CGT Calculator Australia
Estimate the capital gains tax on the sale of your investment property. Applies the 50% CGT discount for assets held over 12 months.
Sale details
Original purchase
Your income
Your CGT estimate
Estimated CGT payable
$46,813
50% CGT discount applied (held 6.3 years)
Free during early access. No credit card.
How capital gains tax on property works
When you sell an Australian investment property for more than you paid for it, the profit is called a capital gain. That gain is added to your taxable income for the financial year in which the contract of sale is signed (not settlement date).
You don't pay a separate CGT rate. The gain is taxed at your marginal income tax rate. But if you've held the property for more than 12 months, you get a 50% discount, meaning only half the gain is taxable.
Source: ATO - Calculating your CGT →
How the cost base is calculated
Your cost base isn't just the purchase price. It includes:
- Purchase price
- Stamp duty
- Legal fees (buying & selling)
- Buyer's agent fees
- Inspection fees
- Capital improvements (renovations, extensions)
- Selling costs (agent commission, marketing, legal)
The higher your cost base, the smaller your taxable capital gain, which is why keeping receipts for everything related to the property matters.
The 50% CGT discount
Australian residents who hold a property for more than 12 months(from contract date to contract date) get a 50% discount on the capital gain before it's added to their taxable income.
Worked example
If you made a $200,000 gain on a property held for 3 years, only $100,000 is added to your taxable income. If your marginal rate is 37%, your estimated CGT is $37,000, not $74,000.
This discount doesn't apply to properties held inside a company structure. It does apply (at a reduced one-third rate) inside an SMSF.
Common questions
Is there a way to reduce CGT legally?
Yes. Hold the property for over 12 months to unlock the 50% discount, maximise your cost base (keep all receipts), time the sale to a year with lower income, offset gains with capital losses from other assets, or use the 6-year absence rule if the property was once your primary residence.
Is CGT paid at settlement?
No. CGT is paid as part of your income tax return for the financial year in which the contract of sale was signed, not settlement date.
Does my primary residence attract CGT?
Generally no. The main residence exemption applies to your principal home, but it can get complex if you've rented it out, lived overseas, or owned it before/after moving out. Get advice.
Is this calculator financial or tax advice?
No. This is an estimate tool. Always consult a registered tax agent before selling.
Model any sale across your portfolio
Vestly lets you model hypothetical sales on every property you own: CGT, net proceeds, holding periods, all in one place. Free during early access.
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