In recent years, Australia’s tax policy has been changing significantly in response to global economic trends, particularly those initiated by the Donald Trump administration in the United States. The introduction of aggressive tax reform in America has stimulated a reallocation of capital around the world, and Australia has not been left out. The country’s economic and political elites have been faced with the need to review the tax base, particularly with regard to corporate taxation and investment. Since 2017, the Australian government has implemented a number of reforms, including a reduction in the corporate tax rate for small and medium-sized enterprises. However, as global markets have stabilized and pressure on social spending has increased, the national course has shifted from progressive tax cuts to stabilization – the so-called ‘tax policy plateau’. A ‘plateau’ refers to reaching a level at which further tax concessions become economically and politically unjustifiable. Such tax stagnation has become a reaction to what is known as the ‘Trump effect’ – a massive shift of capital to more favorable tax jurisdictions. In an effort to maintain the attractiveness of its investment environment, Australia was forced to find a balance between stimulating business and replenishing the budget. However, unlike the United States, where the reform was accompanied by an increase in the budget deficit, Australia maintains a cautious approach, without crossing the line of fiscal sustainability. It is also important to note that Australia's tax policy is closely linked to environmental and social initiatives. In the context of the climate crisis, the government tightened standards for environmentally harmful industries, while introducing incentives for 'green' investments. These measures also played a role in the formation of a new tax plateau, where priorities are shifting from quantitative to qualitative incentives. Financial analysts argue that Australia, having reached the plateau, gets an opportunity for strategic planning based on long-term sustainability, rather than short-term profit. This is especially important in the context of growing public debt and global instability. The rejection of endless tax breaks allows focusing on key areas such as the digitalization of the economy, healthcare and education. Thus, we can say that Australia's tax model has entered the stage of maturity. While previously the impetus was provided by international reforms like the American one, now Australia’s strategy is based on an internal consensus between the state, business and society. This makes the country a potential example for other countries seeking a compromise between investment attractiveness and social responsibility. Sources: Australian Government Treasury Reports (2023), OECD Economic Surveys: Australia (2024), The Guardian Australia (2023), Financial Review (2024), Bloomberg (2023).