ATO advice and guidance; Legislation update: CGT, negative gearing, income tax rate adjustments bill passes Parliament with amendments; Non-significant global entities loss carry back tax offset, m...
Non-significant global entities loss carry back tax offset, make permanent small business $20,000 instant asset write-off bill introduced to Parliament; ATO update: Guide on taxation of permanent e...
Senate committee publishes inquiry report on CGT, negative gearing, income tax adjustments bill; Reduction to fuel excise, Heavy Vehicle Road User Charge extended for another month; ATO update: Wai...
After months of tension, the United States (US) and Iran have reached a 14-point agreement aimed at de-escalating the conflict that has disrupted the Middle East and global markets since February.
US President Donald Trump signed the memorandum of understanding (MoU) at the G7 Summit in France, signalling a potential turning point in the conflict.
The deal opens the door to reopening the Stra...
The Consumer Price Index (CPI) has risen to 4.0 percent, down from 4.2 percent in the 12 months to April, while core inflation has risen to 3.6 percent from 3.4 percent.
According to the Australian Bureau of Statistics (ABS), the largest contributor to annual inflation in May was Housing, which rose by 6.5 percent, followed by the Food and non-alcoholic beverages and Transport categories, both...
The Queensland 2026-2027 Budget was delivered on 23 June 2026 by the Honourable David Janetzki MP, Treasurer, Minister for Energy and Minister for Home Ownership.
The Budget contains no new or increased taxes, with a focus on cost-of-living measures for Queenslanders (e.g. the Energy Roadmap Price Drop, freezing increases to water costs, Back to School Boost, Play On! Sports Vouchers and perma...
You are invited to attend KPMG Australia's tax update on Treasury Laws Amendment (Tax Reform No. 1) Bill 2026 released on 28 May 2026 containing amendments to the Australian capital gains tax (CGT) regime and negative gearing for residential property rules.
The Bill has been referred to the Senate Economics Legislation Committee for inquiry to report back by 22 June 2026 and may pass in its am...
The 2026–27 New South Wales (NSW) Budget announces the removal of the 9 percent foreign purchaser surcharge duty for qualifying large-scale build-to-rent (BTR) developments and retirement village projects.
The exemption is intended to apply from 1 July 2026 and is directed at developments comprising more than 50 dwellings.
The NSW Government has framed the reform as a housing-supply mea...
The United States (US) Federal Open Market Committee (FOMC) – the policy setting arm of the Federal Reserve – voted unanimously to hold rates unchanged at the June meeting.
The statement that followed the decision was shorter and removed the bias to ease.
The new Fed Chairman Kevin Warsh took a victory lap with a shorter statement, which dropped all forward guidance. Those are two...
This is Part II of our two-part article on permanent establishment (PE) risk in a remote work era.
To better understand how jurisdictions interpret and apply PE concepts in the context of remote working - including in light of the 2025 OECD Model Tax Convention (MTC) Commentary - KPMG's EU Tax Centre conducted a survey in March 2026 of KPMG Member Firms in 63 jurisdictions worldwide, building ...
To those who worked with him, Grant was more than a leading voice in tax policy - he was a thinker, a connector of ideas, and someone whose curiosity extended far beyond his profession.
Grant retired from KPMG last year after an extraordinary career spanning nearly 38 years, leaving a lasting mark on the firm and the broader tax and policy landscape in Australia and globally.
His final role a...
Key takeaways
China's economy made a strong start to 2026, supported by front-loaded policy easing and resilient external demand. Real GDP grew 5.0 percent year on-year (YoY) in Q1, accelerating by 0.5 percentage points from Q4 2025 and reaching the upper bound of the official '4.5 percent–5.0 percent' growth target range set at the annual "Two Sessions". Two structural developments st...
Australian Capital Territory (ACT) Treasurer Chris Steel delivered the Territory's 2026 Budget on Wednesday 10 June 2026.
The Budget includes a package of revenue measures focused on housing affordability and housing supply, with the key changes being eliminating stamp duty for first home buyers, no further payroll tax changes, and selected changes to rates, motor vehicle duty and levies.
Alt...
The United States' (US) consumer price index (CPI) rose by 0.5 percent in May, after jumping 0.6 percent in April.
The most recent move pushed the overall index up 4.2 from a year ago, its hottest pace since Spring 2023.
The three-month annualized rate, which better tracks momentum, has risen to 8.2 percent in May from 7.3 percent in April.
That is the hottest three-month pace since Septembe...
The Queensland Court of Appeal, on 29 May 2026, handed down its judgement in Commissioner of State Revenue v Special Situations Investing Group III, Inc [2026] QCA 98.
