ATO advice and guidance; Legislative Instruments for global and domestic minimum tax registered; Australia’s unemployment rate fell in December 2025; ATO update: Taxpayer alert issued on contrived ...
In response to ongoing housing pressures and industry feedback, the Queensland Government announced a suite of administrative reforms to the ex gratia relief process for Additional Foreign Acquirer Duty (AFAD) and Land Tax Foreign Surcharge (LTFS) as part of the 2025 Budget.
See related articles:
Queensland Budget 2025
Queensland Government publishes 2024-25 Mid-Year Fiscal and Economic Re...
The global economy demonstrated resilience throughout 2025 in the face of higher uncertainty brought about by changes to US trade policy, supported by front-loaded trade flows, strong AI-related investment, and accommodative fiscal and monetary settings.
Global growth is expected to gradually recover in 2026 as the impact of tariff and trade policy uncertainty fades, and financial conditions r...
Foreign-headquartered companies operating in Australia often face payroll tax (PRT) challenges when they have multiple entry points into the market.
These complexities are heightened where these businesses operate across multiple states and territories (jurisdictions) within Australia.
Understanding the risks and administrative obligations is critical to avoiding compliance pitfalls.
What is...
The Productivity Commission (PC), on 19 December 2025, released its final reports for the five pillars of productivity, including the report relating to corporate tax reform.
For background, the PC was asked by the Australian Government to conduct an inquiry into 'Creating a more dynamic and resilient economy'.
A key part of the PC's inquiry was focused on corporate tax reform to spur busines...
The G7 statement of June 2025 outlined a "side-by-side" solution to US concerns regarding Pillar Two and brought into consideration changes to the Pillar Two treatment of tax incentives and new simplification measures.
Negotiations at Inclusive Framework then continued throughout the rest of the year.
This webinar provides an in-depth discussion where our KPMG tax specialists delve into and d...
The Organisation for Economic Cooperation and Development (OECD), in mid-November 2025, released updates to its Model Tax Convention Commentary, clarifying permanent establishment (PE) rules for overseas remote work arrangements.
See related article: OECD updates commentary on permanent establishment rules, marking new era of remote working
The updated guidance clarified that in most cases, s...
With processing times for the Skills in Demand visa now being up to seven months from the date of lodgement, Australian businesses face a lengthy wait to hire offshore talent.
How we got here
Back in September 2022, the Jobs and Skills Summit brought together key stakeholders, including unions, employers and governments, to address their shared economic challenges.
One of the key discussion ...
We strive to contribute to the debate that is shaping the Australian economy and welcome the opportunity to provide a submission in response to the Board of Taxation's Red Tape Reduction Review.
KPMG recognises that an efficient, transparent, and proportionate regulatory framework is critical to maintaining the integrity of the tax system while supporting business productivity and economic gro...
Payday super – the future of superannuation payments
The biggest headline of the year? The Payday Super reforms.
In November, legislation passed requiring employers to contribute superannuation at the same time as wages, rather than quarterly. This change kicks in from 1 July 2026, but planning should have started!
Key changes
Super contributions due within seven business days of pa...
This session looks at the controversies in transfer pricing - whether they concern intangibles, service charges, or overall business models - are deeply rooted in intricate economic scenarios.
The session explores the varied approaches taken by tax authorities and discusses effective measures businesses can employ to support themselves during such audits.
We also hear insights from a panel of...
It was confirmed in United Kingdom’s Autumn Budget 2025 that the country’s much heralded Carbon Border Adjustment Mechanism (UK CBAM) will come into force on 1 January 2027.
The idea is that the UK CBAM will impose a carbon price on certain imported goods so that they bear a comparable carbon price to similar goods produced domestically under the UK Emissions Trading System (ETS).
...
The Australian Taxation Office (ATO) has released its proposed updates to Practical Compliance Guideline PCG 2019/1, which provides transfer pricing guidance for inbound distributors.
The proposed changes, outlined in the draft PCG 2019/1DC, are open for comment until 13 February 2026.
Key proposals include reductions in EBIT profit markers for Life Sciences and Information and communication ...
The United States (US) Federal Open Market Committee (FOMC) narrowly voted to cut rates another quarter point, which lowered the target range on the fed funds rate to 3.5 percent - 3.75 percent.
The vote was contentious with dissents in opposite directions for a second meeting in a row.
Governor Stephen Miran, who is on leave from his job at the helm of the Council of Economic Advisers at the...
