2005/2006 Australian Budget -Tax Cuts Plus a Good Surplus

LATEST AUSTRALIAN BUSINESS NEWS

The Australian Federal Treasurer last night released the government’s budget for 2005/2006.

Unlike many other western nations, the Australian government led by Prime Minister John Howard, again brought down a healthy surplus (8 of the last 10 budgets have been in surplus) while continuing a program of economic growth. Economic growth is expected to be at around 3% for the forthcoming 12 months.

Details of the budget can be read on line in various locations, including;

• The Australian Broadcasting Corporation (ABC) - click here or
  
• The Australian Government's own budget website - click here
  

It is worth reporting here that the main features are;

• Tax cuts of $21.7 billion
• An increase in the threshold at which the top personal tax rate cuts in from $70,000 to $125,000
• A lowering of the lowest income tax rate from 17% to 15%
• Positive changes to the taxing regime of superannuation/pensions
• An overhaul of the welfare system
• New funding for child care places
• Funding increases for vocational skills training
• Some tax relief for businesses
• A surplus of nearly $9 billion

For information on this article, or on any other aspect of the Australian economy or business opportunities available, please email me.

David
editor@agarcarlyon.com