26/05/2026
This week, we conclude our deep dive into the 2026–27 Federal Budget with Part 3, unpacking the significant reforms proposed across Australia’s tax landscape.
The budget outlines major changes to personal income tax, capital gains tax, negative gearing, discretionary trusts and small business concessions — measures that could have wide-reaching implications for individuals, investors and business owners alike.
Below is a straightforward overview of some of the key announcements, with additional insights and analysis explored throughout this series.
Fuel Excise Relief
- A temporary 32 cents per litre reduction in petrol and diesel excise applies for three months in response to the global oil shock, providing some short-term cost relief for businesses and households.
Electric Vehicles (EVs)
- The full FBT exemption for eligible EVs provided before 1 April 2029 is retained. After that date, a permanent 25% FBT discount applies to EVs valued up to the fuel-efficient luxury car tax threshold.
Research & Development Tax Incentive (R&DTI)
- The R&DTI will be restructured from 1 July 2028, with higher offsets for core R&D activities but tighter eligibility overall — most notably, supporting activities will no longer qualify.
- If you currently lodge R&DTI claims, please get in touch so we can review your position ahead of the changes.
As always, many of these measures are proposed and still require legislation to pass Parliament. We will continue to monitor developments and advise you accordingly.
If these proposed changes are likely to impact you — particularly property investors, trust structures or business owners considering an asset sale — we encourage you to speak with your Cumulus adviser early to assess your position and prepare for the upcoming implementation dates.
