How does the ATO tax capital gains for Australian residents?

The ATO does not apply a separate flat CGT rate. Instead, your net capital gain is added to your other taxable income and taxed at your marginal income tax rate using the standard 2024/25 brackets. If you qualify for the 50% discount, only the discounted amount is added. This means a higher total income may push you into a higher marginal bracket, which this calculator accounts for by comparing tax on combined income against tax on other income alone.

Do non-residents pay CGT on Australian assets?

Yes, non-residents are liable for Australian CGT on taxable Australian property, which includes direct interests in Australian real estate and certain shares in land-rich companies. Non-residents are taxed under a separate rate schedule that starts at 32.5 cents per dollar from the first dollar of income with no tax-free threshold. Importantly, non-residents cannot access the 50% CGT discount on assets acquired after 8 May 2012. This calculator applies the correct non-resident rates when you select that option.

Capital Gains Tax Calculator Australia 2024/25 — CGT with 50% Discount

Capital Gains Tax Calculator (Australia) · AUAustralian Tax

Example result based on the prefilled values.

Taxable Gain (after discount)

A$25,000.00

CGT Payable

A$1,292.00

Effective CGT Rate

2.60%

Net Proceeds After Tax

A$48,708.00

Tax Saved by 50% Discount

A$5,425.00

Continue your plan

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When to use this calculator

Before accepting a pay change, bonus, pension contribution, or salary-sacrifice option.
When you want to compare employed, self-employed, or dividend-based income scenarios.
When you need a simple take-home estimate before running payroll or filing returns.
When you are approaching the £100,000 income level and want to understand the personal allowance taper effect.
When you are planning a salary sacrifice arrangement and need to see the net pay impact before agreeing terms.

A realistic Australia planning example

Use these sample inputs as a quick scenario test, then change one variable at a time to compare outcomes.

Capital Gain (A$)

50000

Holding Period

More than 12 months (50% CGT discount)

Other Taxable Income (A$)

A$80,000

Residency

Australian Resident

After entering these figures, review taxable gain (after discount), cgt payable and effective cgt rate together rather than in isolation — each metric tells a different part of the story. Then rerun the tool with one input adjusted to see which variable has the biggest effect on all three outputs before you settle on a plan.

How to read your results

Taxable Gain (after discount)

Review this figure alongside gross income and the local tax rules that apply to you. It is a planning estimate, not a filing result or a recommendation to make a tax decision.

CGT Payable

Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.

Effective CGT Rate

Net Proceeds After Tax

Review this figure alongside gross income and the local tax rules that apply to you. It is a planning estimate, not a filing result or a recommendation to make a tax decision.

Tax Saved by 50% Discount

Review this figure alongside gross income and the local tax rules that apply to you. It is a planning estimate, not a filing result or a recommendation to make a tax decision.

Method & assumptionsAuthoritative sources

This calculator applies the 2024/25 Australian income tax brackets to determine capital gains tax liability. For Australian residents who have held an asset for more than 12 months, only 50% of the capital gain is included in assessable income — a concession introduced to reflect inflation and encourage long-term investment. The calculator determines CGT payable by finding the marginal tax on your combined income (other income plus taxable gain) and subtracting the tax attributable to other income alone, isolating the tax cost of the gain itself. Non-residents are assessed under a separate schedule with no tax-free threshold and no CGT discount.

Results are estimates only and do not constitute tax advice. Individual circumstances such as capital losses carried forward, small business CGT concessions, main residence exemptions, or prior-year losses can significantly alter the outcome. Consult a registered tax agent or the ATO website before lodging your return.

Common mistakes

!Using an assumption that is not supported by a current local quote, bill, statement or official source.
!Treating a generic estimate as a lender, provider, payroll or tax authority decision.
!Mixing monthly and annual inputs without converting them consistently.
!Forgetting location-specific taxes, fees, eligibility rules or payroll deductions where they apply.
!Testing only one scenario instead of checking how a cautious assumption changes the result.

What to do next

Run a second scenario with a cautious assumption so you can see the downside clearly.
Compare the result with the related calculators below before making a decision.
Check current local rules, eligibility and provider terms before applying or committing money.
Keep a record of the assumptions so you can update the estimate when a quote, bill or pay figure changes.
Use the result to prepare better questions for a lender, provider, adviser or employer rather than treating it as a final answer.

Frequently asked

Australian tax residents who have held an asset for more than 12 months before selling are entitled to a 50% capital gains tax discount. This means only half the gross capital gain is added to your assessable income before tax is calculated. Non-residents and temporary residents are generally not eligible for this discount under Australian tax law, so their full gain is taxed at ordinary income tax rates. The discount applies to most assets including shares, investment properties, and managed fund units.

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