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2025-2026 Australian Federal Budget: Forvis Mazars' Tax & Superannuation Brief

28 March 2025

Forvis Mazars shares key takeaways on tax and superannuation following the release of the 2025-26 Federal Budget by the Australian Government.

The Federal Treasurer, Dr Jim Chalmers, handed down the 2025-26 Federal Budget on 25 March 2025.

The budget’s priorities reflect the timing of the budget ahead of the expected federal election, including helping with the cost-of-living, building more homes, and investing in education.

Despite being described by the Treasurer as a “plan for a new generation of prosperity in a new world of uncertainty”, the Budget did not include any new income tax measures affecting businesses or any new tax or regulatory measures affecting superannuation.

The only meaningful income tax measure in the budget is the reduction of the marginal tax rate for the personal income tax threshold bracket from $18,201 to $45,000, to be reduced from the current 16% rate to 14% over two years.

Additionally, the start dates of a number of previously announced but unenacted tax measures have been deferred until amending legislation is enacted.

There were several notable omissions from the budget, including:

Reform to the taxation of family trusts, despite the significant uncertainty for family groups as a result of recent court decisions.
Clarity on whether the Government intends to pass legislation denying deductions for ATO interest prior to calling the election.
Any change in policy on the Government’s plan to impose additional tax on the growth in superannuation balances over $3m, which does not currently have sufficient support to pass in the Senate.
Trade and tariff policy of a fundamental nature given trade barriers are rising around the world.
Tariff policies to address the USA’s new tariffs or to encourage free trade with other countries.
GST reform, including any changes to the GST base or allocation of GST revenue.
A further extension to the small business instant asset write-off.