Federal election 2022 — status of tax bills

A federal election has been called for the House of Representatives and half of the Senate on Saturday, 21 May 2022. Parliament has been prorogued from Monday, 11 April 2022 to Saturday, 21 May 2022.

This article sets out the legislative status of key announced tax and superannuation measures as at 11 April 2022.

Measures which have been legislated

The following Acts have received Royal Assent:

Treasury Laws Amendment (Cost of Living Support and Other Measures) Act 2022 — received Royal Assent on 31 March 2022

  • Introducing a one-off increase in the low and middle income tax offset by $420 — for the 2021–22 income year
  • Introducing a one-off $250 cost of living payment for eligible individuals — to be paid in April 2022
  • Introducing deductibility of COVID-19 test expenses for individuals — from 1 July 2021
  • Increasing the Medicare levy low-income threshold — from 1 July 2021
  • Reducing the GDP adjustment factor for PAYG and GST instalments to two per cent — for the 2022–23 income year
  • Introducing regulatory relief in relation to employee share schemes — from six months after Royal Assent

These measures were all announced in the 2022–23 Federal Budget and more detail can be found in the Banter Blog article titled Federal Budget 2022–23: cost of living relief.

Excise Tariff Amendment (Cost of Living Support) Act 2022 and Customs Tariff Amendment (Cost of Living Support) Act 2022 — received Royal Assent on 31 March 2022

  • Introducing a temporary 50 per cent reduction in fuel excise — from 30 March to 28 September 2022

This measure was announced in the 2022–23 Federal Budget and more detail can be found in the Banter Blog article titled Federal Budget 2022–23: cost of living relief.

Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022 — received Royal Assent on 22 February 2022

  • Extending the temporary full expensing regime by 12 months — to 30 June 2023
  • Removing the $450 monthly threshold from the superannuation guarantee rules — from 1 July 2022
  • Reducing the eligibility age for the downsizer contribution scheme to 60 years — from 1 July 2022
  • Amending the work test for individuals aged between 67 and 75 — from 1 July 2022
  • Increasing the maximum releasable amount under the First Home Super Saver Scheme to $50,000 — from 1 July 2022
  • Enabling superannuation trustees to choose their preferred method of calculating exempt current pension income — from 1 July 2021

Corporate Collective Investment Vehicle Framework and Other Measures Act 2022 — received Royal Assent on 22 February 2022

  • Extending the loss carry back measure by 12 months — to 30 June 2023
  • Removing the cessation of employment as an employment share scheme taxing point — from 1 July 2022
  • Establishing a Corporate Collective Investment Vehicle (CCIV) as a new type of company for funds management and the flow through tax treatment of CCIVs — from 1 July 2022
  • Inserting the retirement income covenant requirement into the SIS Act — from 1 July 2022

Measures which have now lapsed

The effect of the prorogation includes the lapsing of all Bills which have not been agreed by both Houses, including:

Treasury Laws Amendment (2021 Measures No. 7) Bill 2021

  • Extending the Taxable Payments Reporting System to the sharing economy — proposed to commence 1 July 2022 for ride-sourcing and short-term accommodation sectors, and 1 July 2023 for all other reportable transactions
  • Removing the $250 non-deductible threshold for work-related self-education expenses — proposed to commence from the 2022–23 income year and the 2023–24 FBT year

Measures which will not be proceeding

The Government has announced that these proposed measures will not be proceeding:

Treasury Laws Amendment (Enhancing Tax Integrity and Supporting Business Investment) Bill 2022

  • Empowering the Commissioner to direct completion of an approved record-keeping course — proposed to commence three months after Royal Assent
  • Introducing a choice to self-assess the effective lives of intangible depreciating assets — proposed to commence 1 July 2023

Treasury Laws Amendment (Tax Concession for Australian Medical Innovations) Bill 2022

  • Inserting the Patent Box regime into the ITAA 1997 — proposed to commence 1 July 2022

Treasury Laws Amendment (Streamlining and Improving Economic Outcomes for Australians) Bill 2022

  • Enabling small business entities to apply to the Small Business Taxation Division of the Tribunal for an order staying proceedings in relation to certain decisions of the Commissioner that are being reviewed by the Tribunal — proposed to commence on the day after Royal Assent

Further info and training

Join us at the beginning of each month as we review the current tax landscape. Our monthly Online Tax Updates and Public Sessions are excellent and cost effective options to stay on top of your CPD requirements.

We’ll cover up-to-date legislative developments and also the status of Federal Budget measures at our upcoming Tax Update sessions:

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