Australia unveils 50% CGT discount for startup founders, employees and early investors

In its 18 June 2026 tax-reform package, the Albanese Government proposed a new 'Innovative Business' CGT concession giving founders, employee share scheme participants and early-stage investors a 50% capital gains tax discount, at a cost of $125 million over the forward estimates. Eligible companies must be under 10 years old (15 for biotech/medtech), have under $50 million turnover and meet innovation standards, with a 5-year holding period and a lifetime cap; it applies to gains accrued from 1 July 2027. Separately, the small business 50% active-asset CGT discount threshold rises from $2 million to $10 million turnover.