As part of the 2024–25 Budget, the Government announced its Future Made in Australia package to support Australia’s transition to a net zero economy. This package included 2 new, temporary tax incentives:
These measures are now law.
Critical Minerals Production Tax Incentive
The CMPTI provides eligible companies with a refundable tax offset of 10 per cent of the eligible costs of processing certain critical minerals in Australia. The offset will be available for a maximum of 10 years between 1 July 2027 and 30 June 2040.
The CMPTI is jointly administered by the ATO and the Department of Industry, Science and Resources.
Hydrogen Production Tax Incentive
The HPTI is a refundable tax offset of $2 per kilogram of eligible hydrogen produced by eligible companies. The HPTI applies to eligible hydrogen produced in income years between 1 July 2027 and 30 June 2040, for a maximum of 10 years.
The HPTI is jointly administered by the ATO and the Clean Energy Regulator.
