The Big Benefits of Business Owners

The 2026–27 Federal Budget has introduced a broad range of proposed changes that could impact individuals, investors, business owners and employers across Australia.

In our view, this Budget represents one of the more significant proposed tax reform packages in recent decades, with measures targeting investment structures, property taxation, trusts, business concessions and personal taxation.

Importantly, these are budget announcements only and are not yet law.

As we recently saw with the proposed additional superannuation tax on balances exceeding $3 million, there can often be substantial changes between an initial announcement, draft legislation and final enacted law.

At this stage, draft legislation has not yet been released for many of the announced measures, and there is still considerable consultation and political process ahead.

We also acknowledge that a number of our clients may potentially be impacted by some of the proposed reforms.

Encouragingly, many of the announcements include references to grandfathering provisions, transition periods and restructuring opportunities, recognising that taxpayers may require time to review and adjust their affairs where appropriate.

Broadly speaking, the proposals appear aimed at resetting aspects of the Australian tax system across several fronts.

While there is naturally uncertainty at this early stage, there is also likely to be time available for considered planning and strategic decision-making should any measures proceed.

To help you stay informed, we’ve prepared a summary outlining the key announcements and what they may mean moving forward.

Some of the key areas covered include:

• Proposed changes to negative gearing and capital gains tax

• New tax deductions and offsets for workers

• Business instant asset write-off updates

• Changes affecting trusts, investors and employers

• Economic outlook, inflation and interest rate implications.

As always, we will continue monitoring developments closely and provide further updates as additional detail and draft legislation become available.

If you would like to discuss how any of the proposed measures may impact you, your business or investment structures, please contact our office.