On Monday 8 December 2025, the Federal Government released the Exposure Draft (ED) legislation which proposes to exclude research and development (R&D) to create gambling, tobacco, vaping and nicotine products from the R&D Tax Incentive (RDTI).
The change will apply for income years starting on or after 1 July 2025.
Almost 12 months ago, and following the Australian Taxation Office's ...
The Reserve Bank of Australia (RBA) has kept the cash rate on hold, dashing any glimmer of hope of Christmas rate relief.
While it might not be the news mortgage holders were looking for, the RBA was right in holding off on any change to the cash rate, be that up or down.
We believe the RBA should not hike rates early in the new year but instead continue to wait for the next few months to bet...
The Victorian State Revenue Office (SRO) recently published its 2024-25 compliance results and 2025-26 compliance areas of focus. The relevant property and transactions focus areas are summarised below.
Compliance Focus Areas for 2025–26
Land Transfer Duty
Focus on property transactions that have a high risk of misclassification, specifically:
related party transactions; and
exempt...
This is the question considered in the recent case of XLZH v Commissioner of Taxation [2025] ARTA 2154, where the Administrative Review Tribunal (ART) examined whether pre-capital gains tax (CGT) status can be retained when shares are held through a discretionary trust.
The ART found the answer to this question was 'yes' and held that changes in the trust distribution patterns did not trigger ...
Between November and mid-December, central banks across major economies are making critical rate decisions.
Meanwhile, fiscal policies are being reset from the UK's Autumn Budget to stimulus measures across Asia-Pacific, and geopolitical tensions are reshaping trade flows and supply chains worldwide.
These aren't isolated regional events. They're interconnected forces that will define the ope...
The report points out that in the first three quarters of 2025, China's real GDP grew by 5.2 percent year-on-year (YoY), 0.4 percentage points higher than for the same period last year, indicating solid progress toward the full-year growth target of 'around 5 percent'.
However, on a quarterly basis, economic momentum softened in Q3.
As policy priorities shifted towards addressing involution c...
The Australian Taxation Office (ATO) continues to publish administrative materials ahead of the first due date for Australian Pillar Two filings in just over 6 months' time.
Australian Pillar Two lodgement obligations
To recap, the Australian Pillar Two lodgement obligations comprise the following:
GloBE Information Return (GIR);
GIR foreign notification form – if the GIR is lodged ...
How does your global mobility program compare against industry leaders, and how are others responding to market trends?
KPMG Global Mobility Services professionals have compiled and analysed insights from 456 multinational enterprises across 29 jurisdictions and 12 industries as part of the 2025 KPMG Global Mobility Benchmarking Survey initiative.
See report: 2025 KPMG Global Mobility Benchma...
The recent Oracle case has highlighted the importance of taxpayers' rights enshrined in tax treaties to seek mutual agreement procedure (MAP) relief in resolving international tax disputes.
That case dealt with the interaction of MAPs and domestic appeal rights, confirming the rights granted to taxpayers under the treaty to have tax authorities jointly resolve issues of double taxation before ...
Tax increases were widely expected in the United Kingdom (UK) Budget, and for business these have mainly come in the form of a reduction in the writing down allowances available for (mainly historical) capital expenditure, changes to gambling duty targeting online betting, and amendments to the VAT rules applicable to private hire vehicle operators.
Tax giveaways are unsurprisingly more limite...
The United Kingdom (UK) Chancellor has confirmed the UK Government will press ahead with granting His Majesty's Revenue and Customs (HMRC) new powers to require certain taxpayers to file an annual International Controlled Transactions Schedule (ICTS).
This will capture standardised information on cross-border related party transactions and will be used for both automated and manual risk assess...
Economic and geopolitical uncertainty, evolving regulatory demands, and disruptive new technologies are redefining the global mobility landscape.
Now is the time to rethink how we access and deploy the best talent, wherever it may be, while maintaining control and enhancing compliance.
Forward-focused mobility leaders are seizing the opportunity to transform their roles, using their seat at t...
The Inland Revenue Authority of Singapore (IRAS) has published the eighth edition of the e-Tax Guide on Transfer Pricing Guidelines (TPG8) on 19 November 2025.
This KPMG Singapore report summarises the key changes and how taxpayers might be affected.
The updated guide includes a number of key changes related to:
treatment of certain domestic related-party loans;
annual review of related-p...
In tax philosophy (yes, there is such a thing), one of the key principles is certainty.
