2010-11 Budget

 

Highlights of the new Budget

INTEREST DISCOUNT

· From 1 July 2011 (2012 Tax Year)

· 50% Discount on up to $1,000 of interest earned

· Reduces assessable income, as well as “adjusted taxable income” for other areas e.g. Family Tax Benefit or Commonwealth Seniors Health Card.

STANDARD TAX DEDUCTION

· From 1 July 2012 (2013 Tax Year)

· Optional $500 deduction instead of claiming work-related expenses and cost of managing tax affairs

· Increases to $1,000 from 1 July 2013 (2014 Tax Year)

SMALL BUSINESS

· Early company tax rate cut: 28% from the 2013 Tax Year

· $5,000 Immediate write off from 1 July 2012 (2013 Tax Year)

· Small Business Pool available at 30% depreciation rate (excluding buildings)

COMPANY TAX RATE REDUCTION

· Reduced to 29% in 2014 Tax Year

· Reduced to 28% in 2015 Tax Year


SUPERANNUATION

· Increasing SG rate from 9% to 12%

· Contribution of up to $500 for workers with low incomes up to $37,000

· SG Age increasing from 70 to 75

· Concessional cap for over 50s & balances of less than $500k increased to $50,000

· Co-Contribution cap to remain at $1,000 (Shading Range $31,920 to $61,920


Year

SG %

2014

9.25

2015

9.50

2016

10.00

2017

10.50

2018

11.00

2019

11.50

2020

12.00