Australia: Bill amending foreign resident capital gain tax, merger control regimes passes lower house of Parliament with amendment
Amendment would extend original stipulated timeframe for transitional 50% CGT discount for certain foreign residents who dispose of Australian renewable energy assets by 10 years.
The lower house of Parliament (House of Representatives) passed a bill amending the foreign resident capital gains tax (CGT) and merger control regimes, with an amendment that would extend the original stipulated timeframe for the proposed transitional 50% CGT discount for certain foreign residents who dispose of Australian renewable energy assets by 10 years to June 30, 2040.
Other provisions in the Treasury Laws Amendment (Strengthening Accountability for Tax Adviser Misconduct and Other Measures) Bill 2026, which passed the Lower House without amendment, include:
- Clarifying and broadening the foreign resident CGT tax base by incorporating a definition of “real property” that applies to CGT events happening on or after the effective date of the legislation
- Amending the acquisitions provisions in the Competition and Consumer Act 2010 (CCA 2010) to refine the operation of the new mandatory and suspensory merger control regime