- The budget provides a long, debt-ridden road to recovery as the government announces spending measures to keep people employed and businesses functioning
- The government forecasts a record $213.7 billion deficit and predicts net debt to peak at $966 billion (44% of GDP) by June 2024
- Unemployment is expected to peak at 8% in December 2020, keeping the government focused on creating jobs. It expects unemployment to fall to 6.5% by June 2022
Australia’s Coalition government showed its willingness to spend to stimulate business investment and encourage the creation of new jobs in Tuesday’s budget, the first delivered in a recession in 30 years. Describing the path to recovery as “monumental”, Treasurer Josh Frydenberg said personal income tax cuts, infrastructure spending and incentives for businesses would create jobs and boost consumer spending.
Federal Budget 2020-21 on 6 October 2020: coverage
CA ANZ provides coverage of the major business, tax and superannuation announcements, with a focus on those impacting small to medium sized business and high wealth individuals.
- Michael Croker CA, Tax Leader, and Tony Negline, Superannuation Leader, analyse the Treasurer’s announcements.
- Our colleagues at Thomson Reuters will share their Budget Summary with CAs.
- Members of the CA ANZ Advocacy team provide post-Budget commentary and participate in member webinars, as will members of CA ANZ’s tax training team
Australian Federal Budget 2020-21 - Overview
Government is spending big on infrastructure, job creation, asset write-offs and personal tax cutsRead more
Federal Budget Insights Report 2020-21
Thomson Reuters 'Special Issue - 2020 Federal Budget Report'Download PDF
Australian Federal Budget 2020-21 Infographics
Commentary outlining this infographic can be found in the overview article above.
An extra infographic can be downloaded below which shows how the Government is also supporting first home buyers, regional Australia, digital business and other deregulation measures, modern manufacturing and new energy technologies.
Unemployment will be the COVID-19 legacy that lingers longest
The massive fiscal outlays announced in the Australian Budget are much-needed but legitimate questions will soon emerge about policy reform, particularly in tax.
Australian Federal Budget 2020-21 - Instant Asset Write-Offs
This measure is aimed to spark a business investment lead recovery by stimulating cash flow and bringing forward new investment - but will businesses spend?Read more
Australian Federal Budget 2020-21 – Personal Income Tax Cuts
Personal tax cuts brought forward 12 months to 2020-21.Read more
Australian Federal Budget 2020-21 - Corporate Residency rules revised
In a Revised policy to apply from 15 March 2017, a company will be considered resident if it has ‘significant economic connection’ to Australia.Read more
Australian Federal Budget 2020-21 - A major shift for super
The Federal Government delivered an unexpectedly significant super announcement that unwinds a long-standing, three-decade old policy, says Chartered Accountants Australia and New Zealand (CA ANZ).Read more
Australian Federal Budget 2020-21 - Loss carry back scheme to apply back to 2018-19
In a further boost for business eligible companies will be able to offset losses against previously taxed profits.Read more
Australian Federal Budget 2020-21 - R&D changes
The Government has listened to representations made by CA ANZ and others to change its stance on R&D.Read more