Resident individual tax rates
These are the ATO’s resident rates. Your net capital gain is taxed at these rates together with your other income. The 2% Medicare levy is added on top (reduced for low incomes).
2025–26 (also 2024–25)
| Taxable income | Tax on this income |
|---|---|
| $0 – $18,200 | Nil |
| $18,201 – $45,000 | 16c for each $1 over $18,200 |
| $45,001 – $135,000 | $4,288 plus 30c for each $1 over $45,000 |
| $135,001 – $190,000 | $31,288 plus 37c for each $1 over $135,000 |
| $190,001 and over | $51,638 plus 45c for each $1 over $190,000 |
2026–27
| Taxable income | Tax on this income |
|---|---|
| $0 – $18,200 | Nil |
| $18,201 – $45,000 | 15c for each $1 over $18,200 |
| $45,001 – $135,000 | $4,020 plus 30c for each $1 over $45,000 |
| $135,001 – $190,000 | $31,020 plus 37c for each $1 over $135,000 |
| $190,001 and over | $51,370 plus 45c for each $1 over $190,000 |
2027–28
| Taxable income | Tax on this income |
|---|---|
| $0 – $18,200 | Nil |
| $18,201 – $45,000 | 14c for each $1 over $18,200 |
| $45,001 – $135,000 | $3,752 plus 30c for each $1 over $45,000 |
| $135,001 – $190,000 | $30,752 plus 37c for each $1 over $135,000 |
| $190,001 and over | $51,102 plus 45c for each $1 over $190,000 |
The bottom rate falls from 16% to 15% on 1 July 2026 and to 14% on 1 July 2027 under the Treasury Laws Amendment (Cost of Living Tax Cuts) Act 2025. Medicare levy: 2% of taxable income; for 2025–26 singles (not entitled to SAPTO) pay nothing at or below $28,011 and a reduced levy up to $35,013. Thresholds for 2026–27 hadn’t been published at our last review, so the calculator carries the 2025–26 figures forward.
Effective CGT rates with the 50% discount
Because only half of a discount capital gain is taxed, the effective rate on the whole gain is half your marginal rate (including Medicare):
| Marginal rate (2025–26) | Incl. Medicare | Effective rate on the gain – held > 12 months | Held ≤ 12 months |
|---|---|---|---|
| 16% | 18% | 9% | 18% |
| 30% | 32% | 16% | 32% |
| 37% | 39% | 19.5% | 39% |
| 45% | 47% | 23.5% | 47% |
These are simplified: a large gain usually spans several brackets, and the low income tax offset and Medicare levy reduction affect lower incomes. The tables below are calculated exactly.
How much CGT on common gains (2025–26)
Estimated tax on a gain from an asset held at least 12 months, for a resident individual with the other taxable income shown. Includes the Medicare levy and low income tax offset. Calculated with the same engine as our CGT calculator.
| Capital gain | Income $0 | Income $45,000 | Income $90,000 | Income $135,000 | Income $200,000 |
|---|---|---|---|---|---|
| $20,000 | $0 | $3,350 | $3,200 | $3,900 | $4,700 |
| $50,000 | $388 | $8,325 | $8,000 | $9,750 | $11,750 |
| $100,000 | $6,538 | $16,325 | $16,350 | $19,500 | $23,500 |
| $250,000 | $30,788 | $42,775 | $47,600 | $54,350 | $58,750 |
| $500,000 | $83,638 | $99,925 | $106,350 | $113,100 | $117,500 |
For example, a $100,000 gain for someone earning $90,000 adds $50,000 to taxable income, costing about $16,350 in tax (16.4% of the gain).
Same gains in 2026–27
| Capital gain | Income $0 | Income $45,000 | Income $90,000 | Income $135,000 | Income $200,000 |
|---|---|---|---|---|---|
| $20,000 | $0 | $3,350 | $3,200 | $3,900 | $4,700 |
| $50,000 | $320 | $8,325 | $8,000 | $9,750 | $11,750 |
| $100,000 | $6,270 | $16,325 | $16,350 | $19,500 | $23,500 |
| $250,000 | $30,520 | $42,775 | $47,600 | $54,350 | $58,750 |
| $500,000 | $83,370 | $99,925 | $106,350 | $113,100 | $117,500 |
Foreign resident rates
Foreign residents pay CGT only on taxable Australian property (mainly real property), have no tax-free threshold, don’t pay the Medicare levy and generally get no CGT discount for periods after 8 May 2012.
| Taxable income | Tax on this income (2024–25 onwards – the legislated tax cuts change only the resident 16% band) |
|---|---|
| $0 – $135,000 | 30c for each $1 |
| $135,001 – $190,000 | $40,500 plus 37c for each $1 over $135,000 |
| $190,001 and over | $60,850 plus 45c for each $1 over $190,000 |
Super funds, companies and trusts
| Entity | Tax rate | CGT discount | Effective rate on a long-held gain |
|---|---|---|---|
| Complying super fund (accumulation) | 15% | 33⅓% | 10% |
| Super fund – assets supporting retirement-phase pensions | Exempt | – | 0% |
| Company (base rate entity) | 25% | None | 25% |
| Company (other) | 30% | None | 30% |
| Trust | Taxed to beneficiaries | 50% passes to individual beneficiaries | Beneficiary’s rate |
From 1 July 2027
For resident individuals, trusts and partnerships, gains accruing from 1 July 2027 are calculated with a CPI-indexed cost base instead of the 50% discount, and individuals must pay at least 30% tax on those gains (the “minimum tax”). Age Pension and other income support recipients are exempt from the minimum tax. Super funds keep their one-third discount and companies are unaffected. Full guide to the 2027 changes.
Frequently asked questions
How much is CGT on $500,000 in Australia?
For a resident individual with $90,000 of other income who held the asset for at least 12 months and sells in 2025–26, the estimated tax is about $106,350 – an effective rate of 21.3% of the gain. The 50% discount means only $250,000 is added to taxable income.
What percentage is capital gains tax in Australia?
For individuals, between 0% and 47% (45% top rate plus 2% Medicare levy) of the net capital gain. With the 50% discount, the effective rate on the whole gain is between 0% and 23.5%. Super funds effectively pay 10% and companies 25–30%.
Is there a tax-free threshold for capital gains?
Not separately. But a capital gain is part of your taxable income, so if your total income is under the $18,200 tax-free threshold (and the low income tax offset applies), little or no tax is payable. Foreign residents have no tax-free threshold.
Do capital gains push me into a higher tax bracket?
Yes – the net capital gain is added to your other income, so part of it can be taxed at a higher marginal rate. Only that portion is taxed at the higher rate; the rest of your income isn’t affected.
Will CGT rates change from 1 July 2027?
The marginal rates stay (with the 16% rate falling to 15% in 2026–27 and 14% in 2027–28), but for gains accruing from 1 July 2027 the 50% discount is replaced by CPI indexation and a 30% minimum tax applies to those gains for individuals. How it works.
References
Every figure on this page was checked against these primary sources on 16 October 2026.
- ATO – Tax rates: Australian residents
- ATO – Tax rates: foreign residents
- ATO – Medicare levy reduction for low-income earners
- ATO – Low income tax offset
- ATO – CGT discount
- ATO – Capital gains tax reform (published 13 Oct 2026)
- Parliament of Australia – Bills Digest No. 67 2025–26: Treasury Laws Amendment (Tax Reform No. 1) Bill 2026
General information only – not financial or tax advice. See our disclaimer. Spotted an error? Email [email protected].