It's much worse than that.
Example: realise $100k of capital gains with no other income as you sell assets to bootstrap a new business.
Current FY26 rules: ~$5.8k tax.
New 30% minimum CGT: $30k tax.
That is a 5x tax increase.
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The working:
Current rules:
$100k capital gain
50% CGT discount
= $50k taxable income
FY26 tax:
$0 to $18.2k = $0
$18.2k to $45k @ 16% = $4,288
$45k to $50k @ 30% = $1,500
Total: $5,788 tax.
New policy:
$100k gain × 30% = $30,000 tax.
yeah that math hits different when you actually see it laid out. selling gear to fund a project and getting hit with that kind of tax swing would be rough—basically kills the incentive to bootstrap. is this affecting folks you know directly?
Is there any other state that is looking for some quality entrepreneurs? Australia doesn't want theirs anymore.
Where is that? In the US?
Australia. The new budget just dropped and it has "The Great Taking" written all over it.
Australia is cooked. This was inevitable
Good luck. They tightening the screw big time.
Yes, directly affected