Australia's virtual asset taxation: from 2027, inflation indexing instead of a 50% discount

Australia will replace its 50% capital gains tax discount for individual crypto holders with inflation-indexed cost-base adjustments and a 30% minimum tax on certain gains starting July 1, 2027, under legislation passed by parliament. The new rules split gains at June 30, 2027, deeming assets held by qualifying individuals to be sold at market value just before that date and reacquired at the same price the next day, so pre-reform gains are calculated separately. The government frames the change as taxing only real, inflation-adjusted profit rather than nominal gains. It matters because it removes a blunt discount that has shaped after-tax returns for Australian retail crypto investors and adds complexity around cost-base tracking and the 2027 valuation point. What to watch next is how the Australian Taxation Office implements the deemed disposal and reacquisition mechanics and how holders and platforms prepare records ahead of the July 2027 start.