Federal Budget 2010  - An overview from Bentleys Chartered Accountants 

Treasurer Wayne Swan's Federal Budget has variously been described as “steady as she goes”, “uninteresting”, and “electioneering”.

Swan also repeatedly boasted about the Government’s credentials in returning the Budget to surplus in three years, three years ahead of schedule. 

However, it has been questioned whether this outcome is too heavily dependent upon the current resources boom and its expected continuation and whether the proposed resource super profits tax will affect this result.

Most of the big ticket items in the Budget, from a tax perspective, were re-affirmations of the Government’s statements concerning the Henry Tax Review with no further detail.  So, the Government will press on with the proposed resource super profits tax, the ramp-up of minimum superannuation contributions from 9% to 12% over time and the eventual reduction in corporate tax rates.

Small business will also benefit from immediate write-offs for capital assets and access to the lower corporate rates earlier than big business.

And the mums and dads get a little extra, in the form of standard deductions and the commencement of new marginal tax rates from 1 July 2010.

The following links address further the impacts of the 2010 Budget on the small to medium enterprise market and individuals:

• Small Business Measures
• Individuals - Impacts of the Budget, including 
  • Personal Tax
  • Low Income Tax Offset
  • Work-related Expenses
  • Interest Income
  • Medicare Levy and Medical Expenses Rebate
  • Home Saver Account
  • Superannuation
• GST Compliance Measures

Please contact your local office if you would like more information about the outcomes of the 2010 Federal Budget.

We hope that you have found this commentary surrounding the 2010 Federal Budget release of benefit.  The information provided is a general guide only and Bentleys accepts no responsibility for the accuracy of the information or opinions contained herein. The contents do not constitute business, accounting, taxation or financial advice and should not be relied upon as such.