Overview

Today (18 June 2026), the Prime Minister Anthony Albanese issued a media release announcing changes to several measures in the Federal Budget tax reform package.

Key announcements:

• Testamentary trusts - The proposed 30% minimum tax on discretionary trusts will not apply to all discretionary testamentary trusts provided they are established for genuine testamentary purposes
• Small business CGT concessions -  The turnover threshold for the 50% active asset reduction will increase from $2 million to $10 million
• New CGT concession - a new Innovative Business CGT Concession will provide a 50% CGT discount to early-stage investors in innovative start-up businesses

See the FirstTech Newsflash for more information

The Centrelink rates and thresholds for 1 July 2026 have been released. 

The FIrstTech Centrelink rates and thresholds for 1 July 2026 are available here.   

During the Federal Budget Briefing webinars on 13 May, FirstTech received many questions in relation to the proposed CGT, negative gearing and discretionary trust tax changes.

The Government has now introduced the Treasury Laws Amendment (Tax Reform No. 1) Bill 2026 on 28 May 2026, which includes the proposed amendments to implement the CGT and negative gearing changes. However, to date, the Government has not introduced legislation to implement the proposed discretionary trust tax changes.

The following is a summary of the main questions FirstTech received during the Federal Budget webinars. The answers are based on both the Federal Budget papers as well as the newly introduced Bill.

Please be aware that all the Government’s announcements are only proposed at this stage and are not yet law.