Budget 2016 the leaks so far
The Treasurer Scott Morrison will deliver his Federal Budget for 2016 to Parliament and the nation at 7:30 pm, until then here is what we know this afternoon, what is left in the budget papers may be only the detail by the sounds of it.
What we know
* There won’t be a fistful of dollars as the government lives up to its promise of living within its means.
* Prudence, fairness and responsibility will be the catchwords.
* Measures will be included to boost jobs and growth as the economy transitions from the mining investment boom.
* The much-touted tax reform package will be included.
WHAT WON’T BE THERE
* Changes to tax breaks for property investors, aka negative gearing.
* Changes to the capital gains tax discount.
* A rise in the rate of GST, or broadening the revenue base.
WHAT WILL BE THERE
* A reduction in the overall tax burden.
* Modest improvement in the budget bottom line.
* “Sensible” tax changes to prevent bracket creep for people earning over $80,000.
* Confirmation the budget repair levy on high-income earners will end on July 1, 2017.
* $5 billion over four years for a subsidised public dental scheme.
* $2.9 billion extra for public hospitals, stemming from COAG agreement.
* $1.2 billion extra from 2018 for schools aimed at literacy and numeracy checks.
* $230 million cyber security strategy.
* $118 million over two years to support disabled children in schools.
* $100 million domestic violence campaign.
* $21 million in health care for chronic conditions.
* New drugs on the Pharmaceutical Benefits Scheme.
* Extra aged-care places.
* Brought-forward upgrade of Adelaide-Tarcoola rail line.
* $1.7 billion for the Sydney Metro project.
* $167.3 million for a regional road freight corridor in NSW. * $98.4 million to increase the capacity of Sydney’s rail network.
* $78.3 million for Parramatta light rail.
* $60 million for “smart motorways” in NSW.
* $52.2 million to clear NSW road pinch points.
* $2.4 billion for Victorian infrastructure including $877.5 million for the Melbourne Metro tunnel and Murray Basin rail, plus money for Monash Freeway, Western Ring Road, regional roads.
* $750.8 million for WA infrastructure including the Forrestfield-Airport link and $260.8 million for the Perth freight link.
* Funding for Queensland’s Ipswich Motorway.
* Timetable for phased-in cut to the company tax rate for large businesses.
* Company tax cut to 27.5 per cent for small and medium size businesses up to threshold of $10 million turnover from July 1.
* Further crackdown on multinational tax dodgers, including a so-called `Google tax’ and a new unit within the Australian Taxation Office will be given more resources.
* $150 million security package including heavily armed security specialists guarding police buildings.
* $5 million annual cut to ABC
* Help for women to get back into workforce, including multi-million re-skilling package, tax incentives to start their own businesses and help to build nest egg while caring for children.
* Australians earning more than $250,000 a year are in line to have the tax on superannuation contributions doubled.
* Paring back superannuation tax concessions for high-income earners by lowering the 30 per cent tax on concessional contributions to $180,000 from $300,000, and helping those on low incomes.
* Further crackdown on welfare rorters.
* Incentives for state governments to get private sector involved in road, rail and port projects, and unlock land for housing.
* $1 billion for military role in Afghanistan, Iraq and Middle East, plus $1.4 billion in new defence spending.
WHAT THE ECONOMY IS DOING
* Growing at its fastest pace in two years.
* A benign inflation outlook has turned to deflation risking an interest rate cut; unemployment rate remains close to six per cent; wages growth at its slowest in almost two decades.
* Iron ore prices touched $US70 ($A92) per tonne in recent weeks compared to $US39 assumed in the mid-year budget review, a positive for national income.