Market Value at 1 July 2027: The CGT Record You Need

On 1 July 2027, every CGT asset in Australia is deemed to have been sold and bought back. No tax is payable that day -- but the market value of your assets at that moment decides, forever, how much of your eventual gain is taxed under the old rules with the 50% discount and how much falls under the new indexation-and-minimum-tax regime. Investors who can prove that value keep control of the split. Investors who can't are left with the fallback method, whether it favours them or not.

Why one date now matters for every investor

The 2027 CGT reform abolishes the 50% discount for CGT events from 1 July 2027, but it protects gains you accrued before then. The mechanism is a transitional split: gains up to 1 July 2027 keep the old rules, growth after that date gets the new ones. The legislation measures that split primarily by market value at 1 July 2027.

That makes one number per asset -- what it was worth that day -- a permanent input to every future tax return where you sell something you held through the transition. You might sell in 2029, or 2035. Whenever it happens, the first question is: what was it worth on 1 July 2027, and can you show it?

What "evidence of market value" means, asset by asset

Listed shares and ETFs

The easy case, on one condition. Market value is the closing price on the day multiplied by the units you hold -- per parcel. The price is public and undisputed; the work is on your side of the multiplication. You need to know exactly how many units you held at the transition, parcel by parcel, because CGT is calculated per parcel, and parcels bought at different times will carry different old-rules gains through the split. If your records are a pile of contract notes and a half-maintained spreadsheet, reconstructing that later is painful. If you have parcel-level records, it is trivial.

Crypto

Same principle, less infrastructure. Take a dated snapshot of your holdings and the exchange prices at the transition -- an export or screenshot from your exchange showing balances and AUD values, saved somewhere durable. Crypto traded across multiple exchanges and wallets multiplies the bookkeeping; do it once on the day rather than reconstructing it years later from transaction history.

Property and unlisted assets

The hard case. There is no closing price for a house. A formal valuation dated at or near 1 July 2027 is the strongest evidence, and for an asset measured in hundreds of thousands of dollars, the fee is small against the tax riding on the number. The alternative is the apportionment fallback -- covered next -- which takes the decision out of your hands.

The apportionment election, and why valuation usually beats it

The legislation provides a fallback: a Minister-determined apportionment method, available as a taxpayer election, which splits your gain across the transition by formula rather than by what the asset was actually worth. It exists so that nobody is stranded without a number.

But a formula knows nothing about your asset. If your holdings ran up strongly before July 2027 and drifted after, a time-based split hands part of your discounted old-rules gain to the new regime. Documented market value captures the run-up where it belongs. The election is worth taking only when the formula happens to favour you or when evidence genuinely can't be obtained -- and you can only make that comparison if you recorded the value anyway. Either way, the valuation record wins.

The checklist for 30 June 2027

1. Parcel dates. Acquisition date for every parcel of every holding -- this drives the 12-month tests on both sides of the transition.
2. Unit counts. Exact units per parcel as at 30 June 2027, after every DRP, split, and partial sale.
3. Closing values. Closing price × units for listed assets; exchange snapshots for crypto; a formal valuation for property.
4. Keep it somewhere durable. This record gets used at every future sale, possibly a decade away. A screenshot in your camera roll is not a system.

How Grove does this automatically

This is, honestly, exactly the data Grove already keeps. Grove tracks every holding at parcel level -- acquisition date, units, cost base -- and snapshots your portfolio's market value daily. When 1 July 2027 arrives, the record the transition needs is already sitting in your history: what you held, in which parcels, and what it was worth that day. No reconstruction, no spreadsheet archaeology.

And before the deadline, the same parcel data answers the planning question: which positions are worth realising under the old rules while the 50% discount is still available.

The 2027 transition rewards investors with clean records. Grove keeps them for you, automatically, every day.