Australia Considers Scrapping Capital Gains Tax Discount Affecting Crypto Profits

Australia is set to overhaul its capital gains tax rules, replacing the current 50% discount on long-term assets with a new system that taxes inflation-adjusted gains.

The change, expected in the fiscal year 2027 budget, would apply to crypto and other investments held for more than 12 months. Instead of receiving a discount, investors would be taxed on real profits after inflation is factored in, potentially increasing tax bills for long-term holders.

Source: Australian Financial Review