This instrument is the Taxation (Multinational—Global and Domestic Minimum Tax) Amendment (2026 Measures No. 1) Rules 2026.

(1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

Commencement information
Column 1	Column 2	Column 3
Provisions	Commencement	Date/Details
1. The whole of this instrument	The day after this instrument is registered.

Note: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.

(2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.

3 Authority

This instrument is made under the Taxation (Multinational—Global and Domestic Minimum Tax) Act 2024.

Note: Section 29 of the Taxation (Multinational—Global and Domestic Minimum Tax) Act 2024 provides that the Minister may make rules prescribing matters required or permitted by the Act, or necessary or convenient, to be prescribed.

4 Schedules

Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

Schedule 1—Amendments

Taxation (Multinational—Global and Domestic Minimum Tax) Rules 2024

1 Paragraph 1-25(1)(c)

Omit “subsection (4) applies”, substitute “subsection (4) or (6) applies”.

2 At the end of section 1-25

Add:

Foreign currency translation of Top-up Tax amounts

(6) If an amount of IIR Top-up Tax Amount, Domestic Top-up Tax Amount or UTPR Top-up Tax Amount for a Fiscal Year is denominated in a currency other than Australian currency (the foreign currency), convert the amount from the foreign currency to Australian currency using any of the following:

(a) the daily rate of exchange as quoted by the Reserve Bank of Australia in respect of the 2 currencies on the last day of the Fiscal Year;

(b) the daily rate of exchange as quoted by the central bank for the foreign currency in respect of the 2 currencies on the last day of the Fiscal Year;

(c) a publicly and commercially available market exchange rate in respect of the 2 currencies on the last day of the Fiscal Year.

3 Subparagraphs 2-25(1)(b)(i) and (ii)

Repeal the subparagraphs, substitute:

(i) is created in Australia, and is a Stateless Constituent Entity under subsection 41(3) of the Act; or

4 Paragraph 2-25(3)(b)

Repeal the paragraph, substitute:

(b) the Low‑Taxed Constituent Entity is either:

(i) located in Australia for the Fiscal Year; or

(ii) a Stateless Constituent Entity covered by subparagraph (1)(b)(iii); and

5 Paragraph 2-25(5)(a)

Repeal the paragraph, substitute:

(a) a Joint Venture of an MNE Group, or a JV Subsidiary of a Joint Venture of an MNE Group is:

(i) located in Australia for a Fiscal Year; or

(ii) a Flow‑through Entity created in Australia, and, under paragraph 6‑75(2)(c), treated as a Stateless Constituent Entity for a Fiscal Year; or

(iii) treated under paragraph 6-75(2)(c) as a Stateless Constituent Entity that is a Permanent Establishment in relation to which paragraph 19(1)(d) of the Act applies, and a place of business (including a deemed place of business) in Australia, for a Fiscal Year; and

6 Paragraph 2-25(7)(c)

Repeal the paragraph, substitute:

(i) located in Australia for the Fiscal Year; or

(ii) a JV Subsidiary covered by subparagraph (5)(a)(iii); and

7 Paragraph 2-35(6)(c)

After “(Allocation of amounts from Constituent Entity‑owner to Hybrid Entity or Reverse Hybrid Entity)”, insert “, unless the amount in respect of Covered Taxes is an amount in respect of tax imposed under a law of an Australian jurisdiction”.

8 Subparagraphs 2-35(7)(b)(i) and (ii)

Repeal the subparagraphs, substitute:

(i) is a Flow‑through Entity created in Australia; or

9 At the end of section 2-35

Add:

(9) Assume that section 8-200 (QDMTT Safe Harbour) does not apply.

10 Subsection 2-40(1)

Repeal the subsection, substitute:

(1) Subsection (2) applies if:

(a) either of the following is a subsidiary member of a consolidated group:

(i) a Constituent Entity of an MNE Group;

(ii) a JV Subsidiary of a Joint Venture of an MNE Group; and

(b) the head company of the consolidated group is not an Excluded Entity or a Securitisation Entity for the Fiscal Year.

11 Subsection 2-40(2)

After “Constituent Entity’s”, insert “or the JV Subsidiary’s (as the case requires)”.

12 Subsection 2-40(3)

Repeal the subsection, substitute:

(3) Subsection (4) applies if:

(a) any of the following is the head company of a consolidated group:

(i) a Constituent Entity of an MNE Group;

(ii) a Joint Venture of an MNE Group;

(iii) a JV Subsidiary of a Joint Venture of an MNE Group; and

(b) the head company of the consolidated group is not an Excluded Entity or a Securitisation Entity for the Fiscal Year.

13 Subsection 2-40(4)

Omit “Constituent Entity’s”, substitute “head company’s”.

14 After paragraph 6-75(2)(b)

Insert:

; and (c) treat each of the JV Entities as a Stateless Constituent Entity if the JV Entity would be treated as a Stateless Constituent Entity under the Act if the entity were a Constituent Entity of an MNE Group and the Joint Venture were the Ultimate Parent Entity of the MNE Group.

15 At the end of the instrument

Add:

15-10 Application—Taxation (Multinational—Global and Domestic Minimum Tax) Amendment (2026 Measures No. 1) Rules 2026

The amendments made by the Taxation (Multinational—Global and Domestic Minimum Tax) Amendment (2026 Measures No. 1) Rules 2026 apply in relation to Fiscal Years starting on and after 1 January 2024.