With one eye on the surplus and one eye on the 2019 election, last night’s budget had some expected pre-election treats. This budget is an election focused budget designed to win the hearts and minds of Middle Income Earners of Australia through tax cuts and differentiation from Labor.
It’s some tinkering without anything grand and it's really starting to target fringe items such as the black economy, R&D claims and splitting of income in partnerships.
Key themes in the budget that may impact our clients include:
- Medicare Levy to remain at 2%
- Individual tax rates and Middle Income Tax Offset
- Vacant land deductions denied
- Taxation of high profile individuals
- Instant asset write-off
- Changes to the R&D Tax Incentive
- Cash payments limited
- Integrity of concession in relation to partnerships
- Expansion of taxable payments reporting
- Work test exemption for recent retirees
- Three-year audit cycle for SMSFs
While this is a general overview of the budget, our next step at Altus is to make a start on your Annual Tax Planning.
Have you had your Tax Planning Meeting … or as we call it, Annual Planning Meeting? 
.svg "page-1 (5)")
.svg)
.svg)
.svg)
.svg)
.svg)
.svg "page-1 (4)")