Some Important Points from the #BUDGET2017

Last night, we had Alex from our office live post some important points throughout the 2017 Federal Budget Release. Whilst she settled in on the couch with bub – armed with her phone and the hashtag #budget2017 – she was able to provide our clients and social media with the below updates:

  • Scott Morrison expects the budget back to balance by 2021;
  • Small Businesses with turnover up to $10 million can continue to write off assets up to $20k until 30 June 2018;
  • Corporate tax rate for “small” businesses reduced to 27.5% from 1 July 2017 (was 28.5%).
  • There is going to be huge investments in new infrastructure projects! Great news for job growth;
  • $1.2 billion expected to be raised from new Foreign Worker levy to contribute to a Skilling Australians Fund;
  • There will be a First Home Super Savings Plan – From 1st July 2017, first home buyers can salary sacrifice into their super funds with earnings to be taxed at 15% to save for their first home. Limit of $30k per person and $15k contributions per year;
  • There will be no changes to negative gearing this year;
  • Australians to pay more tax due to 0.5% increase in Medicare Levy from 2019. The increase is for their decision to fully fund the National Disability Insurance Scheme;
  • Those older than 65 will be able to make non-concessional superannuation contributions of up to $300,000 after selling their home – provided they have lived in it for at least 10 years;
  • HECS Repayment Threshold has been lowered to $42,000.
  • For rental property expense claims, you will be unable to have deductions for travel expenses from 1 July 2017;
  • And for properties bought after today, the Govt will also limit plant and equipment depreciation deductions to only those expenses directly incurred by investors.

It was a MASSIVE night of budget news, to chat about what the 2017 Budget means for you – Contact our office today!

Alex – Out!

 

Receive our Budgeting Tips for your Business free to your inbox!

Start the New Financial Year on the right foot, and receive our Budgeting Tips for your Business DIRECT to your inbox!! 

You have Successfully Subscribed!

Pin It on Pinterest

Share This

Share This

Share this post with your friends!