The Federal Government’s 2026 Budget introduces a broad range of tax reforms, business support initiatives, and cost-of-living measures aimed at strengthening productivity, supporting workers, and reshaping investment incentives across Australia.
For businesses and individuals, the latest announcements present both opportunities and important planning considerations.
At Certum Advisory, we’ve reviewed the key measures and outlined what they may mean for our clients moving forward.
Key Budget Announcements
Permanent $20,000 Instant Asset Write-Off
One of the major wins for small businesses is the Government’s decision to make the $20,000 instant asset write-off permanent for eligible businesses with turnover under $10 million.
This measure can assist businesses to:
- Invest in equipment and technology sooner
- Improve cash flow management
- Increase operational efficiency
- Support future growth and productivity
New Tax Relief for Workers and Sole Traders
The Budget also introduces several personal tax relief measures, including:
- A new $250 Working Australians Tax Offset from 2027–28
- A simplified $1,000 instant tax deduction
- Additional personal income tax cuts from July 2026 and July 2027
These measures are designed to ease cost-of-living pressures while simplifying tax reporting obligations for millions of Australians.
Changes to Capital Gains Tax and Negative Gearing
The Government has announced significant proposed reforms to investment taxation, including changes to capital gains tax calculations and negative gearing arrangements for future property investments.
These changes may affect:
- Property investors
- Family investment structures
- Long-term wealth planning
- Investment decision-making strategies
With major reforms expected from July 2027 onwards, early planning will be essential.
New Trust Tax Measures
The Budget also proposes a minimum 30% tax rate on certain discretionary trust income from July 2028.
For many business owners and families using trust structures, this may significantly impact:
- Income distribution strategies
- Asset protection planning
- Succession and estate planning
- Overall tax effectiveness
Businesses and investors should review their existing structures well ahead of implementation.
Productivity and Business Growth Initiatives
Additional Budget measures focus on improving productivity and supporting business resilience through:
- Tax loss carry-back provisions
- Startup support measures
- Regulatory simplification initiatives
- Infrastructure and economic investment programs ()
These initiatives may create opportunities for businesses looking to invest, expand, or improve financial performance.
What Should Businesses and Individuals Do Now?
Although some measures will take effect over the next several years, now is the ideal time to review your financial position and prepare strategically.
Key areas to assess include:
- Business structures and trust arrangements
- Investment and asset strategies
- Tax planning opportunities
- Cash flow forecasting
- Succession and estate planning
- Compliance obligations
Early preparation can help reduce risk while positioning you to take advantage of available opportunities.
How Certum Advisory Can Help
At Certum Advisory, we help businesses and individuals navigate changing financial and regulatory environments with practical, strategic advice.
Our team can assist with:
- Business and tax structuring reviews
- Investment and cash flow planning
- Trust and succession strategy
- Tax compliance and advisory services
- Strategic business planning
The Federal Budget introduces complex changes that may have long-term implications. Seeking advice early can help ensure you remain compliant, financially efficient, and well-positioned for future growth.
If you would like tailored advice on how the 2026 Federal Budget affects your business or personal circumstances, contact the team at Certum Advisory today.
