Are you one of the winners or losers from this year’s budget?
12 May 2015
Budget 2015: Business overview
Senior business writer Adele Ferguson outlines how the budget will affect business in Australia.
PENSIONS AND WELFARE
Who are the winners and who are the losers from Treasurer Joe Hockey’s budget? Photo: Andrew Meares
- Young unemployed will have to wait four weeks instead of proposed six months to access the dole.
- Young people between 22 and 24 will have access to higher Newstart payments (instead of Youth Allowance) until July 2016.
- Jobseekers over 50: Employers will receive up to $10,000 over 12 months, up from 2 years in the previous budget if they hire and keep an older worker.
- Widows: $900,000 over four years to exclude people who get the Widow Allowance from a one-week waiting period.
- Welfare system defrauders: $1.7 billion saved from increased fraud prevention and debt recovery.
- Hard working pensioners that save: $2.4 billion saved over five years by increasing asset test threshold and taper rate for the pension.
- Shift workers and nannies: $246 million over two years for a nannies trial
- Disadvantaged families: $327.7 million extra over four years to help vulnerable and disadvantaged kids access childcare
- Adoptive parents: $33.7 million for a national support service for people adopting from overseas
- Anti-vaccinators will no longer qualify for family and childcare benefits
- Big families will lose the Family Tax Benefit A large family supplement, saving $177.3 million
- New mothers: Almost $1 billion saved by stopping women accessing work and government PPL schemes
EDUCATION, SCIENCE AND INDUSTRY
- Scientific researchers: National Collaborative Research Infrastructure Strategy refunded for two years at $300 million
- Car manufacturers: $105 million to flow in industry assistance
- University graduates living overseas will have to repay HECS debts
- The Australia Council: Arts funding cut and redirected to Attorney-General’s Department
- Screen Australia: Cuts
- Small business: Tax rate cut from 30 per cent to 28 per cent or a tax discount of up to $1000 for small businesses not run as companies.
- Small businesses with turnover less than $2 million will be able to claim $20,000 tax deduction for every item they purchase.
- Employees in start-ups will get access to tax breaks on shares they receive as part of their pay.
- Retailers: To benefit from end of fringe benefits tax on portable electronic devices for small businesses
- Northern Australia will get a $5 billion infrastructure concessional loan scheme
- Car makers will receive $783 million due to reversal of previously announced cuts
- Offshore retailers/consumers: GST will be charged on goods sold to Australians
- Long lunchers: Fringe benefits tax for meals and entertainment capped at $5000 per person.
- Foreign backpackers will no longer qualify for the $20,000 tax free threshold.
- Remote workers face a tax crackdown
- Medical researchers receive $400 million for research projects
- Living organ donors: Recovery leave extended from 6 to 9 weeks
- Women: New cervical cancer test means less frequent pap smears
- Cancer patients: New drugs for bowel and breast cancers and melanoma
- Anti-vaccinators lose childcare subsidies and family benefits if children aren’t vaccinated
- Chronically ill: Will have to spend more to qualify for free scripts
- States: Hospital funding shortfall remains
FOREIGN AID AND IMMIGRATION
- Cambodia, Nauru and Papua New Guinea are largely spared from aid cuts
- Australian borders: Bolstered surveillance and patrolling of Australia’s borders
- Townsville and Sunshine Coast Airports: Gain permanent border clearance services worth $26 million
- Refugee Council of Australia: Government funding of $140,000 has been cut
- Africa: Aid cut by 70 per cent
- Indonesia: Aid cut by 40 per cent
- Northern Australia businesses and states get access to $5 billion in loans
- South-west Sydney motorists: $2.9 billion in upgraded roads
- Businesses eyeing privatisation of interstate rail tracks
- Public transport users, after Tony Abbott refuses to fund urban projects
- Victoria facing demands to hand back $1.5 billion of East West Link cash
- Sydney residents hoping for a rail link to new airport
DEFENCE AND NATIONAL SECURITY
- The Australian Secret Intelligence Service: $296 million for new IT systems.
- Diplomats: New building for Australia’s embassy in Washington, new diplomatic posts elsewhere.
- Phone and internet firms: $131 million towards cost of keeping customers’ “metadata” for at least two years.
- Jihad propagandists: Government to spend $22 million combating online extremism.
- Office of National Assessments: $7.6 million to the office that advises the Prime Minister on national security.
- Great Barrier Reef: Extra $100 million over four years
- Climate Change Authority: $6.1 million over two years
- Farmers: $70 million from July 2016 for depreciated water facilities, storage and fencing
- Green Army $73.2 million in savings over four years
- Clean Energy Finance Corporation: No new money
- Landcare: $12.3 million cut from National Heritage Trust over five years
Original article here