July 2026 Tax & Business Update: What You Need to Know This Month

As we settle into the new financial year, July brings a few important changes for employers, business owners and investors. While there are plenty of tax headlines around at the moment, not all of them require immediate action.

Here's what we think is worth paying attention to now, and where you may want to have a conversation with your adviser before making any big decisions.

Payday Super Has Started

The biggest change this month is the introduction of Payday Super, which came into effect on 1 July 2026.

If you employ staff, this changes when super needs to be paid.

Instead of making super contributions quarterly, employers now need to ensure super reaches an employee's super fund within seven business days of each payday (with limited exceptions).

For many businesses, this means reviewing payroll processes, cash flow and the way super payments are managed.

What should you do now?

If you haven't already, now is a good time to:

Check your payroll software is set up correctly.
Make sure you're using a SuperStream-compliant clearing house.
Review your cash flow to allow for more frequent super payments.
Ensure everyone responsible for payroll understands the new requirements.

The ATO has indicated it will take a practical approach where businesses are making genuine efforts to comply, but mistakes can still become costly if they're not picked up early.

If you're unsure whether your payroll systems are ready, we'd encourage you to get in touch before small issues become bigger compliance problems.

Budget Changes Continue to Evolve

Following the Federal Budget in May, the Government has already announced changes to several proposed tax measures.

Some of the key updates include:

Proposed changes to capital gains tax concessions for certain investors and small businesses.
An exemption for genuine testamentary trusts from the proposed minimum tax rate changes.
Proposed restrictions on future SMSF borrowing arrangements for residential property, while existing arrangements are expected to be protected.

Many of these measures are still proposals and will continue to evolve over the coming months.

If you're considering selling a business, restructuring, investing or making significant financial decisions, it's worth getting advice before acting on the latest headlines.