2008 Australian Federal Budget, Tax Cuts and Tax Rates Summary

The Australian Federal Budget for 2008 has been announced. Here are some summaries that were collected around the internet, including the amount of tax savings that each class of workers will get.

Overview
– Surplus of $21.7b, or 1.8% of GDP, going to three nation-building funds.
– Tax cuts to total $46.7b over 4 years
– Spending growth 1.1%, lowest in 9 years
– Cuts to spending to save $33b over 4 years. Tax loopholes of $8.7b closed

Employment
– GDP to slow from 3.5% to 2.75%.
– Employment growth to slow from 2.5% to 1.25%.
– CPI to peak in 07-08 at 4%, then 3.25%, then 2.5%.
– Wages growth remains at 4.25% before easing to 4%.

Family
– Baby bonus increased to $5,000. Means-tested after January 1.
– Family Tax Benefit Part B limited to families with income to $150,000.
– Child Care Tax Rebate raised from 30% to 50%.
– $1.823b to first home buyers and encourage low-cost rental housing.

Tax
– Tax cuts to save $1,000 for someone on $50,000.
– Tax-free thresholds raised to $16,000 by 2010-11.
– Salary sacrificed super contributions to be treated as income.
– Luxury car tax raised, EBT on meal benefits and laptops.

Health
– $3.2b to slash waiting lists, improve hospitals and encourage teen dental health.
– Medicar Levy Surcharge threshold from $50K to $100K, or $150K for couples.
– Health and Hospitals Fund to get $10b.
– GP Super Clinics to get $275m and National Cancer Plan $249m.

Transport
– $20b to finance critical transport and communications infrastructure.
– $4.7b for high-speed broadband to 98% of households and businesses.
– Land transport to get $22.3b under AusLink 2.

Education
– $11b fund for higher education and vocational training.
– Funding for universal preschool, computers to all Year 9-12 students, Trade Training Centres and Asian Languages.
– Universaties to get $500m by June 30.
– Education Tax Refund of 50%.

Defence
– 3% annual growth in funding extended by 2 years to 2017-18.
– $618.9m more to fund military in Afghanistan, $174m for operations in East Timor.
– Reserve to fund overseas operations in 08-09.
– Overseas development aid to rise to about $3.7b.

Environment
– $2.3b over five years to reduce greenhouse gas emissions.
– Fund to develop low-emissions vehicles and for businesses to improve energy efficiency.
– Households helped to use of solar power, energy efficiency.
– Farming Future to get $130m over 4 years to help farmers prepare for climate change.

via 1 2 3