Overview
- Major outlets report the Albanese government plans to tax inflation‑adjusted gains instead of halving long‑term capital gains, with changes targeted for the 2027–28 tax year.
- The proposal would cover shares, investment property, managed funds and cryptocurrencies, with a one‑year transition for assets bought after May 10 before the new rules fully apply.
- The Australian Taxation Office has not announced any change and continues to apply the current 50% discount for assets held longer than 12 months.
- Indexation would lift an asset’s purchase cost by CPI and tax the full real gain, a structure that echoes Australia’s pre‑1999 system and can mean higher bills when inflation is low.
- Reaction is split, with Chris Joye warning the shift could push savings into tax‑free owner‑occupied homes and Scott Phillips arguing strong returns would still motivate long‑term investors.