Written

For

The

Australian

-

Fleeing

the

CGT

shake-up?

Best

low-tax

havens

for

entrepreneurs

Up to 47 per cent of your business sale proceeds, gone. That's the reality many Australian founders are staring down with the proposed capital gains tax overhaul, and it's no wonder so many are muttering about packing up and leaving. But where would you actually go?

I've taken a look at the realistic options, and the answer depends a lot on how big a lifestyle shock you're willing to absorb.

The softest landing is New Zealand. No visa headaches for Aussies, similar income tax rates, and crucially, a full CGT exemption on investment property held beyond two years under the brightline test. It won't slash your tax bill dramatically, but it's the path of least resistance.

If you want a serious tax reduction without giving up city living, Singapore is the standout. A top marginal rate of 24 per cent that only kicks in above $1.09m, generally no CGT, and a lifestyle Australians tend to settle into easily. The catch? Permanent residency is hard to get and the cost of living is brutal.

For the genuinely tax-allergic, Vanuatu and Dubai offer near-zero tax environments — but you're trading Bondi for cyclone season or 50C summers. Panama's territorial tax system is interesting if your income is generated offshore, and Bulgaria's flat 10 per cent appeals if you want a European base on a budget. Fiji sits in the middle with a 10 per cent flat CGT.

Here's the part most people gloss over though: leaving Australia for tax purposes isn't as simple as boarding a plane. The 183-day rule is just the start. The ATO can deem you to have disposed of shares, ETFs and managed funds on departure, triggering CGT. Property gets treated differently again.

My honest view? Plenty of entrepreneurs talk about leaving. Very few actually do.