17 Changes Hitting Australian Businesses on 1 July 2026

While in most years 1 July just brings a fee increase and a wage adjustment, this year is different: it brings a major structural overhaul.

Let’s get started.

Contents

• What new changes are emerging from 1 July 2026
• 1. Payday super
• 2. Small Business Super Clearing House closure
• 3. Minimum wage increase
• 4. Income tax cut
• 5. $1,000 instant tax deduction for work-related expenses
• 6. Permanent $20,000 instant asset write-off
• 7. Loss carry-back reintroduced
• 8. AML/CTF obligations for professional services
• 9. ASIC fee increases
• 10. Paid parental leave expansion
• 11. SMS sender ID registration
• 12. Superannuation contribution cap increases
• 13. Unfair dismissal high-income threshold
• 14. Country of origin labelling for seafood
• 15. Supermarket price gouging prohibition
• 16. Fuel excise relief extension (reduced rate)
• 17. Alcohol excise remission cap increase
• State-based changes from 1 July 2026
• Your July 2026 checklist and next steps
• FAQs

What new changes are emerging from 1 July 2026

This year, a stack of new rules hit Australian businesses at once: payday super, a minimum wage bump, higher ASIC fees, expanded anti-money laundering obligations, and tax changes that will reshape your cash flow.

If you’re operating a small business in Australia, it’s worth noting these 17 changes, what each one actually means for your business, and what to do before the deadline.

1. Payday super

Payday super is the biggest change on this list, and the one most likely to catch small businesses off guard.

From 1 July 2026, every employer in Australia must pay superannuation at the same time as wages. That means within 7 business days of each payday.

Under the old system, you had until the 28th day after the end of each quarter to pay super. A business paying staff fortnightly went from 4 super payments a year to 26.

Super guarantee stays at 12% for FY2026-27. What changes is the frequency. And the ATO has been clear: a payment counts when the fund receives it, not when you submit it. If your clearing house takes three days to process and the fund takes another two, you need to account for that lag.

Take for example, a business with five employees on $70,000 each was previously holding around $10,500 in super float per quarter. Under payday super, that float disappears entirely. Money leaves your account on every payday, not once every three months.

The ATO has said it will take a reasonable approach in the first 12 months for employers making a genuine effort to comply. But “reasonable approach” does not mean “no consequences”. Late super still accrues the super guarantee charge, which includes interest and an administration fee. Leniency applies to penalties, not to the underlying obligation.

Lawpath advisors consistently see small business owners underestimate the cashflow impact of this switch. Across hundreds of consultations, the pattern is the same: the business owner knows about payday super in theory, but hasn’t modelled what it looks like in practice.

Lawpath’s free payday super calculator lets you model exactly how your cash flow changes under the new system before it starts.

2. Small Business Super Clearing House closure

The Small Business Super Clearing House closes permanently on 30 June 2026. Run by the ATO, this free clearing house let small employers pay super contributions for multiple employees in one place. Around 230,000 businesses used it, and if you were one of them, you need an alternative before 1 July.

So what are your options?

Most modern payroll software (Xero, MYOB, QuickBooks) now includes built-in super payment functionality that connects directly with Single Touch Payroll. Commercial clearing house providers are another option. Check the SuperStream product register on ato.gov.au for approved alternatives.

A common mistake Lawpath accountants flag in consultations: business owners assume their payroll software handles super automatically, but it often does not.

You still need to initiate the payment, confirm the fund details for each employee, and verify the payment was received.

3. Minimum wage increase

From 1 July, the national minimum wage hits $26.44 per hour, up from $24.95. For a full 38-hour week, that is $1,004.90.

That headline number applies to workers not covered by a modern award or enterprise agreement. Roughly 100,000 people fall into that category, and they get a 5.97% increase.

A bigger hit lands on the 2.8 million Australians covered by modern awards: a 4.75% wage increase. If you employ anyone in hospitality, retail, care, or construction, this is your cost increase. It is not optional. Check the updated pay guide for your specific award at fairwork.gov.au.

Lawpath’s free pay calculator maps 10+ industries to their primary modern awards, so you can check the new rates for your specific employees.

Here is the uncomfortable reality for businesses in hospitality and retail: a 4.75% wage increase lands on the same day as payday super. Your total employment cost per staff member jumps by the wage increase plus the accelerated cashflow hit of paying super every payday instead of quarterly. Plan for both at once.

4. Income tax cut

Income between $18,201 and $45,000 will be taxed at 15%, down from 16%. For anyone earning $45,000 or more, that saves $268 a year. A second cut is already legislated for 1 July 2027, when that rate drops again to 14%.

Most payroll software should pick this up automatically via the ATO’s tax table updates. But double-check the first July pay run to make sure the new withholding amounts are flowing through correctly.

5. $1,000 instant tax deduction for work-related expenses

Good news if you hate keeping receipts: the receipt-free threshold for work-related expense deductions jumps from $300 to $1,000. This passed into law just days before the deadline.

For employees, you can claim up to $1,000 in work-related expenses without keeping receipts.

