The startup tax workaround quietly reshaping local venture capital networks
- The federal government released a consultation paper detailing an alternative mechanism to help eligible early-stage startups retain their 50% capital gains tax discount, delaying final legislation until late 2027.
- Eligible independent firms must hold an annual turnover under $50 million, operate for under a decade, and issue equity after June 30, 2027.
- The broader market faces a July 1 transition substituting the flat 50% discount with cost base indexation and a 30% minimum tax rate.










