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Division 296 is now law. It commenced 1 July 2026 and imposes an additional 15% tax on realised earnings, including capital gains, for superannuation balances above $3 million. The timing is pointed. Australian property has delivered five years of strong capital growth. Many SMSFs are carrying significant accumulated gains, unrealised, for now. Division 296 captures movements in total superannuation balances, meaning changes in asset values, realised or unrealised, can influence the tax outcome. It’s a lot to navigate, when to sell, what to hold and what the fund balance looks like, and the timing is worth understanding carefully.

Following our update in May, the legislation has now passed. Here's what's confirmed, what's still being worked through, and what property owners need to do before 1 July 2027.

The recent Federal Budget changes to capital gains tax (CGT) and negative gearing have been widely covered, including our national overview of what’s changing and what it means for property owners. What’s emerging now is how those changes are playing out on the ground, particularly in Western Australia, where market conditions are already very different to the eastern states.

Defence Estate divestment has been a topic of discussion for some time, attracting interest across government and the property sector. Following the 2023 Defence Strategic Review, the Australian Government is undertaking the most significant reform of the Defence estate in decades. An independent Defence Estate Audit concluded that a large portion of Defence’s property holdings are legacy assets that no longer support current or future capability needs and are costly to maintain. In response, Defence has already started to undertake a national program of consolidation and divestment, led by the Department of Finance.

Fuel, conflict, and the re‑emergence of escalation risk. Following last month’s update, construction costs remain front‑of‑mind for many clients as ongoing conflict involving Iran continues to prolong uncertainty across global energy and logistics markets. While recent domestic indicators had suggested that escalation pressures were beginning to moderate, emerging evidence highlights how quickly those conditions can unravel once external shocks hit.

The Federal Budget has delivered some of the biggest changes to Australia’s property tax settings in decades. Negative gearing has been wound back, the long‑standing capital gains tax (CGT) discount is being reshaped, and investors are asking what this means for them. 

Retrospective valuations have become an increasingly important part of Acumentis’ Family Law work across Australia. As matters become more complex and timeframes stretch further back, there is a growing need to accurately determine what a property was worth at a specific point in the past, not just what it’s worth today.