4.1 Introducing a Working Australians Tax Offset The Government will introduce a $250 Working Australians Tax Offset with effect from the 2028 income year. This new offset will provide a permanent annual tax offset for Australians for their income derived from work such as salary and wages and the business income of sole traders. 4.2 $1,000 Standard Deduction for Work-related Expenses The Government will introduce a standard tax deduction of up to $1,000 for work-related expe

From 1 April 2029, a permanent 25% discount on FBT will be available for all electric cars valued up to and including the fuel-efficient luxury car tax threshold, implemented through a 15% rate in the statutory formula. The following transitional arrangements will apply: All eligible electric cars will retain the FBT discount rate that was in place when the arrangement commenced. All electric cars valued up to and including $75,000 that are provided before 1 April 2029 will c

From 1 July 2027, losses from established residential properties will only be deductible against rental income or the capital gains from residential properties. Excess losses will be carried forward and are able to be offset against residential property income in future years. These changes will apply to established residential properties acquired from 7:30 PM (AEST) on 12 May 2026. Properties acquired prior to this time (including contracts entered into but not yet settled)

The Government will introduce a minimum 30% tax on discretionary trusts. From 1 July 2028 (i.e., from the 2029 income year), trustees will pay a minimum tax of 30% on the taxable income of discretionary trusts. Beneficiaries, other than corporate beneficiaries, will receive non-refundable credits for the tax payable by the trustee. Under the minimum tax, corporate beneficiaries will be assessed based on the trust income to which they are entitled, without being able to claim

5.1 Permanent $20,000 instant asset write-off From 1 July 2026, the Government will permanently extend the $20,000 instant asset write-off for small businesses with turnover of less than $10 million. Assets valued at $20,000 or more can continue to be placed into the small business depreciation pool. The provisions that prevent small businesses from re-entering the simplified depreciation regime for five years after opting out will continue to be suspended until 30 June 2027.

7.1 Extending the ban on foreign purchases of established dwellings The Government will extend the temporary ban on foreign purchases of established residential dwellings by two years and three months until 30 June 2029. The ban was originally implemented for two years from 1 April 2025. 7.2 Protecting the tax system against fraud The Government will provide $86.3 million over four years from 1 July 2026 and $9.7 million per year ongoing from 2030-31 to deliver Phase 2 of the

Gain an understanding of the reforms to CGT in the most recent federal budget 2026-27