidence, especially for complex property. The appropriate approach depends on your circumstances and the rules applied.
Are shares and cryptocurrency affected?
They may be, where the holdings are CGT assets covered by the relevant rules. Ownership structure, tax classification and exemptions must be considered.
What happens to assets purchased before September 1985?
The reforms include specific transitional treatment for pre-CGT assets. Gains accrued before the transitional date generally retain their exempt treatment, while later gains may be affected.
Can I obtain a valuation after 30 June 2027?
Retrospective valuation evidence may be possible, but establishing historical market value can become more difficult as time passes. Early record gathering can help support a future calculation.
Start reviewing your investments before the rules change
The 2027 CGT reforms introduce new considerations for investors holding assets over the transitional period.
The practical priority is understanding which investments may be affected and what evidence you may need later.
Some investors may benefit from obtaining independent valuations. Others may have sufficient market records or qualify to use an alternative method.
If you hold investment property, private business interests or assets through trusts, a review before 30 June 2027 can help identify areas requiring further attention.
Are your investments ready for the 2027 CGT changes?
Your RJS accountant can help you review affected investments, identify relevant record requirements and consider whether valuation evidence or further tax planning may be needed.
Speak to an RJS AccountantSources and further reading
Federal Register of Legislation: Treasury Laws Amendment (Tax Reform No. 1) Act 2026
Australian Treasury: Budget 2026–27 Tax System Changes
Australian Government: 2026–27 Budget Tax Reform
Legislation: Transitional CGT Rules, Sections 112-155 to 112-185
Information current as at October 2026.
This content is general commentary only and does not constitute advice. Before making any decision or taking any action in relation to the content, you should consult your professional adviser.
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