The Australian Taxation Office has updated its foreign exchange rate guidance with monthly rates for the 2025-26 fiscal year through January 2026 for converting foreign income and tax amounts to Australian dollars. 

The Australian Taxation Office (ATO) has updated its foreign exchange rate guidance, which includes Monthly exchange rates for 1 July 2025 to 30 June 2026, and monthly rates for October, November, and December 2025, and January 2026.

As per the guidance, all foreign income, deductions, and foreign tax paid must be converted to Australian dollars before including them in the return.

There are rules about which exchange rate to use. Generally, these require amounts to be converted at the exchange rate prevailing at the time of a transaction, or at an average rate.