2026 Tax and Business Strategy Outlook: What Perth SMEs Should Prepare For

As the year draws to a close, many Perth business owners are looking ahead and assessing what 2026 may bring. Shifts in taxation, compliance expectations, workforce pressures and sector growth are already emerging. The most successful SMEs will be those that prepare early with a clear understanding of what is confirmed and what is developing. This 2026 business strategy Australia outlook brings together tax insights, economic signals and forward-looking recommendations to help you approach the new year with clarity and confidence. With decades of combined experience and an extensive understanding of Australian legislation, we are here to help you take the weight off your shoulders and set your business up for a stronger year ahead.

Tax and regulatory changes shaping 2026

Several confirmed tax measures and likely compliance trends will shape the 2026 financial year. While not all changes are legislated, many have been signalled by government and industry commentary, and early preparation remains a practical advantage for SMEs.

The revised Stage 3 tax changes that took effect from July 2024 will continue to influence how business owners structure director salaries and trust distributions. If you want to understand the impact in more detail, our update on the Stage 3 Tax Cuts outlines the confirmed new thresholds. Planning around these changes through our Tax Planning service helps you avoid unexpected outcomes at year end.

The ATO has, in recent years, increased the use of data matching and automated reviews, particularly for GST, payroll and STP Phase 2 accuracy. While no formal announcement has confirmed an escalation in 2026, it is reasonable to expect that automation will continue to improve and reviews will become more frequent. Businesses with inconsistent BAS lodgements, payroll misclassifications or reporting errors may attract additional attention.

If your business is carrying existing liabilities, early action gives you more options and reduces risk for directors. Our ATO Tax Debt Negotiation service can assist you in addressing issues before they escalate.

Looking more broadly at compliance, the ATO and state regulators may refine thresholds and obligations such as PAYG instalment factors, instant asset write-off rules and reporting requirements. These areas have been subject to regular review, although no specific 2026 changes are confirmed. For businesses wanting stronger readiness, our article on preparing for an ATO audit provides practical steps.

These developments show why early planning remains beneficial. Understanding what is confirmed and what is evolving helps protect your margins and strengthens the financial foundations of your business.

WA economic and business outlook for 2026

Western Australia is expected to enter 2026 with strong momentum in infrastructure, resources and technology. While economic forecasting always involves uncertainty, current activity levels and government investment provide a reliable indication of where demand is heading.

Infrastructure will continue to be a major driver of activity. METRONET delivery stages, industrial precinct development and regional road upgrades are already underway and will flow into 2026. These projects influence demand for subcontractors, logistics providers and advisory services. Businesses wanting to align their operating model with these opportunities can benefit from strategic support through Business Advisory.

WA’s resources sector is also positioned for continued strength. Investment in lithium, rare earth elements and renewable energy projects remains high, supported by global demand for energy transition. Technology providers, engineering firms and specialist service businesses are likely to see ongoing opportunities.

Technology adoption is another area gaining momentum. Across Australia, businesses are moving towards cloud systems, integrated reporting and improved cyber security. While not mandated for SMEs, these upgrades help reduce risk and improve operational efficiency. Our guide on AI and accounting integration explains how modern tools can support more accurate decision making as compliance expectations grow.

These indicators suggest that WA SMEs should enter 2026 with a focus on readiness and adaptability. By strengthening systems and processes now, you are better placed to respond to industry activity as it evolves.

Strategic moves SMEs should make before 2026

A strong 2026 strategy requires a clear foundation. While every business is different, several steps consistently help SMEs improve resilience and performance in uncertain conditions.

The first step is reviewing your business structure and model. This ensures your organisation operates efficiently, reduces owner dependence and remains tax effective. If you are considering a structural review, our page on business structures outlines the main options and their advantages.

Digital upgrades should also be considered. Although not legally required for all businesses, improved accounting systems, integrated payroll and cloud document management reduce the risk of human error and support more reliable reporting. Many business owners find value in our Xero and MYOB training resource when modernising their financial processes.

Workforce planning is another important step. Wage pressures and staffing requirements are likely to remain a focus into 2026. Reviewing award classifications, rostering and labour budgets can prevent unexpected compliance issues.

Cash flow management should not be overlooked. With cost pressures still affecting Australian businesses, forecasting and scenario planning help protect stability. Our article on improving cash flow provides practical guidance you can apply immediately.

If you are reviewing your direction for the year ahead, the insights in our year end business reviewarticle can help you analyse your performance with a strategic mindset.

Proactive planning across these areas positions your business to navigate the new year with confidence and reduces the risk of avoidable challenges.

Funding, grants and growth opportunities in 2026

Government funding will remain an important growth lever for SMEs in 2026. While specific programs and opening dates for next year have not yet been released, current federal and state priorities provide a guide to areas where opportunities may arise.

At the federal level, support for exporters, clean energy, advanced manufacturing and digital capability remains a focus. Businesses exploring international markets can review our guidance on the Export Market Development Grant and the recent updates outlined in our article on EMDG program changes.

In Western Australia, ongoing investment in renewable energy, regional tourism, mining technology and hydrogen development suggests these industries may continue receiving funding in future budget cycles. Although the exact programs will depend on government announcements, preparing early improves your competitiveness when rounds open.

Strong applications require accurate financials, clear project documentation and evidence of capability. Our Grant Writers service helps businesses prepare this material with confidence and avoid last minute submissions that weaken their chances.

Funding should always support long term goals. Whether you are upgrading systems, expanding into new markets, strengthening sustainability practices or building team capability, grants can accelerate your progress when aligned with a clear strategy.

Prepare your business for a stronger 2026

The year ahead will reward businesses that plan early, strengthen their systems and take a proactive approach to tax, compliance and growth. By understanding what is confirmed, monitoring emerging trends and preparing for funding opportunities, you can begin 2026 with confidence and improved resilience. Our team is here to support your planning, improve clarity and help you build a practical strategy for the new year.

If you would like expert guidance shaping your 2026 strategy, we are ready to help you get started.