Albanese government eases capital gains tax rules for startup founders
Government eases capital gains tax for startups with 15-year eligibility window, 3-year holding period, and no lifetime gain cap.
The government has released draft laws easing capital gains tax for startup founders and investors. The Innovative Business CGT Concession extends eligibility to 15 years, down from an initial 10-year plan.
The concession cuts the minimum holding period to 3 years from 5 years. A proposed $10 million lifetime gain cap has been removed entirely.
The $50 million turnover threshold stays unchanged. Treasury is seeking feedback on the draft until September 28.
The changes apply from July 1, 2027. At that time, broader tax reforms replace the existing 50 percent discount for individuals with cost-base indexation and a 30 percent minimum tax on gains.
- 15 years
- Eligibility window
- 3 years
- Holding period
- $50 million
- Turnover threshold
- July 1, 2027
- Implementation date
Why it mattersThe changes aim to keep startup investment flowing in Australia. They stop founders and investors from moving overseas to find better tax treatment.
AustraliaAustralian startups and early investors gain more favorable tax treatment, potentially attracting more venture capital into local tech and innovation companies.
✓ Claims checked against the source. checked 14 h ago
