Capital Gains Tax Valuation in Canberra: Preparing for 1 July 2027

If you own an investment property in Canberra, the capital gains tax (CGT) rules that have applied since 1999 are changing. Announced in the 12 May 2026 Federal Budget and legislated on 26 June 2026 (Treasury Laws Amendment (Tax Reform No. 1) Act 2026), the reform replaces the 50% CGT discount with cost-base indexation and a 30% minimum tax rate on capital gains from 1 July 2027. The detailed apportionment method and ATO guidance are still to come — and the now-confirmed start date gives owners a clear reason to get their records in order.

For many Canberra owners, the single most useful step is establishing a defensible market value of the property as at 1 July 2027. Here is why, and what it means in practice.

What is changing on 1 July 2027

The reform applies to gains arising after 1 July 2027. Gains that accrued before that date stay under the current rules; gains after it fall under the new regime. In practice, a long-held property may need its gain apportioned across 1 July 2027.

A few points worth knowing:

• Income support recipients (including pensioners) are proposed to be exempt from the 30% minimum rate.
• New builds keep a choice between the old and new arrangements.
• Self-managed super funds are excluded from this reform — though SMSFs still need annual valuations for their own compliance.

The measure is now legislated; what remains open is the detailed apportionment method (to be set by legislative instrument) and ATO practical guidance. The start date and the apportionment principle are settled.

Why a 1 July 2027 valuation matters

When a gain has to be split across 1 July 2027, the Australian Taxation Office accepts more than one method — including a formula based on the holding period, or an independent market valuation at the apportionment date. Where Canberra prices have moved unevenly (and they have), a valuation is usually the most defensible way to support the split in your return: it reflects what the property was actually worth on the day, rather than a straight-line estimate.

A valuation dated 1 July 2027 also becomes part of your permanent CGT record. Kept properly, it supports the cost-base position for years — long after the memory of the mid-2027 market has faded.

This is not tax advice, and a valuation is not a legal requirement. It is an evidence question: when you eventually sell, the stronger your contemporaneous evidence, the easier the apportionment is to stand behind. Our capital gains tax valuation page covers the process in full, and the CGT calculator gives a quick sense of the moving parts.

Why local matters in Canberra

Canberra is its own market. Values behave differently across Belconnen, Gungahlin, Woden, Tuggeranong and the inner north and south, and the city’s leasehold land system adds nuance that interstate valuers do not always account for. A defensible 1 July 2027 valuation rests on local comparable evidence — recent sales of genuinely similar properties in the same pocket of the city.

Landmark Valuations is based in Belconnen and works across the ACT every week, so the comparables behind your valuation are local, current and relevant. That matters most for exactly the apportionment scenario above, where the figure has to hold up against the ATO’s own data.

What to do now

You do not need to act on day one of the new rules, but a little preparation goes a long way:

1. Locate your records — the original purchase contract, settlement statement, and any capital improvement receipts (these feed the cost base).
2. Note your holding structure — individual, joint, trust or company changes how the reform applies.
3. Plan the 1 July 2027 valuation — diarise it now so the report is dated close to the changeover, while the evidence is fresh.
4. Talk to your accountant about whether apportionment by valuation or by formula suits your situation.

If you would like a tailored quote for a 1 July 2027 valuation on a Canberra property, you can request one here — or read more about our Canberra valuations and ACT coverage.

Frequently asked questions

Do I need a valuation for the 1 July 2027 CGT changes in Canberra?

A valuation is not a legal requirement, and the ATO accepts more than one method — including a formula based on the holding period. But where Canberra prices have moved unevenly, an independent market valuation at 1 July 2027 is usually the most defensible way to support the split in your return, because it reflects what the property was actually worth on the day rather than a straight-line estimate.

Is the 1 July 2027 CGT change law yet?

Yes — since 26 June 2026. Announced in the 12 May 2026 Federal Budget, the reform was enacted as the Treasury Laws Amendment (Tax Reform No. 1) Act 2026 and commences 1 July 2027, replacing the 50% CGT discount with cost-base indexation and a 30% minimum tax rate. The detailed apportionment method and ATO guidance are still to be published, but the start date and apportionment principle are settled.

Are self-managed super funds affected by the 2027 CGT reform?

No — self-managed super funds are excluded from this reform, which applies to individuals, trusts and partnerships. SMSFs still need annual valuations for their own compliance, but that is separate from the 1 July 2027 changes. Income support recipients, including pensioners, are proposed to be exempt from the 30% minimum rate, and new builds keep a choice between the old and new arrangements.

Why does using a local Canberra valuer matter for CGT?

Canberra is its own market — values behave differently across Belconnen, Gungahlin, Woden, Tuggeranong and the inner north and south, and the city’s leasehold land system adds nuance interstate valuers do not always account for. A defensible 1 July 2027 valuation rests on local comparable evidence: recent sales of genuinely similar properties in the same pocket of the city, which is what holds up against the ATO’s own data.

When should I get my Canberra CGT valuation done?

You do not need to act on day one of the new rules, but plan the 1 July 2027 valuation now and diarise it so the report is dated close to the changeover, while the evidence is fresh. A valuation dated 1 July 2027 becomes part of your permanent CGT record and supports the cost-base position for years — long after the mid-2027 market has faded from memory.

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Sources

• Tax reform — Budget 2026–27
• ATO — Reforming negative gearing and capital gains tax

Last verified 6 July 2026. The 1 July 2027 CGT changes became law on 26 June 2026; the detailed apportionment method and ATO guidance are still to be published — confirm the final rules with your accountant or the ATO before acting.