The Treasurer has announced that the proposed reduction in the company tax rate to 29% will not proceed. The reason given by the Treasurer was that it had become clear that the proposed tax rate cut would not be approved by Parliament. The Treasurer added that the savings from not proceeding with the company tax…
The medical expenses tax offset will be means tested from 1 July 2012. The Government announced that, for people with adjusted taxable income above the Medicare levy surcharge thresholds ($84,000 for singles and $168,000 for couples or families in 2012-13), the threshold above which a taxpayer may claim the medical expenses offset will be increased…
From the 2011-12 income year, the Medicare levy low-income thresholds will be increased for singles to $19,404 (up from $18,839 for 2010-11) and to $32,743 for those who are members of a family (up from $31,789 for 2010-11). The additional amount of threshold for each dependent child or student will also be increased to $3,007…
The Government will limit the availability of the employment termination payment (ETP) tax offset. At present, the ETP tax offset ensures that ETPs are taxed at a maximum rate of 15% for those over preservation age and 30% for those under preservation age, up to an indexed cap ($165,000 in 2011-12 and $175,000 in 2012-13).…
The Government announced that it will not proceed with the 2010-11 Budget announcement for a 50% discount for interest income which was due to commence on 1 July 2013. The Government said its public consultation process involving key sector groups, industry participants and consumer groups “revealed concerns with the complexity involved in calculating the discount…
The Government announced that it would not proceed with the 2010-11 Budget announcement to allow a standard tax deduction for work-related expenses and the cost of managing tax affairs which was due to commence on 1 July 2013. [Thomson Reuters note: In its MYEFO statement released on 29 November 2011 (see 2011 WTB 50 [1898]),…
The Government announced that it will adjust the personal income tax rates and thresholds that apply to non-residents’ Australian income. From 1 July 2012, the first 2 marginal tax rate thresholds will be merged into a single threshold. The marginal rate for this threshold will align with the second marginal tax rate for residents (32.5%)…
The Government did not make any changes to the currently legislated tax rates for residents that are to apply from 1 July 2012 – these were legislated in the package of carbon tax Bills that were passed and received Royal Assent in 2011. Note that the flood levy is also scheduled to cease on 30…
On the web The 2012-13 Budget Papers are available at any of the following websites: 2012-13 Central Budget website Federal Government Parliament of Australia Department of Finance and Deregulation Those websites also link to previous years’ Federal Budget papers going back to 1996-97. Print copies The 2012-13 Budget Papers are also available for sale from…
The following Clean Energy Bills were introduced in the House of Reps on Wed 23.5.2012: Clean Energy Legislation Amendment Bill 2012 – amends various Acts, including the Clean Energy Act 2011 and the Fuel Tax Act 2006, to among other things: ▪ make changes to the liquid fuel Opt-in Scheme which alter the criteria that…