Regulatory Reform Omnibus Bill 2026

Senator HUME (Victoria—Deputy Leader of the Opposition) (10:56): by leave—I move opposition amendments (1) and (2) on sheet 3924 in the name of Senator Bragg together: (1) Clause 2, page 3 (at the end of the table), add: 16. Schedule 4, Part 5 Immediately after the commencement of Schedule 5 to the Treasury Laws Amendment (Tax Reform No. 1) Act 2026. (2) Page 52 (after line 8), at the end of the Bill, add: Part 5 — Limited recourse borrowing arrangements Superannuation Industry (Supervision) Act 1993 10 Subsection 10(1) Insert: commercial property means business real property, or any other real property which is zoned to permit mixed uses where the dominant use of the property is for the conduct of one or more businesses. development means any residential built form. new residential dwelling means a residential dwelling, as at the time the limited recourse borrowing arrangements is entered, that will be, is being or has been built on land and that: (a) either: (i) has not been previously occupied; or (ii) if the residential dwelling is contained in a development and the residential dwelling was sold by the developer of the development—has not been previously occupied and used for more than 18 months in total as a residential dwelling; or (iii) for the purposes of subparagraph (a)(ii) above, where a previously uninhabitable dwelling has been substantially renovated, the 18 month occupation or use period is to be determined from the completion of the substantial renovation; and (b) either: (i) the land on which the dwelling is or will be built, was vacant land immediately before the residential dwelling was built; or (ii) the building of the residential dwelling increases the total number of residential dwellings on the land; or (iii) a substantial renovation to repair an existing uninhabitable residential dwelling to habitation; and (c) eligible new residential dwelling limited recourse borrowing arrangements funding can include the total of any of (but is not limited to): (i) acquisition of the land; and (ii) acquisition or construction of the dwelling(s); and (iii) associated civil and building works; and (iv) progress payments under the building contract; and (v) refinancing of a complete arrangement, providing the completed result of the funding is one or more new dwelling.

Note 1: For the purposes of this definition, new residential dwellings include the following: (a) off-the-plan purchases; (b) substantial renovations of dwellings previously uninhabitable and has the same meaning as in section 195-1 of the A New Tax System (Goods and Services Tax) Act 1999; (c) house and land packages; (d) vacant residential lots under a binding construction arrangement; (e) separate but related land and building contracts.

Note 2: For the purposes of this definition, qualifying acquisitions include the following: (a) a contract entered into before construction commences; (b) a contract settled after construction is completed; (c) staged deposits or progress payments; (d) an acquisition where legal title is transferred only upon completion; (e) an off-the-plan apartment, townhouse or house-and-land package. residential dwelling has the same meaning as in the Income Tax Assessment Act 1997. 11 Paragraph 67A(2)(c) Repeal the paragraph, substitute: (c) for an asset that is real property, one or both of the following apply: (i) the dominant purpose for which the asset is used is a commercial property; (ii) the asset is a new residential dwelling.

Note: For the purposes of subparagraph (c)(i)—real property that is used for mixed residential and commercial purposes may qualify. For example, a retail shop with apartment above or a residential dwelling that is also used as a doctor's clinic. 12 Transitional provision Despite the amendments made by this Schedule and Schedule 5 to the Treasury Laws Amendment (Tax Reform No. 1) Act 2026, subsection 67A(2) of the Superannuation Industry (Supervision) Act 1993, as in force immediately before the commencement of Schedule 5 to the Treasury Laws Amendment (Tax Reform No. 1) Act 2026, continues to apply on and after that commencement in relation to: (a) arrangements entered into before that commencement under which money is borrowed, or borrowings of money are maintained, for the acquisition of assets; and (b) arrangements entered into on or after that commencement under which money is borrowed, or borrowings of money are maintained, for the acquisition of assets, to the extent that: (i) the arrangement is for maintaining (or refinancing) a borrowing of money under another arrangement entered into before that commencement; or (ii) the acquisition of the asset (to which the borrowing under the arrangement relates) happens under an arrangement entered into before that commencement.

Note: This item means each of the following continues to be covered by the exception in subsection 67A(1) of the Superannuation Industry (Supervision) Act 1993: (a) a borrowing arrangement entered into before the commencement of Schedule 5 to the Treasury Laws Amendment (Tax Reform No. 1) Act 2026; (b) a refinancing arrangement covered by subparagraph (b)(i); (c) a borrowing arrangement for which the related asset is acquired under an arrangement entered into before that commencement (even if the settlement for the acquisition of the asset happens after that commencement).

The TEMPORARY CHAIR ( Senator Ghosh ): The question is that amendments (1) and (2) on sheet 3924 be agreed to.