・21 min read・Crypto
Australia crypto CGT changes from 1 July 2027
Learn how Australia’s 1 July 2027 CGT changes can affect crypto held through the transition, new purchases, the 12-month rule, and later sales or swaps.
For Australian crypto investors, the 50% capital gains tax (CGT) discount has long been the key tax benefit for gains on crypto held for at least 12 months. From 1 July 2027, that discount will no longer apply to the post-transition part of a qualifying investment gain.
If you hold crypto through the change, special transition rules preserve the pre-1 July 2027 component. It can still receive the 50% discount if you later dispose of the crypto after holding it for at least 12 months. The later component follows the new indexation framework, which may adjust eligible cost-base amounts for inflation after the same 12-month holding period.
If you expect to hold crypto through the transition, keep its acquisition date, Australian-dollar cost base, and transaction history easy to retrieve. Those records will matter when you later sell, swap, or otherwise dispose of the crypto.
What changes for crypto you already hold?
For eligible crypto held through 30 June 2027, a later sale or swap separates the gain built up before 1 July 2027 from later growth.
Under the enacted CGT changes, which apply from 1 July 2027, the earlier gain can still receive the 50% CGT discount if your later disposal is after you have held the crypto for at least 12 months. Growth from 1 July 2027 onward follows the indexation rules, which can adjust eligible cost-base amounts for inflation after the same 12-month holding period. You use both calculations when you later sell, swap, or otherwise dispose of the crypto.
What changes in your 2027-28 return?
The clearest way to read the ordinary CGT calculation is this: crypto sold before you have held it for 12 months receives neither the 50% CGT discount nor indexation. The net capital gain after capital losses is included in your taxable income and taxed at your marginal rates. The separate 30% minimum-tax rule discussed below can still apply to an eligible post-1 July 2027 gain. The change to the ordinary CGT calculation begins at 12 months: from 1 July 2027, indexation takes the place of the 50% discount for post-transition growth.
If you sell, swap, or otherwise dispose of eligible crypto you held through 30 June 2027 during 2027-28, you calculate two components in that return. The gain from before 1 July 2027 can still receive the 50% discount if the later disposal is after you have held the crypto for at least 12 months. Growth from 1 July 2027 onward is calculated under the new indexation framework.
For crypto you buy on or after 1 July 2027, the whole gain uses the new framework. Holding it for at least 12 months can make indexation available.
If you keep the crypto through the end of 2027-28, the transition calculation waits until the later sale, swap, or other disposal.
How a later sale or swap separates your crypto gain
To make that split, the law assumes, for CGT purposes, that you sold the crypto just before 1 July 2027 and reacquired it immediately after. The earlier result is held over until the later disposal.
| When you acquired and disposed of the crypto | What happens to the gain | Does 12 months matter? | What to retain |
|---|---|---|---|
| Sold or swapped before 1 July 2027 | Existing rules apply to that disposal, including the ordinary 50% CGT discount when the crypto has been held for at least 12 months. | Yes, under the existing discount rules. | Acquisition and disposal records. |
| Eligible crypto held continuously through 30 June 2027 and disposed of later | The earlier gain is held over, while later growth follows the post-date framework. | Yes. If the later disposal is after at least 12 months of ownership, the earlier gain can receive the 50% discount and later growth can use indexation. | Original cost base, continuous-holding evidence, transition value and disposal records. |
| Acquired on or after 1 July 2027 and disposed of within 12 months | There is no preserved pre-transition gain. The post-date rules apply to the whole later capital gain, with the net gain after capital losses included in taxable income at marginal rates. | Neither the 50% CGT discount nor indexation applies. | Acquisition and disposal records. |
| Acquired on or after 1 July 2027 and disposed of after at least 12 months | There is no preserved pre-transition gain. The post-date rules apply to the whole later capital gain. | Indexation can apply. The ordinary 50% discount does not apply. | Acquisition and disposal records. |
The value at 30 June 2027
For an eligible holding, the default transition value is its market value in Australian dollars immediately before 1 July 2027. That value separates the gain built up before the change from later growth when you eventually dispose of the crypto.
Keep information that supports the Australian-dollar transition value alongside the original acquisition records. You are preserving an input for a later calculation, not reporting a new standalone sale at the transition.
A simple holding timeline
Imagine crypto bought before 1 July 2027, still owned on 30 June 2027, then sold later. The transition keeps the earlier gain for the later calculation; later growth follows the post-date framework.
| Point in time | What happens | Record that supports it |
|---|---|---|
| Original purchase | The original acquisition is part of the later transition calculation. | Purchase date, quantity and Australian-dollar cost base. |
| 30 June 2027 | The market value immediately before 1 July is the default transition value for an eligible holding. | Continuous-ownership evidence and the Australian-dollar transition value. |
| Later sale or swap | The earlier gain and later capital gain are worked out in the return for the later event. | Disposal date, proceeds or exchange value, fees, and exchange and wallet history. |
If you bought crypto on more than one date
Different purchases can follow different timing paths. Crypto bought before 1 July 2027 and held through the date can use the special transition path, while the same crypto bought after that date has no preserved pre-transition gain. If you later sell or swap only part of a position, keep records that identify the units disposed of and their acquisition and transition history. That keeps the relevant dates connected without assuming a particular lot-selection method.
Does holding crypto for 12 months still help?
