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    MCA push to retain CGT discount: funding impacts for new mine projects

    August 11, 2026|

    Reviewed by Joe Ashwell

    MCA push to retain CGT discount: funding impacts for new mine projects

    First reported on Australian Mining

    30 Second Briefing

    The Minerals Council of Australia is urging the Federal Government to extend the 50 per cent capital gains tax discount for individual investors in junior minerals explorers beyond its June 2027 expiry. Under the scheme, investors pay CGT on only half the profit from shares held for at least 12 months, a setting the MCA argues is critical for high‑risk greenfields exploration and early‑stage drilling campaigns. Any change to this tax treatment could materially affect capital flows to junior explorers, influencing pipeline projects for critical minerals and future mine development.

    Technical Brief

    • Tax treatment is triggered on disposal of shares, so timing of exits directly affects realised after‑tax returns.

    Our Take

    The Minerals Council of Australia has been active across multiple policy fronts in 2026 in our database, from skilled migration settings to nuclear prohibitions, so its defence of the 50 per cent CGT discount signals a coordinated push to de‑risk both capital and labour inputs for Australian projects.

    With Amanda Lacaze of Lynas Rare Earths now chairing the MCA, as covered in a May 2026 piece, the council’s stance on extending the CGT discount beyond June 2027 is likely to be framed around capital-intensive critical minerals and rare earths developments that rely heavily on early‑stage equity.

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    Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.

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