The Federal Treasurer Jim Chalmes handed down the 2023 Federal Budget on the 9th of May 2023. Here are our very brief highlights. Please contact us for more information or any questions you may have.
Build to rent program
Increase in building write off 2.5% to 4%% but only for dwellings over 50 and held for at least 10 years
(The government is looking to attract overseas investors to new buildings)
Small business support
PAYG Instalment GDP percentage reduced to 6% (from 12%)
Increased instant asset write off for another year for asset purchases up to $20000
Energy incentive –You can claim an extra 20% on certain expenses that support energy efficiencies up to $20000. Eg energy efficient fridges, thermal energy storage and heat pumps
Increased medicare levy exemption thresholds
Singles $24276
Families $40939
+$3760 per dependant
Seniors single $38365 and families $53406
(Exclude eligible lump sum payments such as unpaid wages from this amount)
The ATO will remit failure to lodge penalties if the return is lodged before 31/12/23.
From 2026, super will be payable on pay runs, not quarterly as it is currently.
From 2025 superfunds with assets over $3m will be taxed at 30%.
Established National reconstruction fund.
Reduced compliance for general insurers.
Providing $90m to the ATO to increase compliance audits and reviews on individual tax returns, and $588m on GST compliance reviews in small business.
Pensioners can earn $11800 before pension is reduced (increase of $4000).
