Tax Updates 2025

As of 1 July 2025, several important legislative changes have come into effect that may impact your tax, employment, and business obligations. Here’s a summary of key updates:

🧾 Minimum Wage Increase
The national minimum wage has increased to $24.95/hour or $948.90/week.

💼 Superannuation Guarantee
Employer super contributions have risen from 11.5% to 12%.

👶 Paid Parental Leave
Extended to 24 weeks, now including superannuation contributions.

📵 Right to Disconnect (Small Business)
Effective 26 August 2025, employees can lawfully ignore work-related communications outside work hours.

🧑‍⚕ Centrelink Payments
JobSeeker, Youth Allowance, and other support payments have been indexed upwards.

💡 Energy Rebates
Eligible households and small businesses receive $75 credits automatically (up to $150 annually).

🔋 Battery Rebates
A new federal scheme provides 30% off solar battery systems, reducing average costs to around $6,000.

🚗 Road & Safety Changes

AI cameras now detect mobile phone use and seatbelt violations (fines up to $1,209).

Lower speed limits implemented in high-risk zones across some states.

📈 Business & Visa Changes

ASIC fees (e.g., business name registration) have slightly increased.

Skilled visa income thresholds have risen.

ACCC merger reforms require certain transactions to be pre-notified.

💰 Tax Law Changes

ATO Interest Deductibility: Interest charged by the ATO for late payments or underpayments is no longer tax-deductible. This change affects the General Interest Charge (GIC) and Shortfall Interest Charge (SIC) incurred on or after 1 July 2025.
Superannuation Earnings Tax: A 30% concessional tax rate will apply to future earnings for superannuation balances above $3 million. This measure, referred to as Division 296 tax, is set to apply to earnings between 1 July 2025 and 30 June 2026.

If you’d like personalised advice or assistance in understanding how these changes affect your circumstances, please don’t hesitate to contact our office.