The announcements made in last week's Federal Budget were largely non-surprising with virtually all major announcements having been rumoured and confirmed in the days and weeks preceding.
Following the initial hype that typically goes with budgetary
announcements, one potential positive is that there were no further significant changes announced to Australia's superannuation system. Of course, that may be because they were previously announced on 5 April this year and there was nothing more to be done.
This Budget contained many small measures that are broad in their application which means it is likely that everyone will feel an impact at some point. However, virtually all measures announced will still need legislation to be introduced, and will have to pass through Parliament. There is no doubt that Parliament will be very busy in its remaining time before the September election.
GJB has reviewed and filled in the background to 2013's Budget. Our synopsis only highlights why it is important to seek advice personalised to your circumstances and goals and which ensures you can have confidence in the choices you make about your financial future:
- Carbon tax-funded tax cuts 'deferred'
- Income tax rate cuts deferred
- Baby Bonus abolished, family payment boost abandoned and 'work test' under the Paid Parental Leave scheme extended
- Investments to improve childcare quality
- Price of cigarettes to rise
- Work concessions for Newstart Allowance recipients
- Disaster payment income tax exemptions
- Help for seniors
- Road and rail infrastructure projects
Call GJB on 02 9686 3130 if you would like to discuss any aspects of the Budget as they apply to you, or to discuss your circumstances.
- Increases in ASIC fees, 457 application charges, funding for innovation and competitiveness
- Net refund position to continue use of GST instalment system
- Pledge to NBN
- Trusts targeted
- Tightening measures for multinationals
- Data matching and third party information
- Net medical expenses tax offset to be phased out
- Medicare levy changes to fund DisabilityCare Australia
- Fighting cancer
- Increased medical funding
- Gonski school funding reforms
- Investment in early childhood and higher education
- Reforms to work-related self-education expenses
- HECS and HELP changes
Plus we look at announcements in respect of superannuation, CGT and other measures which will be put in place.