CPA Australia Tax News

This edition of Tax News was current at the time of publication on April 9. You can subscribe to the Tax News email in your comms preference centre. 

Global and domestic minimum tax amending legislation

The government has introduced a 15 per cent minimum tax for large companies in 2024 per OECD Pillar 2 rules. 

Minor changes to the law are made to keep it consistent with the OECD rules including:

• refining the allocation of income and taxes for flow-through and hybrid entities
• clarifying certain tax allocation rules
• modifying when substitute loss carry-forward deferred tax assets arise
• making sure Safe Harbours work as intended.

Send your comments to: [email protected] by 15 May 2026.

Joint submission on instant tax deduction 

We made a joint submission with CAANZ and The Tax Institute to the Treasury’s instant tax deduction draft legislation.

The proposed $1,000 standard deduction for work-related expenses and its interactions with other provisions contain features that complicate deduction claims and make it more difficult for those who do not apply the standard deduction to claim deductions under other provisions.

Artificial intelligence and the Code of Professional Conduct  

We made a submission to the Tax Practitioners Board consultation on the use of artificial intelligence and its interplay with the Code of Professional Conduct. 

Exposure Draft TPB(I) D62/2026 reminds tax agents that, regardless of the tools being used, tax agents remain ultimately responsible for ensuring compliance with the Code of Professional Conduct. You can read our full submission here.

Victorian Budget 2026/27 tax measures

While the budget focuses heavily on cost-of-living relief, it contains several specific tax and regulatory measures affecting households and the property sector including: 

• Motor Vehicle Registration: A 20% refund on car registrations, providing approximately $186 back to the average driver. 
• Off-the-Plan Duty Concession: A temporary extension of the stamp duty concession for new apartments, units, and townhouses until 21 April 2027. This is intended to support the property sector and move existing unsold stock. 
• Public Transport: Following a two-month free period (ending May 2026), all fares will be half-price for the remainder of 2026. Travel remains free for those under 18. 
• Fuel Price Regulation: Introduction of a daily cap on maximum fuel prices and mandatory price reporting through the "Servo Saver" feature on the Services Victoria app.

ATO website updates

• Income tax returns due for NFPs
• Businesses using cash to dodge obligations
• Are NFPs governing documents ready by 30 June?.

SUPERANNUATION AND FINANCIAL PLANNING

ASIC releases digital assets implementation roadmap

ASIC has published a roadmap outlining its approach to implementing new digital assets legislation, which will bring digital asset platforms and tokenised custody platforms under the financial services licensing regime from April 2027. 

The Corporations Amendment (Digital Assets Framework) Act 2026, commences on 9 April 2027. 

Under the new regime, ASIC will be responsible for licensing and supervising digital asset platforms and tokenised custody platforms, with an 18-month, 4-stage implementation timeline established. ASIC will consult on standards covering asset-holding requirements, transactional and settlement standards, and financial requirements similar to those in Regulatory Guide 166 AFS licensing: Financial requirements (RG 166). 

ATO super updates 

• Super Fund Lookup
• Super rates and thresholds 
• Quarterly and Payday Super

PROFESSIONAL DEVELOPMENT

Excel Masterclass: Automation and Macros  

Learn coding techniques to speed up processes and allow delegation of time-consuming or repetitive tasks.

CPA PD - EXCEL MASTERCLASS SERIES 2026

Lead with Impact Masterclass: Power and Influence  

This session focuses on exploring some of the complexities and ambiguities as well as opportunities afforded by forging and maintaining strategic partnerships.

CPA PD - LEAD WITH IMPACT - VIRTUAL MASTERCLASS SERIES

LEGISLATION

Super advertising ban during onboarding  

Exposure draft regulations have been released to support the implementation of new laws banning the advertising of certain superannuation products to new employees during onboarding from 1 July 2026. These regulations establish detailed conditions and disclosure requirements that must be met when advertising MySuper products to employees starting new jobs.

The proposed regulations set out the conditions and disclosure requirements that must be met for a person to advertise a MySuper product during employee onboarding.

RULINGS AND GUIDANCE

Meaning of "employer" for DTA purposes   

The ATO issued a draft update to Ruling TR 2013/1 on the identification of "employer" for the purposes of the short-term visit exception under the Income from Employment Article, or its equivalent, of Australia's tax treaties. The purpose of the proposed amendments is to align TR 2013/1 with TR 2023/4, the ATO's ruling on the meaning of "employee" for domestic tax purposes. 

The draft update provides that, in determining who the employer is, the ATO will examine:

• the ordinary meaning of employee arising from Australian domestic law
• the context, object and purpose of the short-term visit exception.

The ATO says that applying the ordinary meaning of employee will help to ensure that the short-term visit exception is being applied in a way that is consistent with its object and purpose.

Proposed date of effect: retrospective.

Send your comments by 1 June to [email protected].

Decision Impact Statement – FCT v Hall 

The ATO has issued an Interim Decision Impact Statement (DIS) responding to the Full Federal Court's decision in FCT v Hall (2026) FCAFC 43. 

