The 2021-22 Federal Budget is a balancing act between a better than anticipated deficit ($106bn), an impending election, and the need to invest long term.
It is also a human budget (cynics would say voter focused), with $17.7 billion dedicated to aged care, more money in the pockets of low income earners, the COVID vaccine rollout, $2 billion for mental health, a women’s economic package including a child care subsidy increase and funding to prevent violence, and a Royal Commission into defense and veteran suicide.
Key initiatives include:
- Extension of temporary full expensing and loss-carry back providing immediate deductions for business investment in capital assets
- Introduction of a ‘patent box’ offering tax concessions on income derived from medical and biotech patents
- Tax and investment incentives for the digital economy
- Extension of the low and middle income tax offset
- Child care subsidy increase for families with multiple children
- $17.7 billion over 5 years to reform aged care
- $2.3 billion on mental health infrastructure and programs
- New and extended home ownership programs for first home owners and single parents.
We have partnered with Knowledge Shop to bring you a comprehensive guide on the 2021-22 Federal Budget, and its biggest winners.
If we can assist you to take advantage of any of the Budget measures, or if you have any questions, please let us know by contacting our office at (03) 9579 4450 or email us at email@example.com.