Selling Shares Before or After 12 Months: What the CGT Discount Is Worth
The tax on a $20,000 gain sold just before and just after 12 months at four incomes, and how to count the days correctly.
By the MoneyBackKit AU team · Updated 28 October 2026 · 2 min read
If you've held shares, an ETF or crypto for at least 12 months, only half the capital gain is taxed (for individuals). Sell one day too early and the whole gain goes onto your income. On a $20,000 gain, waiting can be worth thousands.
Tax on a $20,000 gain: sold before or after 12 months
| Your other income | Held under 12 months | Held 12 months or more | Saved by waiting |
|---|---|---|---|
| $50,000 | $6,650 | $3,350 | $3,300 |
| $90,000 | $6,400 | $3,200 | $3,200 |
| $150,000 | $7,800 | $3,900 | $3,900 |
| $200,000 | $9,400 | $4,700 | $4,700 |
Counting the 12 months
- The clock runs from the contract date you bought to the contract date you sell; the day of purchase and the day of sale don't count, so sell at least 12 months and 1 day later.
- Each parcel bought on a different date has its own 12 months. Shares added by a dividend reinvestment plan start new parcels.
- For crypto, each swap from one coin to another is a sale, which restarts the clock.