Sell Now or Hold? Compare Your CGT
Timing your asset sale can make a significant difference to your tax bill. Use this calculator to compare selling now versus holding longer—and see exactly how much you could save by waiting for the 50% CGT discount.
The 50% CGT discount is one of the most valuable tax concessions in Australia. If you're close to the 12-month threshold, waiting a few more weeks or months could cut your tax bill in half.
Scenario A: Sell now
Scenario B: Hold & sell later
Applies to both scenarios
24 months after Scenario A
Scenario A
Sell now2025-26 Capital Gains Tax rates
Tax Comparison
Scenario B
Hold & sell later2025-26 Capital Gains Tax rates
Tax Comparison
This calculator provides estimates only and does not constitute financial advice. Actual amounts may vary based on individual circumstances. Consult a registered tax agent for personalised guidance.
How to use this comparison
- Review the pre-filled scenarios — we've set up realistic defaults for comparison
- Adjust the numbers — enter your actual purchase price, sale price, and dates
- Compare the results — see the tax difference highlighted at the top
- Share or bookmark — the URL updates as you change inputs
How Capital Gains Tax Works
When you sell an asset for more than you paid, the profit is a capital gain. In Australia, this gain is added to your taxable income and taxed at your marginal rate. The amount of tax you pay depends on your total income that year, how long you held the asset, and whether any exemptions apply.
Key factors affecting your CGT
- Holding period: Assets held for 12+ months qualify for the 50% CGT discount, halving your taxable gain
- Your income: Higher income means a higher marginal tax rate on your capital gains
- Asset type: Your main residence is generally CGT-free; investment properties and shares are not
- Cost base: Includes purchase price plus costs like stamp duty, legal fees, and improvements
Use the calculator above to model your specific situation. Adjust the inputs to see how different scenarios affect your tax outcome.
FAQ
Is it better to sell now or hold my investment?
It depends on your holding period and the 50% CGT discount. If you've held an asset for less than 12 months, waiting can significantly reduce your tax. Australian residents who hold assets for 12+ months only pay tax on half the capital gain.
How does the CGT discount affect my tax?
The 50% CGT discount means only half of your capital gain is added to your taxable income. For example, a $50,000 gain becomes $25,000 after the discount. At a 37% marginal rate, this saves $9,250 in tax.
When does the 12-month holding period start?
The holding period starts from the date you acquired the asset (settlement date for property, trade date for shares) and ends on the date you sell it. You need to hold for at least 12 months and one day to qualify.
What if I sell before 12 months?
If you sell before holding for 12 months, you don't receive the 50% CGT discount. The full capital gain is added to your taxable income and taxed at your marginal rate.
Disclaimer
This tool provides estimates only and does not constitute financial advice. Investment decisions should not be based solely on tax considerations. Market conditions, investment goals, and personal circumstances all play a role.
Before making decisions about selling assets, consult a registered tax agent or licensed financial adviser.