This case considers the meaning of "group companies" in a Queensland corporate reconstruction context, specifically the correct interpretation of section 407(1)(a)(i) of the Duties Act 2001 (Qld) (the Act).
Background
In Novem...
Remote working increased significantly during the COVID-19 pandemic and has since become a long-term feature of today's working environment.
Global workforce mobility remains a key issue for multinational groups, driven by the need to retain talent and adapt to employees' growing expectations for flexibility.
This evolution has not only reshaped expectations around where and how work can be p...
The conflict in Iran has created ripple effects across energy, supply chains, and global markets.
Executives should assess how these second‑ and third‑order effects impact investment timing, supply chain design, capital allocation, and risk posture — not just in theory, but in day‑to‑day operations.
Date: Thursday 25 June 2026
Time: 3PM AEST
Location: Webinar
Register here
In th...
The changes to the capital gains tax rules, which passed the House of Representatives on 4 June, add significant complexity to the calculation of a taxpayer's net capital gain.
Some of that complexity is required to achieve the stated policy objectives.
However, buried within that complexity is a clear erosion the benefit of the capital gains tax discount rather than merely freezing it at 30 ...
Payrolls in the United States (US) rose by 172,000 in May following an upwardly revised gain of 179,000 jobs for April.
The initial report for April showed only 115,000 job gains. All of the increase came from the private sector.
Government accounted for 52,000 of the gains, largely at the local level.
That reverses what had been a streak of public sector job losses. Federal employment added...
Australia's headline consumer inflation has surged to 4.6 percent in March – up from February's elevated 3.7 percent – its fastest pace since September 2023.
While it is below the market expectations of 4.8 percent, it only captures some early impact of the conflict in Iran, which is disrupting global energy markets, sharply lifting fuel prices, and pushing headline inflation highe...
The latest gross domestic product (GDP) data reveal an economy that has virtually stood still during the first quarter of this year, recording real growth of only 0.3 percent over the quarter, well down from the 0.9 percent quarterly growth achieved in the final three months of 2025.
On an annualised basis Australia's GDP grew by 2.5 percent over the 12 months to the end of March 2026, while s...
Following the insights shared at the Microsoft AI Tour Sydney, we're turning those ideas into action through a series of webinars.
The first of two sessions, focused on leveraging Microsoft's latest innovations to support responsible agentic AI at scale.
Our AI specialists share how KPMG's industry-leading collaboration with Microsoft can help you solve your greatest business challenges.
The Organisation for Economic Cooperation and Development (OECD), on 1 June 2026, released proposed 'Revisions to Chapter VII of the OECD Transfer Pricing Guidelines' (Revisions to Chapter VII), covering special considerations for intragroup services.
The Revisions to Chapter VII are extensive but leave the conceptual framework for assessing and pricing intragroup services largely unchanged.
...
Legislation has been introduced to Parliament on 28 May 2026 which implements the following Budget night announcements:
capital gains tax (CGT) changes;
negative gearing changes;
working Australians tax offset; and
standard deduction for work-related expenses.
As previously flagged by the Government, this bill represents the first tranche of legislation in respect of the CGT changes, w...
KPMG has prepared a submission in response to the Board of Taxation's (BoT) 'Statutory review of Australia's thin capitalisation reforms'.
The new thin capitalisation rules are relevant to a large and diverse segment of the taxpayer community.
As such, this review is essential to independently determining whether the rules operate and produce outcomes in line with their intended policy object...
Inflation has tempered to 4.2 percent year-on-year from 4.6 percent, according to the latest data from the Australian Bureau of Statistics (ABS), but on a monthly basis headline consumer price index (CPI) only rose by 0.4 percent compared to March's monthly inflation lift of 1.1 percent.
What's most concerning is the fact that core inflation remains stubbornly high, ticking up albeit slightly ...
With the capital gains tax changes to be introduced to Parliament shortly, in a series of short articles we set out what we will be looking out for in terms of how Treasury has implemented the principles set out in the Budget night 'Tax Explainers'.
See previous articles in this series:
What to look for when the capital gains tax changes are introduced to Parliament
Capital gains tax chang...
Following the insights shared at the Microsoft AI Tour Sydney, we're turning those ideas into action through a series of upcoming webinars.
We're delighted to invite you to the first of two sessions, focused on leveraging Microsoft's latest innovations to support responsible agentic AI at scale.
Our AI specialists will share how KPMG's industry-leading collaboration with Microsoft can help yo...
