Moving from the US to Australia
A US citizen moving to Australia needs to assess gains under both systems. Australian discount eligibility and the legislation behind announced reforms require a current review; local relief is not a US exemption.
Check the applicable capital-gains rules
Treasury’s 2026–27 budget describes changes for gains accruing from 1 July 2027. A budget announcement alone does not establish enacted law. Confirm eligibility, the legislation and transitional rules for the specific asset before using a discount or disposal date in the plan.
Assess ordinary income tax, Medicare treatment and asset-specific tax consequences separately; a combined headline rate is not a personal calculation.
The US tax remains live
US citizens and green-card holders are taxed on worldwide income and gains wherever they live. Australia's discount therefore has to be compared with the US long-term capital-gains rates of 0/15/20% plus 3.8% NIIT and then tested through foreign-tax-credit rules.
The US estate exemption is USD 15,000,000 per person for 2026, with 40% above. Australia has no inheritance tax, but that does not remove the US estate analysis for a citizen.
Residency and immigration are separate
The proposed Australian 183-day bright-line residency test was not legislated as of September 2026. Existing tests remain relevant. The Significant Investor Visa and related business-investment subclasses are closed, so investment-residency marketing is stale.
Before you move
- Confirm the enactment and transitional status of the announced Australian capital-gains changes before relying on a 2027 start date.
- A US citizen cannot claim Australia's CGT discount as a US tax exemption.
- The 183-day bright-line test is proposed only, and investment-residency subclasses are closed.
Continue your research
Request a private assessment
Tax rates are only the first screen. Residency, ownership, treaty position and succession can change the outcome.
Request a private assessment