Australia's startup sector faces a critical crossroads as the government's planned capital gains tax (CGT) overhaul threatens to undermine the equity-based incentives that fuel early-stage innovation.

The new policies will see the 50% CGT discount replaced by cost-base indexation, where capital gains will be taxed only on gains exceeding the inflation rate, along with a minimum tax rate of 30%.

Entrepreneurial startup founders have raised the concern of 'founder flight', whereby entrepreneurs migrate to countries with more favourable taxation policies such as Singapore and the United Arab........

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