Home > papers > Consumption > Chartered Accountants – Federal Budget Tax Bulletin 2017-2018

Chartered Accountants – Federal Budget Tax Bulletin 2017-2018

May 13, 2017

Chartered Accountants – Federal Budget Tax Bulletin 2017-2018

Chartered Accountants Australia & New Zealand (May 2017).  The 2017-18 Federal Budget indicates that the government is in a state of readiness for an earlier than expected Federal Election.

The pre-Budget announcement of needs-based school funding – together with big bets on infrastructure, the removal of the Medicare rebate freeze, a crackdown on non-residents investing in Australian real estate and a one year reprieve for the popular small business $20,000 instant asset write-off – will have broad appeal to voters.

In terms of the economic outlook, the Treasurer remains optimistic that Australia will continue its slow recovery, returning to surplus by 2020-21. This rosy outlook is based on assumed real GDP growth of 3% per annum.

Overall we are pleased with the superannuation measures announced, which demonstrate the need for a comprehensive review of the financial arrangements impacting on retirement – particularly superannuation, taxation, aged care and social security – to ensure that the whole system is fair, sustainable and fit for the long-term.