A new Bill is now before Parliament. This proposed legislation, the Treasury Laws Amendment (Strengthening Financial Systems and Other Measures) Bill 2025, could introduce several key changes. Small businesses, listed companies, and not-for-profit organisations all need to take note. The most significant proposal is an extension of the $20,000 instant asset write-off for another year.

Small Business Boost: $20,000 Instant Asset Write-Off Extended

If this Bill becomes law, small businesses will benefit. The rules will continue for those with an annual turnover under $10 million. These businesses can immediately deduct the full cost of eligible assets priced under $20,000. This proposed extension would last until 30 June 2026.

This threshold applies to each individual asset. Therefore, multiple separate purchases can each qualify for the write-off. There is one important condition. The asset must be first used or installed and ready for use by the new deadline.

This measure is one of the simplest tax incentives for small businesses. It provides a direct cash-flow benefit. Businesses can claim the full deduction in the year of purchase instead of depreciating the asset over many years. 

For example, a tradesperson can immediately write off new tools. A café can do the same for a new fridge or coffee machine. This action frees up cash for other parts of the business.

The proposal still requires passage through Parliament. Even so, now is the right time to plan. If you are considering new equipment or technology, early budgeting is crucial. This ensures assets can be delivered and installed before the cut-off date.

Strengthened Corporate Disclosure

The Bill also proposes tighter rules for listed companies. It suggests changes to the Corporations Act 2001. These changes would require the disclosure of equity derivative interests. This category includes instruments like options, swaps, and short positions. They would fall under the substantial holding regime.

These reforms aim to improve transparency in the market. They are designed to make it more difficult for significant shareholdings or control interests to remain hidden. For listed companies, this will mean increased compliance obligations. They may need to update their internal monitoring and reporting systems. Investors with substantial positions should also review their arrangements to ensure they comply.

Greater Transparency for Charities

The not-for-profit sector will also see changes. The Bill proposes giving the ACNC Commissioner new power. This power would allow the public disclosure of “protected information,” such as investigation details. However, this disclosure would only occur if the information meets a specific public harm test.

This measure aims to strengthen public confidence in the charity sector. It shows the regulator is taking action where misconduct occurs. For well-run charities, greater transparency can enhance community trust. But it also highlights the importance of robust governance and strong record-keeping.

Financial Regulator Reviews Simplified

Finally, the Bill would change the review process for financial regulators. It proposes reducing the frequency of reviews for ASIC and APRA. These reviews, conducted by the Financial Regulator Assessment Authority, would occur every five years instead of every two. 

This is largely an administrative change. It signals a shift towards streamlined oversight, allowing regulators to focus more on their core functions.

What You Should Do Now

These measures are not yet law. Even so, it is wise to begin preparations. Small businesses should consider their capital expenditure needs for the 2025–26 financial year. Ensure any planned purchases can be installed and ready for use by 30 June 2026 if you want the upfront deduction. 

Charities and listed entities should review their governance and reporting frameworks. This prepares them for the potential new transparency requirements.

We will provide updates as the Bill progresses through Parliament. Please contact us if you would like to discuss how these proposed changes might affect your business or organisation over the long run.