Australian Federal Budget 2026
Budget night dashboard. Twelve tax measures we're watching for the Tuesday 13 May 2026 announcement. Post-Budget this page fills in confirmed figures live — calculators follow within 2-3 hours.
Tuesday 13 May 2026 · 7:30 pm AEST
Treasurer Jim Chalmers delivers the 2026-27 Federal Budget. This page updates from 9 pm AEST with confirmed figures. Bookmark it or check our pre-Budget preview for deeper analysis of each watch-item.
Watching
12
Items pending Budget announcement
Confirmed post-Budget
0
Figures filled in after 13 May
Already legislated
15%
Second marginal rate from 1 July 2026 (Stage 3+ phase 2)
Medicare & MLS
Medicare Levy Surcharge tiers (singles)
Watching- Current:
- $101,000 / $118,000 / $158,000
- Expected:
- CPI-indexed (≈2-3% lift)
Education debt
HELP/HECS minimum repayment threshold
Watching- Current:
- $67,000
- Expected:
- Indexed by March quarter CPI (≈$69,000)
Superannuation
Concessional contribution cap
Watching- Current:
- $30,000
- Expected:
- Indexed by AWOTE (likely stays at $30k or rises to $32,500)
Non-concessional contribution cap
Watching- Current:
- $120,000
- Expected:
- 4× concessional cap (will move with concessional)
Division 296 ($3M super tax) start date
Watching- Current:
- Legislated 1 July 2026
- Expected:
- Possible deferral or redesign (unrealised-gains treatment)
Government super co-contribution income bands
Watching- Current:
- $45,400 lower / $60,400 upper
- Expected:
- Indexed annually with AWOTE
Small business
Instant Asset Write-Off threshold
Watching- Current:
- $20,000 (ends 30 June 2026)
- Expected:
- Extension to 2026-27, possible increase to $30k-$50k
Capital gains
50% CGT discount
Watching- Current:
- 50% on assets held > 12 months
- Expected:
- Senate Inquiry reported 17 March; Treasurer has not ruled out changes
Property
Negative gearing
Watching- Current:
- Unrestricted deductibility of rental losses
- Expected:
- Possible cap, new-build limit, or grandfathering
Fringe benefits
FBT electric car exemption
Watching- Current:
- Full EV only (PHEV cut-off was 1 April 2025)
- Expected:
- Possible PHEV reinstatement or tightening
Vehicles
Fuel-efficient vehicle LCT threshold
Watching- Current:
- $91,387 (2025-26)
- Expected:
- CPI-indexed uplift
Low-income offsets
LITO taper thresholds
Watching- Current:
- $700 max, tapers $37,500 → $66,667
- Expected:
- Possibly reviewed given bracket change
Budget night timeline
- 7:30 pm AEST · 13 May — Treasurer begins Budget speech; Budget papers published at budget.gov.au
- 8:00 pm — Budget Paper 2 (measures by portfolio) becomes the primary numeric source
- 9:00-11:00 pm — austax.tools updates 2026-27 config, this page's "Confirmed" rows fill, calculators reflect new thresholds
- 14 May morning — Treasurer press conference; industry reactions (ACCI, ACTU, BCA, Grattan)
- Late May / early June — ATO publishes PAYG withholding tables for 1 July 2026
Related coverage
Frequently asked questions
When is the 2026 Federal Budget?
The Budget is handed down at 7:30 pm AEST on Tuesday 13 May 2026 by Treasurer Jim Chalmers. Budget papers go live on budget.gov.au at 7:30 pm AEST.
When will austax.tools update its calculators with the announced figures?
Our 2026-27 config has 53 placeholder thresholds ready to be updated. Announced figures are typically reflected in our calculators within 2-3 hours of the Budget speech. This page's 'Confirmed' section fills in live.
Will the Budget affect my 2025-26 tax return?
Usually no. The 2025-26 tax year ends 30 June 2026 — six weeks after Budget night. Almost all Budget measures start from 1 July 2026 (the 2026-27 year). Lock in your 2025-26 position before Budget night using our EOFY planner.
Is the legislated 15% bracket going to happen regardless of the Budget?
Yes. The second marginal rate drop from 16% to 15% for income $18,201-$45,000 is legislated (Stage 3+ phase 2) and takes effect 1 July 2026 regardless of what the Budget announces. Every taxpayer above $45,000 saves $268/year.
Where can I watch Budget live?
ABC News, 9 News, Sky News Business, and ABC iView all broadcast the Treasurer's speech at 7:30 pm. Budget papers and measure summaries are on budget.gov.au from 7:30 pm — the Treasury press kit is the fastest source for numeric changes.