The Australian Budget’s proposed capital gains tax changes are not just about property.
If you are an Australian living in Thailand and hold shares, ETFs, managed funds, crypto assets or other investments, the proposed rules may affect how future gains are taxed in Australia.
For Australians in Thailand, there is also a second question: what happens if investment proceeds are later brought into Thailand?
This is where Australian CGT, Thai tax residency and remittance records may need to be reviewed together.
The answer may depend on your Australian tax residency position, the type of asset sold, when the gain arose, whether Australian tax was paid and whether the funds are remitted to Thailand while you are Thai tax resident.
This article explains the main issues Australian expats in Thailand should review before selling investments or moving funds into Thailand. It is for general information only and is not intended to replace Australian or Thai tax advice. It does not take into account your personal circumstances, objectives, financial situation or needs. Some Budget measures are still proposals, will not have legal force until passed by Parliament and the final legislation may change.
What Is Changing to the CGT Discount?
Capital gains tax can apply when you sell an asset for more than its cost base.
Under the current Australian rules, individuals may generally qualify for a 50% CGT discount if they hold a CGT asset for more than 12 months. In simple terms, only half of the capital gain is included in taxable income.
The Budget proposes replacing this approach from 1 July 2027.
Under the proposed system, the asset’s cost base would be adjusted for inflation. Tax would then apply to the gain above inflation. In some cases, a 30% minimum tax rate may apply to net capital gains.
The proposed reforms are expected to apply to individuals, trusts and partners in partnerships. Companies and superannuation funds may be treated differently.
This is a significant change. The current system gives a simple discount once an asset has been held for more than 12 months. The proposed system focuses on the real gain after inflation and introduces a minimum tax rate for some taxpayers.
The exact details will need to be confirmed once the final legislation is released.
Which Investments Could Be Affected?
The proposed CGT changes are not limited to Australian property.
They may affect a range of CGT assets, including:
- Australian shares
- ETFs
- Managed funds
- Crypto assets
- Business assets
- Australian investment property
- Foreign shares, foreign ETFs or foreign property, depending on Australian tax residency and Australia’s taxing rights.
For Australians living in Thailand, the key point is that the proposed CGT changes may apply to more than one type of investment asset.
If you hold an investment portfolio in Australia or overseas, you may need to review how gains could be taxed if assets are sold after 1 July 2027.
Why 1 July 2027 Matters
The proposed CGT changes are expected to apply from 1 July 2027.
This date may become important if you already hold shares, ETFs, managed funds, crypto or other investment assets before the new rules begin.
If those assets are sold after 1 July 2027, part of the gain may fall under the current rules and part may fall under the new rules. This means you may need evidence of the asset’s value around 1 July 2027. The exact method for calculating and evidencing this split will depend on the final legislation and any ATO guidance.
Valuation evidence may vary depending on the asset type:
- Listed shares and ETFs: Broker records, market prices and portfolio statements may help support the valuation.
- Managed funds: Fund statements may be needed.
- Crypto assets: Exchange records, wallet history, transaction exports and evidence of token values around the relevant date may be needed.
- Private businesses, unlisted investments or illiquid assets: Specialist valuation support may be needed.
The practical point is simple: do not wait until you sell. If you may be affected by the CGT changes, start gathering records before 1 July 2027.
What Should You Review Before 1 July 2027?
The proposed CGT changes are expected to apply from 1 July 2027. This creates a planning window for Australians in Thailand who hold shares, ETFs, crypto or other investment assets.
That does not mean everyone should sell before the deadline. Selling early may create unnecessary tax, investment or timing problems. However, it does mean this is a sensible time to review whether any action should be taken before the new rules begin.
Before 1 July 2027, you may want to review:
- Your Australian tax residency position
- Whether the asset is Australian or foreign
- Whether any assets with large unrealised gains should be sold before the new rules begin
- Whether it is better to hold assets and prepare valuation evidence for 1 July 2027
- Whether your cost base and valuation records are complete
- Whether your portfolio should be rebalanced before the transition date
- Whether a planned return to Australia could change the tax outcome
- Whether investment proceeds may later be remitted to Thailand
- Whether Thai tax advice is needed before funds are transferred
Why Residency Status Matters
Your Australian tax residency position can make a major difference to how capital gains are taxed.
