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Australia’s top capital gains tax rate on long-term real crypto gains rises to 47% from July 2027, the change examined in a Cointelegraph report published Nov. 9, 2026, which weighs whether leaving the country is a sensible response. The piece, written by Andrew Fenton and edited by Felix Ng, sets out relocation as the fifth of seven options and warns that it comes with its own tax bill.
Cointelegraph reported that Fred Schebesta, founder of Finder.com, has already become a tax exile in Singapore. Ben Simpson, founder of crypto advisory service Collective Shift, said a number of his members had also packed up and left, citing destinations such as the Bahamas.
Also read: Germany proposes 25% flat tax on crypto gains starting 2028
Key facts
- From July 2027, the top rate on real, long-term crypto gains is set to reach 47%, minus the effect of inflation on the cost basis.
- Singapore, Portugal, Malta, the UAE and Hong Kong are named as hubs offering 0% capital gains tax on long-term crypto gains.
- Adrian Forza of Crypto Tax Australia says departing residents face an exit tax on gains they hold, making a move costly for anyone sitting on large profits.
- Simpson, 27, trades and holds crypto through a company to use the 25% company tax rate instead of the higher personal rate.
Why the exit door is not free
Leaving does not erase the liability. Forza, director of Crypto Tax Australia, told Cointelegraph that Australia taxes departing residents on the gains they hold, so anyone with substantial unrealized profits may have to sell a meaningful part of their holdings to settle up. The alternative, deferring the tax until a later sale, means the bill is calculated on the full gain.
Cointelegraph cited Roger Ver, who gave up US residency in 2014 and a decade later was charged over failing to report the value of his crypto holdings and pay exit taxes, and paid almost $50 million to resolve the case. Simpson said anyone considering the move has to cut almost all ties to Australia, including healthcare and the majority of the year spent abroad.
Andrea Yuen, CEO of Sywftx, told Cointelegraph she lived in Singapore for 30 years and misses its lack of capital gains tax, but cautioned against structuring a life around tax alone, saying anyone moving solely because of crypto taxes should think harder about the decision.
Company structures and the indexation change
For those who stay, Simpson’s approach is a company. While profits remain inside it, each sale is taxed at the 25% company rate rather than the 47% personal rate, freeing more capital to trade with. The catch, he said, is that withdrawing money triggers the difference between 25% and the owner’s marginal rate. Forza said the structure suits higher earners, particularly now that the 50% CGT discount has been replaced.
Cointelegraph noted the new indexation discount simply measures real gains after inflation, meaning the apparent tax advantage for long-held ETFs is limited. Simpson argued Bitcoin’s growth still outweighs the tax considerations, and said his sister, a low-income basketball player, is up roughly 40% to 50% on a Bitcoin position opened two years ago.
Why it matters
Australia’s treatment of crypto gains moves closer to the top personal income tax rate, so the choice between relocating, incorporating and holding becomes a material planning question for investors of different ages and incomes. For younger holders, an SMSF locks up assets for decades; for older ones, the pension structure remains the most tax-efficient route. The shift also puts pressure on advisers to explain exit taxes that many clients do not expect.
What to watch
The July 2027 start date is the deadline that matters, and how the Australian Taxation Office applies the exit tax and indexation rules to crypto in the interim will shape how many investors actually leave.
This article is not financial or tax advice, and crypto markets are volatile and uncertain. Readers should consult a qualified professional.
Reported by Cointelegraph.
Source: Cointelegraph