Budget night 2022 came and went on the 29th of March 2022.
Being an election year, there could be another budget announcement if there is a change in government later this year.
But what are some of the proposed changes that were announced, and which ones affect you?
Taxation
- Cost of living tax offset – this offset is worth $420 for low to middle income earners (up to $126,000) and combined with the existing LMITO (low to middle income tax offset) of $1,080, eligible singles will get a tax break of $1,500 and couples $3,000.
- Halving of the fuel excise – this aims to reduce the cost of fuelling up your vehicle by about 22c/L for a 6 month period to help reduce the costs of living to the average household.
Home ownership
To help with the the cost of home ownership, the government will be providing guarantees to help eligible individuals get into the property market with a deposit of 2-5%. The main groups to benefit are:
- first home owners
- those who haven’t owned a property for 5 years and relocating to regional areas
- single parents
Superannuation
No significant changes beyond the continuation of the reduced minimum pension drawdown amounts.
Small business
- Training deductions – ability to deduct 120% of eligible staff training costs
- Technology deductions – ability to deduct 120% of eligible business costs supporting the adoption of digital technologies
- Changes to PAYG instalments to ease cashflow pressures on small businesses
For more detailed information, please download our budget summary here.
Digital Recipe