Given all the leaks and pre budget announcements around superannuation there was not a lot of big news. Last year was all about a “budget surplus”, this year it is all about ” jobs and growth”. Key takeouts include:
- The budget is in an $19.4bn deficit and a budget surplus now put on hold until 2016 (how much does this mean when 12 months ago we were going to be in surplus this year)
- Baby bonus to be scrapped and replaced with a lower payment to recipients of Family Tax Benefit PartA
- Previously flagged increase of 0.5% to medicare levy to fund National Disability Insurance Scheme
- Deduction for self education expenses to be capped at $2,000
- According to Swan the “National Broadband Network is putting Australia at the cutting edge of broadband technology and turbocharging productivity for decades to come”
- $9.8bn in new school funding
- $24bn for new road and rail infrastucture
- Delay of personal income tax cuts planned for 2015 to help with carbon tax
- Seniors who have owned their home for more than 25 years will be able to downsize and place up to $200,000 into a special bank account which will not affect their age pension entitlements
Is this an attempt to say “forget what we have done – look at what we will do”?
