Federal government budget 2018 19 news 02 may
Here are some key points from the Federal Government's Budget 2018-19, which was presented on May 8, 2018:
Key Announcements:
- Personal Income Tax Cuts: The government has announced personal income tax cuts, with the top marginal tax rate reducing from 49% to 45% from July 1, 2018.
- Company Tax Cut: The company tax rate will be reduced from 30% to 25% for small and medium-sized businesses with annual turnover of up to $50 million from July 1, 2018.
- Infrastructure Spending: The government has committed to investing $75 billion in infrastructure over the next decade, including $24.5 billion in the 2018-19 budget.
- Health Funding: The government has committed to increasing funding for the National Health Fund by $2.5 billion over the next four years.
- Education Funding: The government has committed to increasing funding for schools by $18.5 billion over the next decade, including $1.2 billion in the 2018-19 budget.
- Defence Spending: The government has committed to increasing defence spending by $90 billion over the next decade, including $10.6 billion in the 2018-19 budget.
- Small Business Funding: The government has committed to providing $2.1 billion in funding for small businesses over the next four years, including $500 million in the 2018-19 budget.
Other Key Points:
- Budget Deficit: The government has forecast a budget deficit of $18.2 billion in 2018-19, which is expected to reduce to a surplus of $7.4 billion by 2022-23.
- Economic Growth: The government has forecast economic growth of 2.5% in 2018-19, which is expected to increase to 3.25% by 2022-23.
- Unemployment: The government has forecast unemployment to remain steady at around 5.5% over the next few years.
- Welfare Reforms: The government has announced a range of welfare reforms, including changes to the JobSeeker payment and the introduction of a new "cashless debit card" for welfare recipients in select areas.
- Taxation: The government has announced a range of tax reforms, including the introduction of a new "instant asset write-off" for small businesses and changes to the fringe benefits tax.
Reactions:
- Labor Party: The Labor Party has criticized the budget, saying it fails to address the country's growing inequality and does not provide enough funding for essential services.
- Business Community: The business community has welcomed the budget, saying it provides a boost to small businesses and will help drive economic growth.
- Charities: Charities have expressed concern about the impact of the budget on vulnerable Australians, including those living in poverty and those with disabilities.
Overall, the 2018-19 Federal Budget has been welcomed by some as a step in the right direction, while others have criticized it for not doing enough to address the country's growing economic and social challenges.