With the capital gains tax changes to be introduced to Parliament shortly, in a series of short articles we set out what we will be looking out for in terms of how Treasury has implemented the principles set out on the Budget night Tax Explainers.
See related articles in this series:
Capital gains tax changes – what to look out for: Part II
Capital gains tax changes – what to l...
The Tasmanian 2026-2027 Budget was delivered by the Treasurer Eric Abetz on Thursday 21 May 2026.
The Budget contains no new taxes or changes to the state tax regime.
The Government says it remains committed to future proofing the state.
Over 2026-27 forward estimates, state taxation revenue is expected to grow by $339.7 million.
This is primarily due to forecast increases in payroll tax re...
Australia's unemployment has risen to 4.5 percent in April, the highest level since November 2021, according to the latest Labour Force figures released by the Australian Bureau of Statistics (ABS).
According to the ABS, the number of employed people fell by 19,000 in the month with the number of unemployed rising 33,000.
Compared to what it usually sees in April, the ABS says that more peopl...
After another period of strong returns, Australians now have more than $4.5 trillion invested in superannuation, reinforcing its scale and significance to the economy and retirement outcomes.
At the same time, super funds are under increasing regulatory and member pressure. As market volatility, cyber threats and AI adoption challenge current models, many are looking to reshape how they operat...
The 2026 Federal Budget has brought important changes for individuals, family groups and privately held businesses.
Some measures will take effect quickly; others may reshape planning decisions well beyond 30 June.
Date: Tuesday, 26 May 2026
Time: 1:00pm to 2:00pm AEST
Location: Webinar
Register here
Join us for a focused, practical webinar where KPMG specialists will cut through the ...
The Organisation for Economic Cooperation & Development (OECD) today published documents on three aspects of the global minimum tax (GMT):
Support for central GloBE information return (GIR) filing and exchange (2024 reporting fiscal year)
Updates to the central record for purposes of the GMT
Administrative guidance on the application of the transitional UTPR safe harbour to MNE groups ...
New analysis of Australia Bureau of Statistics (ABS) housing data has revealed that the number of stalled new homes fell in Australia's largest cities over the past year, as the country gets more homes out of the ground to combat the housing affordability crisis.
Nationally, the number of approved homes yet to start construction fell by 7 percent over the year to December 2025, with declines r...
Personal income tax rates and Working Australians Tax Offset
The Budget introduces a Working Australians Tax Offset of $250 per worker claimable through the income tax return for the 2027-28 tax year.
Coupled with previously announced changes to income tax rates this will contribute towards reducing 'bracket creep'.
The Medicare levy low-income threshold will increase effective 1 July 2025 b...
The Federal Court (Jackman J), on 11 May 2026, allowed the taxpayer's appeal in Shell Energy Holdings Australia Limited v Commissioner of Taxation [2026] FCA 577.
The case concerned the market value of Shell Australia Limited's (SAL) 34.27 percent shareholding in Woodside Petroleum Limited (WPL) as at 20 January 1997.
The market value was required because the shares were originally pre-CGT as...
KPMG Australia's full 2026 Federal Budget analysis can be found here.
See related podcast: Podcast episode 77: Federal Budget 2026 - From policy announcements to practical impact
What's in the budget?
Amendments to the Pillar Two legislation to implement the side-by-side package agreed by the OECD on 5 January 2026.
Funding for the ATO to continue delivery of the counter‑fraud strategy, strengthen powers to address fraud, and undertake targeted compliance activity.
Time-limited concession within the foreign resident CGT regime for certain renewable energy investmen...
United States (US) payroll employment rose by 115,000 jobs in April. Payrolls fell by 156,000 in February before rising by 185,000 in March.
Public sector payrolls shed 8,000 with a loss in federal workers more than offsetting a small increase in hires at the state and local levels.
Federal employment is now down 348,000 jobs from its peak in October 2024.
Staffing shortages have become acut...
The Organisation for Economic Cooperation and Development (OECD), on April 30, 2026, released the global minimum tax (GMT) implementation toolkit and the GMT frequently asked questions.
These are the first updates since the publication of the side-by-side package in January 2026.
The toolkit is primarily aimed at tax administrations implementing the GMT but may help businesses in two ways:
...
The Western Australia 2026-2027 Budget was delivered by the Treasurer Rita Saffioti on Thursday 7 May 2026.
While the Budget has been framed in a highly uncertain global economic environment arising from the Middle East conflict, the state's economy continues to perform strongly.
The domestic economy grew by 3.5 percent in 2025 outplacing national growth with further expansion forecast.
A ge...
