As we approach the end of the financial year, now is the time to review upcoming tax changes and identify opportunities to manage tax, cash flow and risk. The most effective tax planning happens before 30 June — not after.
Below is a snapshot of the key personal and business tax considerations for 2026.
Personal tax planning – key changes & focus areas
Superannuation (effective 1 July 2026)
- The Superannuation Guarantee (SG) remains at 12%, on employer contributions.
- The concessional contribution cap is increasing to $32,500 (previously $30,000)
- The non concessional contribution cap is increasing to $130,000 (previously $120,000 .
- If your total super balance was under $500,000 at 30 June 2025, you may be able to use unused concessional caps from up to five prior years to make additional tax‑deductible contributions.
Transfer Balance Cap (TBC)
- The general Transfer Balance Cap increases to $2.1 million from 1 July 2026 (previously $2m)
Those approaching retirement or already in pension phase should review contribution, rollover and withdrawal strategies to avoid unintended breaches.
Capital gains planning
- Beware of proposed Federal Budget changes from 1 July 2027 including removal of the 50% CGT discount on newly acquired assets.
- In general, Capital gains may be reduced by offsetting capital losses.
- The timing of asset sales (before or after 30 June) can materially affect tax outcomes.
- One‑off or large transactions should be planned early.
Work‑from‑home deductions
- The ATO fixed‑rate method continues at 70 cents per hour.
- You must still keep records reasonably supporting hours worked from home.
Motor vehicle claims
- The cents‑per‑kilometre rate remains at 88 cents per kilometre.
- While logbooks are not required under this method, you must still be able to explain how business kilometres were calculated.
Increased ATO data matching
- The ATO continues to expand data matching across banks, employers, investment platforms and government data.
- Accuracy and consistency across tax returns is increasingly important.
Business tax planning – key changes & focus areas
Timing of income and expenses
- There may be opportunities to:
- Bring forward deductions, or
- Defer income where commercially appropriate.
- Prepayments and accrued expenses should be reviewed before year‑end.
Asset purchases and depreciation
- Depreciation outcomes depend on:
- Business structure
- Aggregated turnover
- Timing of purchase and use
Significant differences can arise depending on when assets are acquired and first used — speak with us before committing to purchases.
Superannuation & payroll changes ahead
- The Small Business Superannuation Clearing House will close by 1 July 2026
- Payday super will commence from 1 July 2026, increasing the frequency of super payments.
Businesses should review payroll systems and cash flow well before these changes take effect
