AUSTRALIAN FEDERAL BUDGET 2017-2018 | SNAPSHOT

First Home Buyers - Our office expects an apathetic response from

- First home buyers able to salary sacrifice up to
$15,000 per FY into their existing Superfund, up
to a total of $30,000 (i.e. $60,000 for couples)
- Monies can then be used for a home deposit
Small Business
- No highly material changes, other than:
o $20,000 instant asset write-off extended
for another year
investment markets (FX, ASX and bond yields)
- Negative gearing enjoying once again immortality;
nor was there any repeat of last years heavy-
handed reach for Superannuation monies
- Final word: Scott Morrison evidently tied between
wanting to work towards fiscal repair; yet clearly
having to stay well away of major expense cuts,
still in the aftermath of the infamous 2014 Budget
backlash. Hence, the attention has now turned to
a focus on taxation increases, delivered tonight.

Treasurer Scott Morrison handing down his second budget
tonight in Canberra, Australia (Tuesday, 9th May 2017)
Personal Tax Rates
- Increase in the Medicare Levy from 2% to 2.5%
o Effective from 2019
o Expected to raise $8.2Bn
Negative Gearing
- No highly material changes, other than:
o No longer able to deduct cost of travel
o More restrictive list of items which can be
depreciated against rent
Superannuation:
- No highly material changes, other than:
o Ability for home-owning downsizers to
make a $300,000 contribution into their
Superannuation fund (on top of regular
CC and NCC caps)
Big Banks
- The Big4 and Macquarie will be subjected to a
$6.2Bn collective levy charged against their
liabilities over the next four years
o Customer deposits of less than $250,000
exempt
Pensioners
- One-off winter energy payment costing $269m
over two years
o $75 to singles and $125 per couple
Written by Brett Jackson (M.App.Fin., B.Com., DFP)
- Residency requirements will be tougher
Director, Lantana Private Wealth
o At least 15 years of continual residence
necessary
Clients welcome to contact Brett directly for further
discussion.
Bretts (Lantana Private Wealth) comments
- Highest-taxing Budget since the GFC (fact) Disclaimer: This article should not be used for making any
Very left-leaning Budget for the LNP
- investment decisions. While every care has been taken to ensure
- Opposition Treasurer Chris Bowen already the accuracy of the information in this document, no guarantee of
confirming that the ALP Accept the Budget its veracity can be given. No persons or Bodies are authorised to
proposals re-distribute or copy the contents of this article, without the express
consent of Lantana Private Wealth Pty Ltd.

+61 (0) 409 506 828 | 1/10 Lawrance Street, Murrumbeena, VIC, Australia, 3163 | bjackson@lantanaprivatewealth.com.au | www.lantanaprivatewealth.com.au | ACN: 167 991 442