Australia

The government's legislated tax cuts apply to resident individuals effective from 1 July 2026. See the Taxes on personal income section for more information.

From 1 July 2026, a ‘standard tax deduction’ of up to 1,000 Australian dollars (AUD) is available without substantiation for individuals with assessable labour income. See the Deductions section for more information.

From 1 July 2027, a ‘Working Australians Tax Offset’ of up to AUD 250 is available to Australian residents who receive net labour income (including salary, wage, and sole trade business income). See the Other tax credits and incentives section for more information.

From 1 July 2026, a new tax is imposed on individuals who have a total superannuation balance above AUD 3 million. See the Other taxes section for more information.

From 1 July 2027, significant reforms apply to the taxation of capital gains, with the 50% capital gains tax (CGT) discount removed for most asset disposals, replaced with cost base indexation and a 30% minimum tax. Pre-CGT assets (assets acquired before 20 September 1985) will also become taxable from this time. Additionally, from 1 July 2027, the availability of negative gearing deductions on certain rental properties will be restricted, such that any net rental loss arising from an investment in an established residential dwelling acquired from 7:30pm (AEST) 12 May 2026 can no longer offset an individual’s other income. See the Income determination section for more information.

The Australian government plans to enter into an updated tax treaty with Canada, while the new treaties recently signed with Portugal (30 November 2023), Slovenia (9 September 2024), Ukraine (16 October 2025), and Croatia (24 November 2025) are yet to enter into force. See the Foreign tax relief and tax treaties section for more information.

The ban on foreign persons, including temporary residents and foreign-owned companies, to buy an established dwelling in Australia, subject to limited exceptions, has been extended to 30 June 2029. See the Other issues section for more information.