The May 2026 Federal Budget introduces some of the most significant proposed tax reforms Australia has seen in decades. While a small number of measures provide modest relief for employees and small businesses, the broader direction of the Budget is clear: investment structures, discretionary trusts, capital gains and property tax concessions are all coming under […]
Capital Gains Tax (CGT) overhaul proposed from 1 July 2027 One of the most significant announcements in the Budget is the proposed overhaul of Australia’s CGT system. The current 50% CGT discount for individuals and trusts is proposed to be replaced with inflation indexation of the cost base. In practical terms, taxpayers would no longer […]
Instant asset write-off made permanent In positive news for small businesses, the $20,000 instant asset write-off for businesses with turnover under $10 million has been made permanent. This provides ongoing certainty for businesses investing in vehicles, equipment, computers, technology and office fit-outs. Loss carry-back rules return From 1 July 2026, eligible companies with turnover under […]
Previously legislated personal tax cuts continue.No major new personal tax cuts were announced in the Budget, however previously legislated reductions remain scheduled to proceed. The tax rate applying to income between $18,201 and $45,000 will reduce from 16% to 15% from 1 July 2026, and then to 14% from 1 July 2027. Tax savings remain […]