For many, this is obtained through the operation of the limitation of amendment provisions.
The certainty is that after a defined period, your tax return (or assessment) cannot be re-opened by the Commissioner of Taxation even if it contains errors.
Over time, this period has changed.
About 20 years ago,...
During this session, we will look at the controversies in transfer pricing - whether they concern intangibles, service charges, or overall business models - are deeply rooted in intricate economic scenarios.
Date: Thursday 11 December 2025
Time: 2:00AM AEDT
Location: Webinar
Register here
Throughout this session, we intend to explore the varied approaches taken by tax authorities and d...
Standards on issue outlines all standards issued by the Australian Accounting Standards Board (AASB) and the International Accounting Standards Board (IASB® Board) which will be applicable for the first time or available for early adoption for years ended on or after 31 December 2025 and beyond.
Our summary will assist preparers of financial reports to:
ensure all AASBs that are mandato...
KPMG and Thomson Reuters invite you to join us for an exclusive session designed to help tax teams navigate the challenges of fringe benefits tax (FBT).
Are you dreading another FBT peak season?
As we approach the halfway mark of the FBT 2026 year, many tax teams are already facing the reality of the annual crunch: manually reviewing thousands of expense transactions line by line during the i...
The United States' (US) trade deficit narrowed by 23.8 percent in August to $59.6 billion, reversing a jump in July.
A -5.1 percent drop in imports drove the narrowing, as new trade policy changes came online in August, including the bulk of announced Liberation Day tariffs.
Wholesalers drained inventories to compensate for lower imports.
The headline data masks some of the gross domestic pr...
This update focusses on preparing for interim and annual financial reporting at 31 December 2025.
In our webinar we discuss:
new accounting standards and IFRIC agenda decisions effective for 31 December 2025;
important regulatory updates, including ASIC’s focus areas;
accounting for lease modification;
updates on Australian sustainability reporting; and
forthcoming standards and a...
KPMG welcomes the release of the Draft Practical Compliance Guideline (PCG) and the opportunity to provide input on the first year Australian Taxation Office (ATO) compliance approach.
KPMG’s expertise in assisting our clients with payroll and superannuation compliance over a number of years has informed us in developing this response.
Our response is also informed by KPMG as an employe...
Inflation pressures in Australia have rebounded in the September quarter, with headline inflation surging above the Reserve Bank of Australia's (RBA) target range for the first time in over a year.
While supply pressures remain persistent - particularly in energy, demand-side factors have strengthened after a period of subdued consumption.
KPMG expects inflation will remain contained despite ...
The Pillar Two joint venture (JV) concept, first set out in the 2021 Model Rules, might be viewed as a narrowed version of the original idea, in the 2020 Pillar Two Blueprint, to subject associates (in which a multinational enterprise (MNE) had a 20 percent and above holding) to Pillar Two tax.
The Pillar Two JV concept is quite particular and can differ from the JV concept under accounting st...
KPMG would like to invite you to attend our Insurance Tax Update event.
We will update you on various direct, indirect and international tax matters impacting the insurance industry.
Date: Wednesday 3 December 2025Time: 9:00am - 10:00am AEDTLocation: Webinar
Register here
Australia's unemployment rate has dropped to 4.3 percent after rising to 4.5 percent in September, with the number of people employed increasing by 42,200, driven by a surge in full-time employment of 55,300 jobs.
The labour force data from the Australian Bureau of Statistics (ABS) paints a more positive picture than last month.
The figures show that the labour market is proving resilient.
D...
The rapid expansion of online platforms such as Airbnb have undoubtedly influenced the landscape of the Australian property market.
Approximately 250,000 or 2 percent of the nation's housing stock is currently held for the purposes of operating as short-stay or holiday accommodation.
Many of these properties are negatively geared, providing potentially significant tax breaks to owners and inv...
The United States (US), on October 26, announced trade agreements with Cambodia and Malaysia and framework agreements with Thailand and Vietnam.
Although the agreements primarily impact bilateral trade between these countries and the US, and particularly the rate of customs duties imposed, various provisions and statements focus on other tax issues.
Digital Services Taxes
The Cambodian and M...
In case you missed it, there was a relatively big case decided in May this year on the deductibility of work from home expenses.
The Australian Taxation Office (ATO) has lodged an appeal to the Federal Court.
This article provides a quick recap of the case and its relevance to your own individual tax return with a 'watch this space' for the appeal.
Overview
The recent Administrative Review ...
