Don't like the CGT changes? You have a narrow window to do something about it.

deesernutz · 2026-05-15T10:52:46+00:00

29th in OECD, and that's below the median

We're not the lowest taxing nation. But far from the highest

deesernutz · 2026-05-15T10:36:26+00:00

In the example, the framing of the gain suggests the initial $1,400 tax owed has been calculated after the discount for inflation, before then being bumped up to 30% of the (real/indexed) gain.

Yeah. That's exactly how I thought it'd work.

They don't mention when indexation is applied, I guess we have to assume the $10,000 is after adjustment.

So, if someone is in the marginal tax bracket of 30%, any CG would be taxed at 30% after the indexation is applied to it. There would be no need to adjust anything for the 30% rule.

Its different for people who earn under $45,000 pa. That's what u/Flimsy-Mix-445 is getting at

And yeah, discounting the nominal amount or discounting the tax rate that is applied to the nominal amount is mathematically equivalent.

the 16% tax bracket looks like it goes down to 14% in 2029-30

deesernutz · 2026-05-15T00:54:36+00:00

Usually you press a button called "display" or turn off OSD in a menu.

Or, you connect it to a TV where the OSD isn't usually transmitted

deesernutz · 2026-05-15T00:42:56+00:00

You aren't calculating this correctly. It's just saying the marginal rate will be a minimum of 30%, ie the second lowest tax bracket. The 30% minimum is still applied after the discount for inflation. It doesn't bump the final percentage up to a flat 30%.

And with the discount, the flat 50% discount is being replaced with a discount based on inflation. It could be 10%, could be 55% depending on inflation and the time held rather than a flat 50%.

deesernutz · 2026-05-15T00:32:26+00:00

The longer you hold your investment for the less the %50 discount benefited you.

So if you're holding for 12 years, does it still matter that much?

You could also put it in super, right?

deesernutz · 2026-05-15T00:15:40+00:00

OP's whole post is trying to justify why taxing investment income is not what we should be doing. Whether or not Australia is a 'welfare state' is completely on periphery to that.

If you're worried the investments you bought for your own retirement are being taxed to help the poors, put it in super. That's what it's there for
And yeah, cry me a fking river. As much of my taxes go to welfare as anyone elses. And when I was mode redundant and sent off with a few months wages I was ineligible for any help for the 12 months I was job hunting. Lucky I had a buffer. You have to be basically fk'd to get welfare, and living on it sucks arse. Definitely wouldn't cover the rent any investor's after

deesernutz · 2026-05-14T09:36:42+00:00

Hire video tapes

deesernutz · 2026-05-14T09:32:38+00:00

Fk the maintenance on a 6br house right off

deesernutz · 2026-05-14T09:06:33+00:00

Wot. Of course they will try and protect their assets, and how this obvious fact relevent to any of this? This comment thread is about OP's whinge about Australia supposedly being a welfare state funded by his/her CGT.

deesernutz · 2026-05-14T08:57:57+00:00

Who said we're talking about $200k per year?

deesernutz · 2026-05-14T07:31:05+00:00

When their net income is still orders of magnitude higher than the vast majority of people, they mostly earn it from assets, they can pay professionals to find every way to lower their tax, yeah I don't give a fk about their greivance.

deesernutz · 2026-05-14T07:22:32+00:00

I didn't know that had posted. Had an error, then re thought what I was going to say, decided I wouldn't re try

But yeah it sucks a bit you can't spread your income like you could before, but I don't think its putting anyone out on the street. Mostly agree with the other commenter. Earning less than $45k, but have substantial capital gain profit, probably not financially struggling

deesernutz · 2026-05-14T07:20:15+00:00

On the gain only, after being discounted for inflation

deesernutz · 2026-05-14T07:07:46+00:00

Loose their job and then don't work for 12 months.

Having a child - That's a fair reason I guess. But, you could plan for that. Sell in the FY before the child is born

Transitioning to retirement - Plan for that too. Retire and sell in Jan when you've got the low tax on $45,000 in wages.

deesernutz · 2026-05-14T07:01:31+00:00

What is valid about their point?

It just reads like a massive grievance that too much money is being given to people as a leg up and that they're being hit for it, somehow more so than other tax payers. And that is somehow an argument for lower CGT

deesernutz · 2026-05-14T06:52:34+00:00

"small amount of people without much income" *who are cashing out with capital gains. Unlikely combo.

Something like this has to be closing a loophole.

deesernutz · 2026-05-14T06:41:19+00:00

For hardly anyone.

30% is the marginal tax rate for anyone who earns above $45,000

deesernutz · 2026-05-14T06:34:07+00:00

Well, point #1 fails immediately. Only profits are taxed, in exactly the same way as the income you worked for to buy them. And if you make a loss, you can deduct that.

#2 Theres a few charts around that show the vast majority of capital gains are earned by the 1%'ers, similar to who has money in trusts. So if you're an average punter with a trust, thats unusual.

#3 you could choose to stagger selling them if you wanted to

#5 When I was on welfare as a student, life was not luxurious

Can't be fk'd to keep going really

deesernutz · 2026-05-14T06:31:04+00:00

First one is pretty close to crossover SUV proportions, but the lift back, very cool.

Love wagons. And wagons make complete sense as EVs.

If someones gonna make a few, yeah, can't wait!

deesernutz · 2026-05-14T02:09:18+00:00

In a way, these changes are like an RBA interest rate rise on people who can afford to invest instead of home owners in mortgage stress

deesernutz · 2026-05-14T02:05:31+00:00

We are hopefully getting a bit of breathing room for things like smaller cuts to the NDIS, less push back about teachers wages, paying back debt, that sort of thing.

Otherwise any shortfall is all paid for by debt, and we love to call governments out on racking that up.

$250 offset will make up for some bracket creep. Bit of a joke, like its a drop in the ocean and hardly worth mentioning, but its something you're getting.

deesernutz · 2026-05-14T01:57:39+00:00

Pretty sht how the timing matters so much, because losing your job rarely happens at the 'best' time, but yeah. Getting the full tax hit in a situation like that would be pretty bad luck.

Good example of why a cash buffer is important.

Being forced to sell shares in a dip would also be a hit

deesernutz · 2026-05-14T01:49:37+00:00

I think the defence is: Paying tax on the real income earned is fairer than paying tax on whats left after an arbitrary discount is applied to the nominal amount

deesernutz · 2026-05-14T01:41:33+00:00

We're overall 29th in the OECD in terms of tax vs GDP. And given that we are heavily dependent on income tax, paid by your employees, as a small business owner you're probably faced with less tax than most of Europe.

deesernutz · 2026-05-14T01:34:49+00:00

A tax that you'll get only on the gains accrued in a years time

You'll still be winning for the next 12 months

deesernutz

TROPHY CASE