The ATO has issued a draft Law Companion Ruling (LCR 2026/D5) which sets out how the standard deduction of up to $1,000 for work-related expenses under section 25-130 of the ITAA 1997 operates.
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Section 25-130 allows for a standard deduction of up to $1,000 for an income year for work-related expenses for individuals who derive assessable labour income without substantiation. An individual doesn't need to incur or substantiate expenses to be entitled to the standard deduction, they only need to record their assessable income at the correct labels when they lodge their tax return.

The ATO has also issued a draft Determination (TD 2026/D2) that looks at the CGT consequences of certain wrapping contracts.

Wrapping contracts are a type of smart contract that involve the exchange of a crypto asset for its wrapped equivalent, often to enable compatibility with particular DeFi protocols or platforms.

The ATO has issued a draft ruling that looks at the income tax consequences for an Australian resident taxpayer of issuing or receiving crypto assets as the result of an airdrop.

An airdrop generally occurs when crypto assets are distributed to a holder’s wallet at no direct cost.

The draft ruling considers three key scenarios for both the issuer and the recipient of the asset.

The ATO has issued website guidance on their motor vehicle registries data-matching program protocol.
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The ATO uses data from state and territory motor vehicle registries to identify vehicles that have been sold, transferred or newly registered with a value of $10,000 or more.

In Hartley and Commissioner of Taxation [2026] ARTA 1590, the Tribunal considered whether a senior IT sales employee could deduct substantial expenditure on his home computer ‘lab’.
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Mr Hartley was employed as a Domain Sales Manager at Ericsson Australia. He contended his role extended beyond sales and that is also encompassed acting as an innovator, which included identifying and developing new product opportunities and providing thought leadership within the industry.

​To ensure passage of the negative gearing and CGT discount changes that were announced in the May 2026 Federal Budget the Government agreed to make amendments to the SMSF borrowing rules.

SMSFs are able to borrow in restricted circumstances which includes borrowing under a limited recourse borrowing arrangement (LRBA) to purchase a single acquirable asset. While there have previously been no specific legislative restrictions on the type of asset a SMSF can borrow to purchase, most commonly we see LRBAs being used to purchase property. Up until this point, this could have been any type of real property.

​If you're thinking about purchasing or leasing a vehicle for your business in the new financial year, it's worth understanding the updated car thresholds that apply from 1 July 2026. While these limits may seem technical, they can have a practical impact on the amount you can claim for tax depreciation deductions, the GST credits that are available, and whether luxury car tax (LCT) could apply.

Knowing how these rules work before signing a contract can help you make a more informed decision and potentially improve your overall tax and cash flow position.

​The sharing economy has created new opportunities for Australians to earn additional income. Whether it's driving for a ride-sharing service, renting out a holiday property, completing freelance work, hiring out equipment, or creating digital content, many people are supplementing their regular income through online platforms.

However, one aspect that can sometimes come as a surprise at tax time is that this income generally needs to be declared in your tax return. Unlike salary and wages, sharing economy income isn’t always fully pre-filled in your tax return, so it's important to maintain your own records and check that tax returns are completely accurately.

The High Court has recently handed down an important decision that will impact many private business groups using discretionary trusts and corporate beneficiaries.

In Commissioner of Taxation v Bendel [2026] HCA 18 (10 June 2026), the Court rejected the ATO’s long-standing view that an unpaid distribution (also known as an unpaid present entitlement or UPE) owed by a trust to a corporate beneficiary will automatically constitute a loan for the purpose of the integrity rules in Division 7A.

The ATO has issued a draft legislative instrument LI 2026/D3, Draft Superannuation Guarantee 
(Administration)(Out-of-Cycle Qualifying Earnings) Determination 2026, which outlines when employers 
may receive additional time to make on-time superannuation guarantee (SG) contributions for 
certain out-of-cycle qualifying earnings under the Payday Super rules.