The 2026 Federal Budget
What the 2026 Budget actually means if you already own property in Australia.
Plain English on the three changes that hit property owners: negative gearing, capital gains tax, and the new family-trust tax. What's actually changed, which of your properties are grandfathered, and the dates to watch.
Read the briefing$19.99 · 18-page PDF, delivered to your inbox in under five minutes. 14-day refund if it's not useful.
General information only. Not financial, tax, or legal advice.
The three dates that matter
Budget night
12 May 2026
Negative gearing & CGT changes start
1 July 2027
Trust tax starts
1 July 2028
§ I
What's in the report
Three changes, three start dates. Tap each one for the plain-English version: what it does, and who it hits.
From 1 July 2027, you can only negatively gear a brand-new dwelling. Buy a new-build investment property from that date and the losses still come off your other income, same as now. Buy an established (existing) property from that date and they don't.
Anything you already owned at 7:30pm AEST on 12 May 2026 (the moment the budget was handed down) is grandfathered: the old rules keep applying to it. There's a transitional window for properties bought between 12 May 2026 and 30 June 2027, but the papers haven't fully spelled it out yet.
The 50% capital gains discount for individuals is going. For any gain that builds up on or after 1 July 2027, the tax is worked out by indexing your cost base (adjusting it for inflation) and then applying a minimum 30% tax to what's left.
Gains you'd already built up before 1 July 2027 keep the old 50% discount. For an asset you hold across the changeover, the papers describe a way to split the gain between the two methods, but the draft legislation isn't out yet.
From 1 July 2028, money paid out of a discretionary (family) trust to an individual gets taxed at a minimum of 30%, no matter what that person's normal tax rate is. The old trick of splitting income to lower-earning family members to cut the bill stops working.
The papers mention relief if you need to restructure, and carve-outs for fixed trusts and testamentary (will-based) trusts. The fine detail comes with the exposure draft.
§ II
Common questions
What if I don't find it useful?
Email us within 14 days and we'll refund you. No questions, no forms.
Is this financial advice?
No. It's general information about the changes. Use it to ask your accountant or broker sharper questions; it's not a substitute for proper advice about your own situation.
Who's actually behind this?
The Reform Report is published by KNM Labs Pty Ltd, registered in Sydney. The ABN, a real address and a real email are all in the footer. No anonymous operators.
Why is it only $19.99?
Straight answer: we're building a list of Aussies who want a clear read on the budget. A low price means more readers, better feedback, and a sharper next edition. More reports follow as the legislation firms up.
Will you update it if the legislation changes?
Yes. If anything material changes before 1 July 2027, we re-issue, and existing buyers get the new edition automatically, no extra charge.
How do I get the report after payment?
A download link lands in your inbox within five minutes. If it's not there, check your spam folder. Still missing? Email us and we'll send it across by hand.
Don't guess your way through this
The headlines won't tell you whether your own properties are safe. This briefing does: plain English, the dates that matter, and what to sort out before them.
14-day refund if it doesn't help. No questions, no forms.
General information only. Not financial, tax, or legal advice.