Key proposals are still in limbo, and the election result will decide whether they become law, get reworked, or vanish altogether.
Here’s what’s on the line and why it matters.
➤ Super Shock — 30% Tax on Unrealised Gains Over $3M
One of the most contentious proposals is a new 30% tax on unrealised gains for super balances above $3 million. You could be taxed on paper gains – even without selling the asset or receiving any income.
The bill is currently stalled in the Senate and will likely be election – dependent.
📌 Impact: High-net-worth individuals and SMSFs should prepare for possible restructuring or estate planning adjustments.
➤ Asset Write-Off Confirmed — But What Happens After 30 June 2025?
The $20,000 instant asset write-off is now officially legislated and will apply to eligible small businesses until 30 June 2025.
What remains uncertain is what happens after this date. Under current legislation, the threshold is set to revert to $1,000 from 1 July 2025 – unless a future government amends the rule.
📌 Impact: While businesses can now plan with confidence for the next 12 months, they should keep in mind that the long-term treatment remains subject to change depending on the outcome of the election.
➤ Tax Debt Clampdown – Interest May No Longer Be Deductible A bill proposes removing the tax deductibility of ATO interest charges (GIC and SIC) from 1 July 2025. These rates are already high – this would make tax debts even costlier.
📌 Impact: Late payments and honest mistakes may carry heavier financial consequences.
⚡ What This Means for You
With the 3 May election approaching, uncertainty remains around key tax measures. The outcome will shape the rules for the year ahead – so it’s important that businesses and individuals plan with flexibility and stay prepared to adjust as policies unfold.