Yes. Twelve months can still reduce a later crypto gain, but the benefit depends on when that part of the gain arose.
| Part of your gain | How holding for 12 months can help |
|---|---|
| Gain built up before 1 July 2027 on eligible crypto held through the transition | It can receive the existing 50% CGT discount if the later disposal is after at least 12 months of ownership. |
| Growth after 1 July 2027 | It can use indexation for eligible cost-base amounts after the same 12-month holding period. |
Indexation adjusts eligible parts of your cost base, the Australian-dollar amount paid to acquire the crypto and certain transaction costs, for inflation. It uses the All Groups Consumer Price Index, Australia's main inflation measure, comparing the quarter in which you incurred the cost with the quarter in which you dispose of the crypto. When the CPI has risen, the adjustment increases your cost base and reduces the later capital gain. For crypto held through the transition, the 1 July 2027 transition value is the starting point for this post-transition calculation.
If you dispose of the crypto before the 12-month condition is met, you work out the later capital gain without indexation. For crypto held through the transition, count the 12 months from the original acquisition date, not from 1 July 2027. The post-2027 discount and indexation rules set out these rules.
What happens to crypto you buy after 1 July 2027?
Crypto acquired on or after 1 July 2027 has no preserved pre-transition gain. When you later sell or swap it, the whole capital-gain calculation follows the post-date framework.
If you dispose of that crypto within 12 months, there is no indexation. You work out the capital gain using the ordinary unindexed cost base, apply capital losses, and include any net capital gain in taxable income at your marginal rates. The separate 30% minimum-tax rule can still apply to an eligible gain. If you hold it for at least 12 months, indexation can apply.
Does the 30% minimum tax apply to your crypto gain?
The 30% minimum tax is a top-up rule for Australian resident individuals. It applies to eligible capital gains from CGT events on or after 1 July 2027 across different asset types. For crypto, the relevant gain is the growth after 1 July 2027. If the ordinary income tax on that eligible gain would be below 30%, the rule adds only enough tax to bring it to 30%.
It can affect your crypto gain only when all of these apply:
- You are an Australian resident individual.
- A later sale, swap, or other disposal gives you a post-1 July 2027 crypto gain that remains after capital-loss rules and other CGT reductions.
- The statutory calculation shows that the ordinary income tax on that eligible gain is below 30% before tax offsets.
- You did not receive one of the listed government support payments during the income year.
For standard 2027-28 resident tax rates, use this first check:
| Your situation | Can the 30% rule add extra tax? |
|---|---|
| Your gain is only the preserved pre-1 July 2027 gain from eligible transition crypto | No. That earlier gain is outside this calculation. |
| You have a post-1 July crypto gain, but your taxable income after deductions, excluding the eligible post-1 July gains used in this test, is at least $45,000 | No. Under the standard resident individual rates, the ordinary tax on those gains is already 30% or higher. |
| You have a post-1 July crypto gain and that income amount is below $45,000 | It can add tax only on the eligible gain that would otherwise be taxed below 30%. It adds only the amount needed to bring that part to 30%. |
| You received a listed government support payment during the year, including Age Pension, Austudy, Carer Payment, Disability Support Pension, JobSeeker, Parenting Payment, Youth Allowance, Family Tax Benefit, Parental Leave Pay, ABSTUDY living allowance, or an eligible veterans’ or military-rehabilitation payment | No. You are excluded from the 30% minimum-tax rule for that year. |
The minimum-tax rules set the detailed calculation and the full list of excluded payments.
What records should you keep?
Keep crypto records connected from purchase through a later disposal:
- acquisition date, quantity and Australian-dollar cost base
- exchange and wallet history that shows continuous ownership through 30 June 2027
- support for the Australian-dollar transition value immediately before 1 July 2027
- dates, values, fees and counterparties for a later sale, crypto-to-crypto swap, or other disposal
- records that identify the specific crypto disposed of when you have multiple purchases or sell only part of a position
The ATO’s crypto recordkeeping guidance can help you build that history.
Organize your crypto tax records with CoinTracker
CoinTracker can help you organize the dates, Australian-dollar values, and transaction history you will need through the transition. When you later dispose of the crypto, it can help you work through the separate pre- and post-1 July 2027 gain calculations. For more help with Australia crypto taxes, read CoinTracker’s Australia crypto tax guide.
Disclaimer: This post is informational only and is not intended as tax advice. For tax advice, please consult a tax professional.
FAQ
Does 1 July 2027 create crypto CGT to report immediately?
No. For eligible crypto that you retain through the date, the earlier gain is held over until a later sale, swap, or other disposal. A later event during 2027-28 can bring that calculation into the 2027-28 return.
Will I keep the 50% CGT discount on crypto I already own?
Yes, but only for the gain built up before 1 July 2027 on eligible crypto held through the transition. That earlier gain can still receive the 50% CGT discount if the later disposal is after at least 12 months of ownership. A later capital gain after that date does not receive the ordinary 50% discount.
Does holding crypto for 12 months still matter after 1 July 2027?
Yes. It can still matter for the earlier gain and can support indexation for a later capital gain. It does not give the later capital gain a 50% CGT discount.
What happens if I buy crypto after 1 July 2027?
There is no preserved pre-transition gain. The full later capital gain follows the post-date framework. Holding it for at least 12 months can make indexation available, but not the ordinary 50% discount.
Does the 30% minimum tax apply to every crypto gain?
No. It never applies to the preserved gain built up before 1 July 2027. For a later post-1 July gain, it adds tax only if the calculation shows that the ordinary tax on the eligible gain is below 30%. It adds nothing when the taxable-income test in the table is $45,000 or more, and it does not apply to recipients of the listed government payments.
Does swapping one crypto asset for another matter?
Yes. Swapping one crypto asset for another is a taxable disposal in Australia. If you swap crypto held through the transition, work through the separate pre- and post-1 July 2027 gain calculations for that disposal.