An Australian tax resident may be taxed by Australia on a wider range of gains, including gains on some foreign assets.
A foreign resident for Australian tax purposes may have a narrower Australian CGT exposure.
However, some Australian assets can still remain taxable in Australia, even if you live overseas.
Temporary residents may be subject to specific rules and should take advice.
This means two Australians living in Thailand may have very different Australian CGT outcomes, even if they hold similar investments.
Your answer may depend on:
- Whether you are Australian tax resident
- Whether you are foreign resident for Australian tax purposes
- Whether temporary resident rules apply
- Whether the asset is Australian or foreign
- Whether Australia has taxing rights over the gain
- Whether you are planning to return to Australia
Australian tax residency should not be guessed. It is determined under Australian tax residency rules, not simply by where you live or where you spend most of your time. Before selling investments, returning to Australia or remitting large sums to Thailand, your Australian tax residency position should be reviewed carefully.
Australian Assets and Foreign Assets May Be Treated Differently
The location and type of asset can affect the Australian tax result.
Australian shares, Australian business interests and Australian property may raise Australian tax questions.
Foreign shares, foreign ETFs, foreign property and overseas investment portfolios may also need review, especially if you are Australian tax resident or planning to return to Australia. If you are a foreign resident for Australian tax purposes, Australia’s CGT exposure may be narrower, but the position should still be checked before selling major assets.
If you are planning to return to Australia, your position may need particular care. Becoming Australian tax resident again can affect how certain assets are treated. Some investment positions may need to be reviewed before your residency status changes.
If you have already left Australia, you may also need to consider whether any CGT events, deemed disposals or future Australian tax issues arose when you became non-resident.
This is why timing matters. The date you leave Australia, the date you become Thai tax resident, the date you sell an asset and the date you remit funds to Thailand can all be relevant.
Crypto and Digital Assets Need Special Care
Crypto assets need particular attention.
In many personal investment situations, crypto is treated as a CGT asset. A disposal may include selling crypto for fiat currency, swapping one token for another, using crypto to buy goods or services or transferring value in a way that triggers a taxable event.
Crypto records can be much harder to reconstruct later than traditional investment records.
Many investors hold crypto across different platforms and wallets, including:
- Centralised exchanges
- Cold wallets
- Hot wallets
- DeFi platforms
- Staking platforms
- Liquidity pools
This can make it difficult to show acquisition dates, cost base, disposal dates, market values and the movement of funds.
For Australians in Thailand, crypto can create both Australian and Thai tax questions.
You may need to review:
- Was the gain made while you were Thai tax resident?
- Was the crypto sold before or after moving to Thailand?
- Were proceeds converted to fiat currency?
- Were proceeds transferred into a Thai bank account?
- Were proceeds mixed with other funds?
Crypto investors should pay particular attention to evidence. If records are incomplete, it can be difficult to explain the source, timing and tax treatment of funds later remitted to Thailand.
Why Valuation Evidence Matters
Valuation evidence may become important if you sell assets after the new CGT rules begin.
For Australian CGT purposes, evidence may be needed to support the cost base, market value, gain calculation and timing of the gain.
For Thai tax purposes, records may also help explain what the funds represent if investment proceeds are later remitted to Thailand.
This matters because investment proceeds may include different elements, such as:
- Original investment capital
- Capital gains
- Dividends or distributions
- Interest
- Crypto trading gains
- Older savings mixed with investment proceeds
If these amounts are mixed together in the same account, it may be harder to explain the source and timing of funds later.
Good valuation and transaction records can make it easier to show what was sold, when the gain arose, whether Australian tax was paid and what was later brought into Thailand.
Poor records can turn a manageable tax question into a much harder problem.
What Records Should Australian Expats Gather Now?
Australian expats in Thailand should keep clear investment records, especially if they may sell assets after 1 July 2027 or remit proceeds to Thailand.