In Hall v FCT (2025) ARTA 600, the ART allowed the taxpayer a deduction for occupancy expenses, as well as a deduction for car expenses for travel between the apartment and the ABC studios. The Full Federal Court, however, allowed the ATO's appeal and supported the ATO's views in TR 93/30 (home office expenses), TR 2021/1 (deductions for employees' travel expenses) and the Employees guide for work expenses and that: 

• the mere fact that a room in the house has been set aside during COVID-19 lockdowns for work purposes is not sufficient to enable a deduction for a portion of the rent; and 
• the mere fact that an employee undertakes some work duties at home does not make expenses of travel to their regular place of work deductible.

Practice statement updates

The ATO has updated the following Practice Statements:

• PS LA 2008/14: Record keeping when using commercial off the shelf software (withdrawn) 
• PS LA 2011/20: Payment and credit allocation 
• PS LA 2012/5: Administration of the false or misleading statement penalty - where there is a shortfall amount

CASES

FBT: shopping centre car park a "commercial parking station" 

The Full Federal Court has held that a shopping centre car park was a "commercial parking station" for FBT purposes and therefore the taxpayer provided car parking fringe benefits to employees.

The Full Court has unanimously allowed the ATO's appeal in FCT v Toowoomba Regional Council (2026) finding that "commercial" in this context means "being in the nature of or being engaged in commerce" and that the definition (in s 136(1)) of "commercial parking station" did not "inquire into the revenue of the facility, the operating expenses or profitability (or absence thereof)". In addition, the text of the relevant provisions of the FBTAA did not support a narrow interpretation of "commercial parking station", as being one aimed at or having the intention to make a profit. ()

Payment was part of cost of base of pre-CGT asset 

The Federal Court has held that a payment under a Deed for the redevelopment of land by Brisbane Club v FCT(2026) was part of the cost base of the building constructed on the land (a pre-CGT asset) and not of a sublease (a CGT asset) granted in respect of part of the building. 

NEW ZEALAND TAX NEWS

Tax Administration Determination 2026 

This determination sets the deemed rate of return, used to calculate foreign investment fund income under the deemed rate of return calculation method, for the 2025-26 income year at 7.84% for the purposes of sections EX 55(4)(b) and EX 55(6)(c) of the Income Tax Act 2007. 

The deemed rate of return set for the 2024-25 income year was 8.04%. This determination came into force on 30 April 2026.

NZ and Singapore agreement protects fuel supply 

New Zealand and Singapore have signed a major agreement to protect the movement of essential goods such as fuel and food. 

The signing of the Agreement on Trade in Essential Supplies (AOTES)guarantees neither country will impose export restrictions on the other and formalises practical cooperation on supply chain resilience. 

The AOTES prevents either government from imposing export restrictions on an agreed list of goods – including fuel, foodstuffs, construction materials, and other essential supplies. It will be incorporated into the existing New Zealand-Singapore Free Trade Agreement.

Minister acknowledges resignation of FMA Chair 

Commerce and Consumer Affairs Minister Cameron Brewer has accepted Financial Markets Authority chair Craig Stobo’s offer of resignation, following the completion of an independent review into his conduct. 

The independent review, undertaken by Wendy Aldred KC, examined several matters raised by members of the FMA Board. 

The review had four findings:

• There was no evidence of an inappropriate relationship between Craig Stobo and a former staff member.
• Craig Stobo acted reasonably in disclosing a governance-related interest and later in agreeing to resign from it, but he should not have delayed it for as long as he did.
• Craig Stobo’s applications for FMA travel were not inappropriate
• Aspects of Craig Stobo’s public commentary did not meet the standards of political neutrality expected of the chair of an independent crown entity and financial markets regulator.

Growing financial advice market, rapid rise in digital advice 

The FMA  has published its second annual report analysing regulatory returns submitted by licensed financial advice providers. It shows that licensed financial advice providers increased 10 percent year on year and the number of financial advisers increased almost 9 percent to 9,197. Half of all providers engage just one adviser, while three providers each have more than 500 advisers.

Digital advice activity grew dramatically over the past year with the estimated number of clients receiving digital advice increasing by 90 percent, from around 86,500 in 2024 to more than 164,800 in 2025. The number of financial advice providers offering advice through digital channels also increased by 21 percent.

RULINGS AND GUIDANCE

Wellington severe weather determination 

IR issued determination DET 26/03 declaring the Wellington severe weather event in April 2026 as an emergency event for the purposes of family scheme income. 

The determination means that payments made between 18 April 2026 and 31 October 2026 to help people affected by the Wellington severe weather event will not count as family scheme income, so as not to reduce an affected person's Working for Families tax credit entitlement.

Deemed Rate of Return for Foreign Investment Funds  

IR issued DET 26/04: Tax Administration (Deemed Rate of Return on Attributing Interests in Foreign Investment Funds, 2025-26 Income Year) Determination 2026. The deemed rate of return, used to calculate foreign investment fund income under the deemed rate of return calculation method, for the 2025-26 income year has been set at 7.84%. Previously it was 8.04%.