Treasurer Jim Chalmers will announce its Budget for the 2023-24 financial year on Tuesday, May 9. Here’s what we know so far.
What time is the federal budget?
Australia’s federal budget is expected to be handed down on Tuesday May 9 at 7:30pm AEST, with a big focus on the cost of living pressures.
Here’s what we know so far.
A budget surplus is expected
Treasurer Jim Chalmers has revealed that Australia’s bottom line has reached a surplus – the first in 15 years – despite the projected $78 billion deficit in the Coalition’s March budget last year.
He says the budget will forecast a $4 billion surplus for the financial year, before returning to deficit for the next four years.
Cost of living a focus
The government is expected to unveil a $14.6 billion cost of living package over four years. The package includes:
- Energy bill relief (around 5.5 million households and 1 million small businesses will receive help for their electricity costs.) No exact figure has been revealed as of yet, but the Treasurer has said it would be “several” hundred dollars worth of assistance.
- Investment in cheaper medicines
- Tax incentives for electrification and energy efficiency upgrades.
Changes to profit tax for gas industry
The Treasurer confirmed that there will be a $2.4 billion increase in Petroleum Resource Rent Tax paid by oil and gas companies on their offshore liquified natural gas projects over the next four years. The new tax will begin on July 1, with the Treasurer saying the tax will help fund the government’s cost of living package and other budget priorities.
Tobacco tax increase
The government is planning to also raise the tax on tobacco by 5% each year for the next three years.
Home Guarantee Scheme may be extended
The Government is expected to expand the eligibility for its Home Guarantee Scheme. Under the new plan, the definition of the word “couple” could be extended from those who are married or in a de facto relationship to any two eligible individuals. That means two friends or family members could team up to reap the benefits of the scheme.
Crackdown on scammers
The Government is expected to allow up to $10 million over four years to establish a new SMS sender ID registry. That will act as a blocking list and help stop scammers from impersonating major brands and government agencies.
The new registry is expected to be set up and running within 12 months.
Single parents boost
Single parents may no longer need to shift to the JobSeeker payment when their parents turn 8 under a new plan expected to be delivered by the Government Tuesday evening.
The Government has said it would expand access to financial support by raising the age cut-off for the single parenting payment from 8 to 14. This equates to around $176.90 more per fortnight.
Vaping crackdown
The Government has committed $234 million towards combatting vaping. All single use, disposable vapes will be banned and rechargeable vapes will be imported by doctors only. Prescription vapes will have restrictions on flavours and colours and will need to come in pharmacy-like packaging.
The package is comprised of a $63 million public health campaign to discourage people from taking up smoking and vaping and to encourage quitting. Around $30 million will be put into support programs to help people quit and $140 million will go towards the Tackling Indigenous Smoking Program.
Strengthening Medicare – General Practice
The Government has committed $220 million to the Strengthening Medicare – General Practice Grants Program, which will allow GPs and eligible Aboriginal Community Controlled Health Organisations to expand patient access and improve their services.
The funds are aimed at supporting investments in innovation, training, equipment and minor capital works in enhancing digital health capabilities, upgrading infection prevention or maintaining accreditations.
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