2023-24 Federal Budget Announcement
The Budget forecasts the underlying cash balance to be in surplus by $4.2 billion in 2022–23, the first surplus since 2007–08, followed by a forecast deficit of $13.9 billion in 2023–24.
Click here to read all the information related to the following topics (PDF).
Highlights
- 2023–24 Federal Budget Highlights
- Business
- Individuals
- Multinationals
- Superannuation
- Tax administration
- GST and other indirect taxes
Business
- Small business depreciation — instant asset write-off threshold of $20,000 for 2023–24
- Increased deductions for small and medium business expenditure on electrification and energy efficiency
- FBT exemption for eligible plug-in hybrid electric cars to end
- Accelerated deductions and reduced MIT withholding tax for new build-to-rent projects
- Clean building MIT withholding tax concession to be extended
- Franked distributions funded by capital raisings — start date postponed
- Patent box measures not to proceed
- Delay of biodiversity stewardship certificates
- Increased Location Offset incentive to boost film industry
- Deductible gift recipients list to be updated
Individuals
- Increased rate for income support payments
- Expanded eligibility for higher Jobseeker Payment rate
- Workforce participation incentive measures extended
- Improved support for single parents
- Increasing the supply of social and affordable housing and making it easier to buy a home
- Increased support for Commonwealth rent assistance recipients
- Medicare low-income thresholds for 2022–23
- Exempting lump sum payments in arrears from the Medicare levy
Multinationals
- Australia will implement BEPS Pillar 2 from 1 January 2024
- Scope of Pt IVA general anti-avoidance rules expanded
- Changes to Petroleum Resource Rent Tax (PRRT)
- “Exploration for petroleum” meaning clarified; timing of depreciation
- General insurers to continue use of audited financial information for tax returns
Superannuation
- Reducing tax concessions for superannuation balances exceeding $3 million
- Employers to be required to pay super guarantee on payday
- Non-arm's length income (NALI) amendments
Tax Administration
- Lowering the tax-related administrative burden for small and medium businesses
- Reduction in GDP adjustment factor for pay as you go and GST instalments
- Funding to improve the administration of student loans
- Additional funding to address growth of businesses’ tax and superannuation liabilities
- Extension of personal income tax compliance program
GST and other Indirect Tax
- Continued crackdown on GST compliance
- Fuel tax credits — heavy vehicle road user charge increase
- Indirect Tax Concession Scheme: diplomatic and consular concessions extended
- Streamlining of excise administration measures start date amended
- Tobacco excise measures to improve health outcomes and align the treatment of stick and non-stick tobacco tax