The Institute of Public Accountants criticizes the 2026 federal budget for lacking structural reforms to boost productivity and investment.
Australia’s 2026 federal budget introduces piecemeal tax adjustments rather than sweeping reforms, according to the Institute of Public Accountants. The changes include replacing the 50% capital gains tax discount with an inflation-based system and imposing a minimum 30% tax on gains from July 2027, targeting only future accruals.
The IPA argues the budget fails to address long-term fiscal challenges, including rising costs in health, aged care, and disability services. It also stops short of simplifying tax settings to encourage business growth and investment, opting instead for short-term measures.
Investors in newly built properties can choose between the existing 50% discount or the new inflation-adjusted regime. The IPA warns the reforms add complexity without strengthening economic resilience or confidence.