Overview

The Government has introduced the Treasury Laws Amendment (Tax Reform No. 3) Bill 2026 into Parliament.

Key changes include:

• proposed 30% minimum tax on the net income of discretionary trusts from 1 July 2028.  Includes transitional rollover relief for certain restructures and an option for existing discretionary trusts to elect to become an “excluded election trust”, subject to fixed distribution requirements.
• changes to the new CGT rules, including measures affecting CGT issues post death and relationship breakdown, AMITs, MITs and other trusts.  The Bill also proposes to ensure that the loss-ordering rules do not impact complying superannuation funds investing through trusts (including MITs and AMITs).
• changes to the negative gearing rules, including defining when a residential dwelling qualifies as a new residential dwelling
• one-off Payday Super transitional measure for 2026–27. Certain mandatory employer contributions such as super guarantee contributions relating to the June 2026 quarter will be disregarded when calculating an individual’s concessional contributions for 2026–27, helping prevent individuals from exceeding their concessional contributions cap solely because of the transition to Payday Super.

The ATO has published information on the CGT reforms titled Learn how capital gains tax (CGT) changes announced in the Budget may apply to the sale or disposal of your assets

The information outlines the changes commencing from 1 July 2027, including the replacement of the 50% CGT discount with cost base indexation for future gains, the introduction of a minimum 30% tax on certain net capital gains, and the extension of CGT to gains accruing on pre-CGT assets from that date. It also explains the transitional rules that will apply to assets held before 1 July 2027.

The Government has released the 2026 Intergenerational Report.

It projects the outlook for the Australian economy and the Government’s budget to 2065–66.

The report includes a new section on the major transitions shaping Australia’s economy:

• The artificial intelligence revolution
• Geopolitical fragmentation
• Energy transition
• Ageing and the care economy
• Australia’s industrial transformation

As well as a chapter on intergenerational equity.