For employers, expect fewer questions from staff about work expense claims at tax time. The ATO’s three golden rules still apply: the expense must relate to earning income, you must have spent the money yourself, and you need records for anything above $1,000.

6. Permanent $20,000 instant asset write-off

After years of last-minute annual extensions, the $20,000 instant asset write-off is now permanent. Small businesses with aggregated annual turnover below $10 million can immediately deduct eligible assets costing less than $20,000 (excluding GST).

Certainty is the real win here, as previously, you could not plan a December purchase with confidence that the write-off would still exist in June. Now you can. Assets costing $20,000 or more still go into the small business simplified depreciation pool.

7. Loss carry-back reintroduced

Companies with aggregated annual turnover under $1 billion can carry back a tax loss and offset it against tax paid in the previous two income years. This is a reintroduction of a COVID-era measure, though the current version applies to revenue losses only and is limited by the company’s franking account balance.

If your business had a tough year but paid tax in the two years before, you may be able to claim a refund. Around 85,000 companies, mostly small businesses, are expected to benefit. Talk to your accountant or book a consultation with a Lawpath tax advisor to check if this applies to you.

8. AML/CTF obligations for professional services

Tranche 2 of Australia’s anti-money laundering and counter-terrorism financing reforms begins on 1 July 2026. This expands AML/CTF obligations to accountants, lawyers, conveyancers, real estate agents, and precious gem dealers when they provide designated services.

If you are one of these professionals, here is what you now need to do:

• Conduct initial customer due diligence (verify who your client actually is)
• Monitor transactions to identify suspicious activity
• Report certain transactions to AUSTRAC
• Complete regular AML/CTF training for your team

A sole practitioner accountant now has the same category of AML obligations as a bank branch. The practical difference is scale, not scope.

If you are covered, review your obligations through AUSTRAC’s eligibility checker. Start with the basics: do you have a way to verify client identity? Do you have a process for flagging unusual transactions? If the answer to either is “not really”, you have work to do before 1 July.

9. ASIC fee increases

ASIC indexes its fees to CPI each year, and the increases for 1 July 2026 have been confirmed.

Fee type	Old fee	New fee (from 1 July 2026)
Business name registration/renewal (1 year)	$45	$47
Business name registration/renewal (3 years)	$104	$108
Company registration	$611	$636
Annual review fee (proprietary company)	$329	$342

Small increases individually, but they add up for businesses managing multiple registrations. If you are about to register a company or renew a business name, the maths is simple: doing it before 30 June saves you the fee difference. After that, the new rates apply.

For a full breakdown of all ASIC fee changes, check the ASIC fee indexation page.

10. Paid parental leave expansion

Government-funded paid parental leave increases from 120 days to 130 days (26 weeks) for children born or adopted after 1 July 2026. Days reserved for a partner rise from 15 to 20. Single parents get access to all 130 days. Leave is paid at the national minimum wage rate.

This is not an employer cost, but it does affect your workforce planning. If you employ parents of young children, factor in that they now have an extra two weeks of government-funded leave available. Update your parental leave policy to reflect the new entitlements.

11. SMS sender ID registration

Businesses that send branded text messages need to have registered their sender ID with the Australian Communications and Media Authority (ACMA). From 1 July, any SMS sent with an unregistered branded sender ID will appear as “Unverified” on the recipient’s phone and may be grouped with scam messages.

Registration closed on 15 May. If you missed it, you can still register, but your application may not be processed in time. Check the ACMA SMS Sender ID Register page for details.

12. Superannuation contribution cap increases

Concessional (before-tax) contribution caps increase from $30,000 to $32,500. Non-concessional (after-tax) caps rise from $120,000 to $130,000. The general transfer balance cap increases from $2 million to $2.1 million.

For business owners who use super as part of their tax planning, the higher concessional cap means an extra $2,500 in tax-effective contributions each year.

13. Unfair dismissal high-income threshold

Up from $183,100, the new threshold sits at $190,100. Employees not covered by an award or agreement who earn above this amount cannot apply for unfair dismissal.

Keep an eye on this number. The government has flagged reforms to non-compete clauses for workers earning under this threshold, expected to take effect from 2027. If you rely on non-compete clauses in your employment agreements, now is the time to review whether your restraints are still fit for purpose.

14. Country of origin labelling for seafood

Hospitality businesses serving seafood for immediate consumption (restaurants, cafes, pubs, clubs, takeaway outlets, food trucks) must now indicate whether seafood is Australian, imported, or mixed origin.

Display this clearly at the point of sale, including on menus and online ordering platforms.

15. Supermarket price gouging prohibition

Starting 1 July, the ACCC monitors compliance with new excessive pricing rules for large supermarkets (annual revenue exceeding $30 million).

For now, that means Woolworths and Coles. Small businesses are not directly affected, but the regulation signals a broader trend toward price transparency.

16. Fuel excise relief extension (reduced rate)

Fuel excise relief continues into July, but at half strength. From 1 July to 2 August 2026, petrol and diesel excise is reduced by 16 cents per litre, down from the 32-cent discount that applied from April to June.

