Other Federal Budget 2026 tax measures: what else was announced?

6 days ago

4 min read

The big Budget stories were the new worker offset, the property and CGT reforms, the discretionary-trust proposal, business deductions and company loss carry-back. But the papers also contained narrower changes that may matter to particular taxpayers.

Fuel nozzle and fading gold coin representing other Budget tax measures

This guide rounds up those items and clears up a few common misconceptions about GST, payroll tax, super and fuel excise.

Status at 5 September 2026: The measures below have different legal statuses and some are highly specialised. Confirm the current law before relying on them.

No broad GST rate or registration-threshold change

The Budget did not announce a general change to the 10% GST rate, the standard GST registration thresholds, ordinary BAS reporting or the basic input-tax-credit system.

There were limited GST-related items, including extensions to diplomatic concessions and interactions with temporary fuel relief. For most Australian small businesses, however, the headline is that there was no broad GST overhaul in this Budget.

No federal payroll-tax rate change

Payroll tax is mainly a state and territory tax. The Federal Government said it would work with the states and territories on administration, but it did not set a new national payroll-tax rate, threshold or tax base.

Do not confuse payroll tax with PAYG withholding, PAYG instalments, fringe benefits tax or super guarantee. They are separate systems with different triggers. The Budget’s proposed dynamic monthly PAYG instalments are a federal income-tax administration measure, not a change to state payroll tax.

The fuel-excise relief has expired

Excise and excise-equivalent customs-duty rates on most fuel products were temporarily cut by 60.9% from 1 April to 30 June 2026—equivalent to 32 cents per litre for petrol and diesel—and the heavy-vehicle road-user charge fell from 32.4 cents per litre to zero. That relief started before the May Budget. A smaller cut then ran from 1 July to 2 August 2026 (excise reduced to 36.6 cents per litre, a 16-cent cut, and the road-user charge reduced to 16.4 cents per litre). Full rates resumed on 3 August 2026.

Businesses should not price current fuel or fuel-tax-credit decisions as though the temporary reduction is still running. Check invoices, fuel tax credit rates and tax periods carefully around the 1 April, 1 July and 3 August 2026 boundary dates.

More ATO fraud-detection and compliance funding

The Budget provided further funding for real-time fraud detection, live monitoring and targeted tax and super compliance. Proposed legislative powers include measures dealing with debts caused by fraudulent intermediaries and broader information or recovery tools.

The practical takeaway is not complicated: secure your online accounts, keep identity and bank details current, review ATO communications quickly, and be cautious about anyone promising refunds that seem too good to be true.

Foreign buyers and established homes

From 1 April 2025 to 30 June 2029, foreign persons are banned from purchasing established dwellings unless a limited exception applies. The extension is reflected in current ATO guidance. This is a foreign-investment rule rather than an ordinary income-tax deduction, but it may affect property transactions involving foreign persons.

The identity and residency of the buyer, the property type and any available exception should be checked before signing a contract.

Foreign-resident CGT and renewable-energy investment

The Budget proposed a time-limited transition concession within the strengthened foreign-resident CGT regime for certain renewable-energy infrastructure assets, together with clarification of the meaning of Australian real property. These rules are specialist territory and should be reviewed transaction by transaction.

Global minimum tax changes

The Government also announced changes connected with the OECD/G20 Pillar Two “side-by-side” package for very large multinational groups. These rules generally concern groups with consolidated revenue of €750 million or more, not an ordinary local small business.

If your group is potentially in scope, obtain specialist international-tax advice. The reporting, safe-harbour and effective-date details are too important to treat as a general blog checklist.

Nuisance tariffs and trade administration

The Budget abolished a further 497 low-value or “nuisance” tariffs from 1 July 2026 and proposed consultation on more. Importers should check the tariff classification and current customs treatment of goods rather than assume every import is now duty free.

What about superannuation?

Some major super changes were already law before Budget night, including the revised rules for high super balances and changes to the Low Income Superannuation Tax Offset. Payday Super also came from earlier legislation.

A later amendment to the first Budget tax Bill restricted new SMSF limited-recourse borrowing arrangements for real property to business real property from 10 August 2026. That is important, but it was a post-Budget legislative development rather than a measure announced on 12 May. Existing arrangements entered into before 10 August 2026 are not affected.

Frequently asked questions

Did the Federal Budget increase GST?

No. There was no general increase to the 10% GST rate and no broad overhaul of ordinary GST registration or BAS rules.

Did the Budget change payroll tax for NSW employers?

No new federal payroll-tax rate or threshold was announced. NSW payroll tax remains a state matter. Federal PAYG, FBT and super rules are separate.

Can I still use the 32-cent fuel-excise cut?

The 32-cent cut applied from 1 April to 30 June 2026, a smaller 16-cent cut applied from 1 July to 2 August 2026, and all relief has now ended. The correct treatment depends on the fuel, use and tax period, so check records around the boundary dates.