Useful records may include:
Investment records
- Broker statements
- Share, ETF and managed fund purchase records
- Dividend and fund distribution statements
- Cost base records
- Valuations around 1 July 2027 where relevant
Crypto records
- Exchange transaction history
- Wallet addresses and transfer history
- Records of purchases, swaps and disposals
- Evidence of fiat deposits and withdrawals
Tax and remittance records
- Australian tax returns and notices of assessment
- Bank statements showing movement of funds
- Records showing transfers from Australia to Thailand
- Evidence separating capital, income, savings and gains
The aim is to be able to show what was bought, when it was bought, what it cost, when it was sold, whether Australian tax was paid and what funds were later remitted to Thailand.
Not sure which Budget changes may affect you? Download our Australian Budget 2026–27 checklist below and use it to review your property, investments, trusts, income, remittances and records before you act.
What if Investment Proceeds Are Remitted to Thailand?
For Australians in Thailand, the Australian CGT question is only one part of the picture.
You may also need to consider the Thai tax position if investment proceeds are brought into Thailand.
Thai tax residency is generally based on time spent in Thailand during the calendar year. If you spend 180 days or more in Thailand during a calendar year, you may be treated as Thai tax resident for that year.
For Thai tax residents, foreign income and gains may need to be reviewed if they are remitted to Thailand.
Thai tax treatment of foreign-sourced income can be complex and has been subject to changing administrative practice. Specific Thai tax advice should be obtained before making large remittances into Thailand.
Thai rules and administrative guidance on foreign-sourced income continue to evolve, so the position should be checked based on the rules in force when funds are remitted.
For investment proceeds, the practical questions may include:
- Was the gain made while you were Thai tax resident?
- Was the asset sold before or after moving to Thailand?
- Were the proceeds remitted to Thailand?
- Do the funds represent older savings, investment capital, income or capital gains?
- Was Australian tax paid?
- Can the source and timing of the funds be clearly shown?
This is especially important where investment proceeds are mixed with dividends, interest, salary, rental income or other funds in the same account.
If money is moved into Thailand, you should be able to show what the funds represent and when they arose.
Practical Steps to Take Now
The proposed CGT changes are not yet in force, but Australians in Thailand should not wait until they sell an asset or transfer funds to review their position.
Practical steps to take now include:
- Review your Australian tax residency position
- Identify which assets may fall within Australia’s CGT rules
- Check which assets have large unrealised gains
- Consider whether any assets should be sold, held or rebalanced before 1 July 2027
- Gather cost base records and valuation evidence
- Download crypto exchange records and wallet histories while they are still available
- Keep clear bank records showing how investment proceeds move between accounts
- Avoid mixing investment proceeds with income, savings or other funds where possible
- Review the Thai tax position before remitting large sums to Thailand
- Seek Australian tax advice before making major sale, return or restructuring decisions
The key point is to make informed decisions before the new rules begin, not after records become difficult to reconstruct or funds have already been moved.
For Australians in Thailand, the best approach is to review the Australian CGT position and the Thai remittance position together.
Review Your Investment and Remittance Position Before You Act
If you are an Australian living in Thailand and hold shares, ETFs, crypto or other investments, it is worth checking how the proposed CGT changes may affect your position.
Our team can help you understand the Thai tax and remittance issues, identify the key Australian tax questions and explain whether specialist Australian tax advice may be needed before you sell assets or move funds into Thailand.
Further Reading in This Series
The Australian Budget 2026–27 may affect Australians in Thailand in different ways depending on their property, investments, trust structures, tax residency and remittance plans. You may also find these related articles useful:
Australian Budget 2026–27: What Aussies in Thailand Need to Know
Start with the full overview of the key Budget changes affecting Australians in Thailand, including property, investments, trusts and remittances.
Australian Property Owners in Thailand: How the 2026–27 Budget May Affect You
A practical guide to the proposed negative gearing changes and what they may mean if you own Australian rental property while living in Thailand.
Australian Budget 2026–27: Australian Family Trusts and Expats in Thailand
A guide to the proposed 30% minimum tax on discretionary trusts and what Australian expats with family trust structures may need to review.
