How to use this guide
Start with the date. Then check the status.
A Budget announcement does not change the tax law by itself. Some measures in the 2026–27 package have passed Parliament and received Royal Assent. Others remain proposals and should not be treated as settled.
The dates below focus on the points most likely to affect planning, records and decisions—not every measure announced in the Budget.
Key timeline
What has happened—and what starts next
Residential property acquisition cut-off
This is the grandfathering date and time for the legislated residential-property negative-gearing changes. Properties held before the announcement are protected.
Established residential property acquired after that time falls within the new rules from 1 July 2027. New builds retain access to negative gearing.
Read Treasury Laws Amendment (Tax Reform No. 1) Act 2026Tax Reform No. 1 Acts became law
Treasury Laws Amendment (Tax Reform No. 1) Act 2026—Act No. 49—and Income Tax Rates Amendment (Tax Reform No. 1) Act 2026—Act No. 50—received Royal Assent.
The 15% resident tax rate starts
The resident tax rate on taxable income from $18,201 to $45,000 reduces from 16% to 15%. This change was legislated before the 2026–27 Budget, in 2025, but commenced this financial year.
See Treasury’s tax system changes summaryStandard work-related expense deduction applies
A new standard work-related expense deduction of up to $1,000 applies. It is a deduction from taxable income—not a $1,000 refund.
Taxpayers can still claim their actual eligible work-related expenses instead where those claims are supported and more beneficial. Keep normal records until the better method can be determined.
View the enacted standard deduction scheduleTax rates, property rules and CGT arrangements change
- Resident tax rate: the rate for taxable income from $18,201 to $45,000 falls again to 14%. This was legislated previously.
- Working Australians Tax Offset: a new $250 offset begins, subject to eligibility.
- Negative gearing: restrictions commence for affected residential property acquired after 7:30pm AEST on 12 May 2026. New builds retain access.
- Capital gains tax: new indexation and minimum-tax arrangements apply to gains accruing from this date when later realised. Investors who buy new builds can choose either the existing 50% CGT discount or the new inflation-based arrangements and minimum tax.
30% minimum tax for discretionary trusts
The Government proposes a 30% minimum tax for discretionary trusts, with exceptions and implementation details still being settled. Treasury released consultation on 8 July 2026 and submissions close on 31 July 2026.
Proposed three-year rollover relief from 1 July 2027 is also not yet law.
Read the discretionary trusts consultation releaseNot yet legislated
Budget measures still proposed at 29 July 2026
Proposed These measures may change before becoming law. Avoid acting on them as if their final design is settled.
| Measure | Proposed timing | Current position |
|---|---|---|
| Instant asset write-off | From 1 July 2026 | A permanent $20,000 threshold for eligible small businesses. |
| Company loss carry-back | From 2026–27 | Eligible companies could carry losses back against tax paid in the prior two income years. |
| PAYG instalments | From 1 July 2027 | Optional monthly PAYG instalments and expanded dynamic instalments. |
| Start-up losses | From 2028–29 | Refundability of eligible start-up losses. |
| EV FBT transition | From 1 April 2027 | A permanent 25% FBT discount is proposed for eligible EVs over $75,000 from 1 April 2027, and for all eligible EVs from 1 April 2029. Eligible EVs up to $75,000 would continue to receive the full exemption where the arrangement begins before 1 April 2029. Read the EV home-charging guide. |
Practical next steps
What should you do now?
- 01
Keep the 12 May 2026 property acquisition date and time in transaction records.
- 02
Do not spend or restructure solely because of a Budget announcement that is not yet law.
- 03
Review payroll and tax settings for the resident tax-rate change.
- 04
Keep normal deduction records even with the new $1,000 standard deduction until the best method is determined.
- 05
Seek advice before trust restructures, property purchases or EV arrangements.
Primary sources
Official material
Planning a decision?
Check what applies before you transact or restructure.
Demeter can help you work through timing, eligibility, records and the difference between enacted law and measures still moving through consultation.
General information disclaimer: This article provides general tax and accounting information current at 29 July 2026. It is not personal advice and does not take account of your circumstances, structure, contracts or objectives. Announced measures may change before becoming law. Seek advice before relying on any measure or entering a property transaction, trust restructure, business expenditure or EV arrangement.