So I have been reading and watching all things budget tonight and I have summarized some of the things which may have an impact on you – What do you think about this years budget??
- Baby bonus – GONE! It has now been replaced with an increase in Family Tax Benefit part A (if you are eligible for it) – this will be $2k for the first child, and $1k for the second. Starts as at 1 March 2014. Word on the street is this is a good change…do you agree?
- Public transport users! Good news – $3 billion is being given to Melbourne Metro! Yippee! Let’s hope this stops those cancellations!
- Smokers! – tax on smokes are going up from 1 Jan 2014
- Monthly PAYG tax instalments for large businesses as oppose to quarterly – to me, this just increases workload and compliance costs for business…doesn’t actually raise any additional revenue, just helps the ATO get the money quicker…bit silly if you ask me
- Families who take advantage of the paid parental leave scheme will not be eligible for the replacement baby bonus which I have mentioned above
- Income threshold for eligiblity for Family Tax Benefit Part B will be kept at $150k until 1 July 2017. Family tax benefit part A upper income limit to be kept at $94,316
- Medicare levy to increase from 1.5% to 2% from 1 July 2014 – it’s to fund the National Disability Insurance Scheme, so I don’t see a problem with it
- Super contributions to be 9.25% from 1 July 2013 – a win for employees!