If you run a business with significant fuel costs, budget for the higher rate from August onwards.

17. Alcohol excise remission cap increase

Small alcohol manufacturers see their maximum annual excise remission cap increase from $350,000 to $400,000. Craft brewers, distillers, and winemakers get modest relief.

State-based changes from 1 July 2026

Several states have their own 1 July changes on top of the 17 national reforms above.

NSW: Businesses that handle or sell food must separate food waste from general waste if they have a weekly general waste capacity of six or more 660L bins (or equivalent). Separately, all repairs and renovations on class 3 and 9c buildings (boarding houses, group homes, residential care facilities) now fall under the Design and Building Practitioners regime, with mandatory professional indemnity insurance for applicable trades.

Victoria: Retail landlords must update leasing packs to include the new Retail Leases Information Brochure for Tenants. Victoria has also passed legislation restricting NDAs in workplace sexual harassment settlement cases from 1 July.

Queensland: Electricity costs drop by up to 6.9% for regional households and 8.1% for small businesses.

Western Australia: State minimum wage for employees 21 and over (under the state IR system) increases by 4.75% to $988.30 per week ($26.27/hour). Applies to sole traders, some micro businesses, and unincorporated partnerships and trusts. WA is also expanding its container deposit scheme to cover additional beverage containers.

Your July 2026 checklist and next steps

Here is a practical checklist, in priority order.

1. Confirm your payroll software pays super on every payday. Test it. Run a dummy pay cycle if you can. Check the processing times with your provider and your super fund. If you were using the Small Business Super Clearing House, switch now. Download all your transaction history before 30 June.
2. Check your award rates. The 4.75% increase applies to all modern award classifications. Use Fair Work pay guides or Lawpath’s free pay calculator to confirm the new rates for your staff.
3. Update your payroll tax tables. The income tax cut (16% to 15% on the $18,201-$45,000 bracket) needs to flow through to your first July pay run.
4. Review your AML obligations. If you are an accountant, lawyer, conveyancer, or real estate agent, check AUSTRAC’s eligibility tool and start building your compliance processes.
5. Budget for ASIC fee increases. If you have business name or company renewals due, factor in the new rates.
6. Check your SMS sender ID registration. If your business sends branded texts and you missed the May deadline, register now through ACMA.
7. Review your employment agreements. With the unfair dismissal threshold moving to $190,100 and non-compete reforms flagged for 2027, review your restraint clauses now rather than scrambling later.

Lawpath can help you sort your employment agreements, company registrations, and compliance in one place. Talk to a Lawpath lawyer or accountant to get a personalised action plan for your business.

FAQs

When does payday super actually start?

1 July 2026. From that date, employers must pay super within 7 business days of each payday. The super fund must receive the payment within that window, not just your clearing house or payroll provider.

Will the ATO penalise small businesses for late super payments under the new system?

The ATO has said it will take a reasonable approach during the first 12 months for employers genuinely trying to comply. But the super guarantee charge (including interest) still applies to late payments. Leniency covers penalties, not the debt itself.

What happens if my SMS sender ID is not registered by 1 July?

Your branded text messages will display as “Unverified” on recipients’ phones and may be grouped with suspected scam messages. You can still register after 1 July, but the “Unverified” label applies until your registration is processed.

Does the $20,000 instant asset write-off apply to all businesses?

No. It applies to small businesses with aggregated annual turnover under $10 million. The asset must cost less than $20,000 (excluding GST) and be first used or installed ready for use in the relevant income year.

Do the AML/CTF changes apply to all accountants and lawyers?

Only when providing designated services under the AML/CTF Act. Not every engagement triggers the obligation. Check AUSTRAC’s eligibility checker to see which of your services are covered.

How much does the minimum wage increase affect award employees?

All modern award wages increase by 4.75% from 1 July 2026. The exact dollar amount depends on the award and classification level. Check the Fair Work Commission’s updated pay guides for your specific award.

Is the loss carry-back available to sole traders?

No. Loss carry-back applies to companies only. Sole traders and partnerships cannot carry losses back to prior years under this measure.

What is the new unfair dismissal threshold?

$190,100 from 1 July 2026, up from $183,100. Employees above this threshold who are not covered by an award or agreement cannot claim unfair dismissal.

Are there any major tax changes coming after 1 July 2026 that I should plan for now?

Yes. The income tax rate on the $18,201-$45,000 bracket drops again to 14% on 1 July 2027. Major capital gains tax changes, including the removal of the 50% CGT discount and a 30% minimum tax on capital gains, take effect from 1 July 2027. Start reviewing your structures with a tax advisor now.

Where can I find the full list of ASIC fee changes?

ASIC publishes every updated fee on its fee indexation page for business names, companies, and other registrations. Updated schedules are published before 1 July each year.

None of these 17 changes are optional, and most land on the same day. The good news: if you are reading this before 1 July, you still have time to get ahead of every single one. And if you are reading it after, the ATO’s 12-month leniency window on payday super means you can fix your processes without facing penalties, as long as you start now.