CGT Change Delivers Tax Relief Boost for Farmers

Farmers across Australia are set to benefit from a major change to capital gains tax settings, after the Federal Government expanded access to a key small business concession.

The threshold for the 50 per cent active asset CGT concession will rise from $2 million to $10 million in annual turnover, bringing an estimated 99 per cent of farm businesses into eligibility.

National Farmers’ Federation President Hamish McIntyre says the change delivers meaningful financial relief and greater certainty for farming families making long-term decisions.

He says the update reflects the capital-intensive and intergenerational nature of agriculture, particularly around succession planning, investment and business transition.

The NFF says around 8,700 additional farm businesses will now gain access to the concession, and has welcomed the move as a strong example of sustained advocacy translating into policy action.

The organisation says it will continue working with government on broader tax reform to ensure settings reflect the structure and needs of modern farm businesses.