Treasury Laws Amendment (Delivering an Efficient and Trusted Tax System) Bill 2026; Second Reading

Summary

Currently, people can only claim a tax deduction for donations to approved charities and other Deductible Gift Recipients (DGRs) if the donation is worth at least two dollars. This change amends the Income Tax Assessment Act 1997 to remove that two-dollar minimum, allowing donors to claim deductions for smaller gifts. This matters because it removes a practical barrier for people who want to give small donations to charities—whether a few cents or a dollar—and receive a tax benefit, potentially encouraging more charitable giving at all levels.

What happens at this stage

The main debate on whether the chamber supports the broad purpose of the bill. Members speak to its overall merits and concerns rather than the fine print. The government outlines its policy intentions; the opposition and crossbench put their case. This is the stage that determines whether the bill proceeds at all.

Next: Consideration in Detail (House) or Committee of the Whole (Senate), where the bill is examined clause by clause