Big Aus
Status reviewed 19 May 2026

Negative gearing & CGT reform — legislation tracker

The 2026-27 Budget announced the biggest property-tax changes in a generation. None of it is law yet. This page tracks the exact parliamentary status of each measure, with every change sourced and dated, so you can see what's actually happening rather than what's being speculated.

How to read this: a budget announcement is a statement of intent. It becomes law only after a bill is drafted, introduced, passed by both houses of Parliament, and given Royal Assent — and it can be materially amended at any stage. Until a measure shows Received Royal Assent, nothing has legally changed. Don't restructure a property position off an announcement.

Negative gearing — limited to new builds

Announced — not yet legislated

From 1 July 2027, rental losses on established properties deductible only against residential property income (not salary/wages); new builds retain full deductibility. Properties held on or before 12 May 2026 grandfathered.

Intended effective date
1 July 2027
Grandfathering
Properties held on or before 12 May 2026 (Budget night)

Progress

  1. Announced in the 2026-27 Federal Budget12 May 2026

    Treasurer Jim Chalmers announced the measure in the 2026-27 Budget. No bill introduced; mechanics (notably the 'new build' definition and carried-forward-loss treatment) to be defined in legislation.

    Source

CGT — 50% discount replaced with indexation + 30% minimum

Announced — not yet legislated

From 1 July 2027, the 50% CGT discount is replaced with inflation-adjusted indexation plus a minimum 30% rate, applying only to gains accruing after that date. New-build investors may elect to keep the 50% discount.

Intended effective date
1 July 2027 (gains accruing after this date)
Grandfathering
Properties held on or before 12 May 2026 (Budget night)

Progress

  1. Announced in the 2026-27 Federal Budget12 May 2026

    Announced alongside the negative gearing change. Early reporting varied on the indexation mechanics and the treatment of gains straddling 1 July 2027 — these are legislation-dependent.

    Source

Get told when the status actually changes

No commentary on every rumour. One email when a measure moves a real step — introduced, amended, passed, or assented.

Context: the full 2026-27 Budget breakdown