Analysis of winners and losers in Australia’s 2026 federal budget

✓ Verified by 2+ sources

Key details reported by multiple sources:

• Treasurer Jim Chalmers called the 2026 federal budget 'the most important and ambitious budget in decades'
• The budget introduces a new Working Australians Tax Offset (WATO) providing an extra tax cut of up to $250 per year, increasing the tax-free threshold to $19,985, benefiting over 13 million workers
• The budget scraps negative gearing for purchases of existing properties from July 2027, except for newly built homes or pre-existing investments
• The 50% capital gains tax discount (Howard-era policy) is scrapped and replaced with inflation-adjusted indexation, reverting to the Keating-era scheme
• The budget allocates $53 billion over 10 years to the Australian Defence Force, including $14 billion in the first four years, focusing on drone/counter-drone tech and AUKUS nuclear submarines
• The budget includes $2 billion over four years to support construction of up to 65,000 homes, with overhauls to planning/zoning regulations and free mandatory Australian standards for construction firms
• The National Disability Insurance Scheme (NDIS) eligibility overhaul will remove over 160,000 current recipients, primarily those with autism or lower support needs, saving $36 billion over four years
• A 30% minimum tax rate on discretionary trust distributions will be introduced in 2028, raising $4.4 billion over four years, excluding farming and inheritance income
• The passenger movement charge for international travellers increases from $70 to $80, generating an extra $755 million over four years
• Subsidies for private health insurance for Australians over 65 are cut, increasing bills by about $240 per year, with savings redirected to aged care and dementia units
• The budget includes $8.6 billion for road and rail projects, including $3.8 billion for Victoria’s Suburban Rail Loop and $1.75 billion for the Australian Rail Track Corporation
• The fuel excise is halved to ease pressure on motorists affected by oil spikes from the war in Iran
• The budget provides $3.5 billion in support for small businesses, including making the $20,000 instant asset write-off permanent and a permanent two-year loss carry-back for companies up to $1 billion turnover
• The budget estimates 75,000 Australians will be helped to buy their first property due to investor tax rule changes
• A 25% discount on fringe benefit tax for luxury EVs priced between $75,000 and $91,387 will be introduced from April 1, 2027, down from the current 100% reduction
• The gas reservation policy requires gas companies to reserve 20% of exports for domestic use, limiting overseas sales