Insights

Federal Budget 2026-27

Hall Chadwick

Taxation

13 May 2026

2026–27 Federal Budget Highlights

The Federal Treasurer, Dr Jim Chalmers, handed down the 2026–27 Federal Budget at 7:30pm (AEST) on 12 May 2026.

Details of the highly anticipated initiatives which are slated to improve housing affordability have emerged. Major changes proposed are:

  • Negative gearing for residential property will be limited to new builds from 1 July 2027, with no change for existing arrangements.
  • The 50% CGT discount will be replaced with cost base indexation for all CGT assets (except new homes) from 1 July 2027, with a 30% minimum tax on realised gains also applying from that date.
  • A minimum tax rate of 30% will be payable by trustees of discretionary trusts from 1 July
  • Each working Australian taxpayer will receive a $250 Working Australians Tax Offset from the 2027–28 income tax year.
  • Australia will transition to a permanent 25% discount on FBT for certain electric
  • The instant asset write-off of $20,000 for small businesses applying the simplified depreciation rules has been extended permanently.
  • Companies with up to $1 billion in turnover will be eligible to carry back tax losses for up to 2 years from 1 July 2026.

The Budget measures are additional to recent developments, including:

  • the temporary reduction of excise and excise-equivalent customs duty rates for most fuel products from 1 April 2026 to 30 June 2026
  • the release of exposure draft legislation for the instant $1,000 tax deduction for work-related expenses
  • the release of exposure draft legislation for strengthening the foreign CGT regime in Div 855 of ITAA 1997, including the transitional CGT discount for certain renewable energy assets, and
  • the release of a consultation paper on options to strengthen the annual superannuation performance

The full Budget papers are available at www.budget.gov.au and the Treasury ministers’ media releases are available at ministers.treasury.gov.au. The tax, superannuation and related highlights are set out below.

Meet the team behind this

Traditionally our industry has relied on a close-knit team of specialists. Here are a few of the people involved.

David Lissauer

Chairman, National Association

Chairman, National Association

David combines his experience as a business leader and a practitioner in public practice of more than 40 years in his role leading the association of independent firms that make up Hall Chadwick nationally. He also serves in a consulting capacity at Hall Chadwick Melbourne of which he was a founding director.

David has had a significant impact on the firm’s service deliverables as we see them today. First and foremost, he led the Audit and Assurance, and the Accounting Services practices. Through his extensive network of local and international professional connections, David helped shaped the firm’s service offering to Asian markets most particularly in the Indian, Sri Lankan and Vietnamese business communities.

David has mentored a significant number of the firm’s graduate and junior accountants to senior positions. He currently mentors a number of young accountants as they undertake their CA professional year. He has also played a prominent role in practice management, marketing and strategy.

David holds a Bachelor of Commerce from Melbourne University, is a Fellow of the CPA, an associate member of the Institute of Chartered Accountants Australia, a Registered Company Auditor and a Registered Superannuation Fund Auditor. In addition David was a Registered Tax Agent, a former Foundation Peer Reviewer for CPA Australia and past member of CPA’s Quality Review Assurance Committee (QRAC).

Board Positions and the Community

Contributing to the community is a value of great importance to David. He is a past Chairman, President and Treasurer of the Melbourne Hebrew Congregation Incorporation; Past Treasurer and Board Member of Hadassah Australia and a past honorary auditor for the Alopecia Support Association.

David currently advises C-Care, a volunteer-driven organization which seeks to improve the lives of individuals living in isolation and need. David is a past board member of Channel 31 Community Television and currently acts as liaison Director between a number of local Indigenous organizations and the firm.

Professional Qualifications

FCA

FCPA

Registered Company Auditor

CPA Peer Reviewer

Bachelor of Commerce (Melbourne)

Industry & Service Specialisations

Company Audits

Statutory Body Audits

Trust Audits

Sarbanes Oxley (SOX) Compliance

Financial Reports

Business Services

Taxation

International Business

Eunice Tong

Director

Eunice Tong specialises in tax and joined the Hall Chadwick Division in 2012.

In a career spanning 20 years, Eunice started as an auditor with Arthur Andersen, moving to business services before finally making the decision to specialise in tax in 2005. Eunice is qualified as a Chartered Accountant (CA), Chartered Tax Advisor (TIA), and completed her Master of Tax with the University of Sydney in 2005.

Eunice has broad experience in tax, business services, and audit and this “gives me the ability to speak the language of an auditor, an accountant, and a tax advisor. I have leveraged this ability to successfully support clients holistically to manage their taxation, audit and accounting issues with practical commercial solutions, rather than just a solution for tax. This also enabled me to identify and assist with non-tax issues that arise for clients (such as a need for audit, accounting and due diligence) and assist them with their entire business”.

Eunice provides specialist tax advice in a wide range of areas, including income tax, GST, small business CGT concessions, CGT rollovers, tax consolidations, employee share schemes, restructuring, international tax planning and transfer pricing, reporting for significant global entities, payroll tax, landholder duties, and also provides tax due diligence services, to a broad range of industries and micro to large listed businesses.

Eunice regularly presents at professional groups to educate practitioners on current topics and provide tax updates, including tax implications of liquidations, international transactions and latest ATO activities and reviews.

Professional Qualifications

Chartered Accountants Australian & New Zealand

Chartered Tax Advisor and Member of Tax Institute of Australia

Masters of Taxation (USYD)

Bachelor of Commerce (UNSW)

Industry & Service Specialisations

Direct and Indirect Taxation

Goods and Services Tax

International Taxation

Tax Due Diligence

Landholder Duty and Payroll Tax

Kay H. Lee

Partner

Partner

Kay has been a Certified Public Accountant (CPA) since 2001 and has served as the Managing Partner at Sungjee Accounting Corp since 2005.  From 1993 to 1998, he worked at Samsung C&T, gaining extensive experience in global business operations.  Additionally, from 2005 to 2007, he served as CFO at a company based in Berlin, Germany, where he developed a deep understanding of European business culture and corporate management.  With extensive expertise in accounting and financial consulting, Kay provides strategic financial insights, audit services , and international business advisory support.

Kay emphasises accessibility, quickness, and a strong sense of engagement when working with clients, which is also the very corporate culture embodied by Sungjee.

Professional Qualifications

Korea CPA

Majored Business Administration at Korea University

Industry & Service Specialisations

Chemical manufacturer

Construction

IT companies

Medical device manufacturer