Budget 2019 in brief 09th April, 2019 | permalink Budget coverage reached saturation point in the media recently. So what’s in it for you? PSZ’s summary gives you the highlights. Bear in mind that it all may be subject to change after election day. Business instant asset write-off – act now to reduce your tax For our SME business clients, this is the most important Budget initiative because you need to act quickly, well before 30 June, to take advantage of it. The Government will increase the instant asset write-off threshold from $25,000 to $30,000 and expand the instant asset write-off to medium sized businesses with aggregated turnover of less than $50 million from 7.30pm on 2 April 2019 (Budget night). So if you buy and install new plant or equipment worth up to $30,000, the full amount will be an instant tax deduction.That will reduce the tax your business pays this financial year. That will reduce the tax your business pays this financial year. If you have any questions about how the instant asset write-off works or what sort of plant and equipment are eligible, please contact us now. Superannuation • From 1 July 2020, if you’re aged 65 or 66 then: – You’ll be able to make voluntary super contributions without meeting the work test; and – You can make three years’ worth of non-concessional contributions (currently capped at $100,000 a year) in just one year. • From 1 July 2020, there will be an increase to the age limit for spouse contributions from 69 to 74. Tax • There will be increases to the Low and Middle Income Tax Offset for 2019, and the next three financial years. • From 1 July 2024, there will be a reduction in the 32.5% marginal tax rate to 30%. Aged care • A record $21.6bn has been allocated towards providing higher quality aged care. Other • For 3.9 million Australians, there will be a one-off, income tax exempt payment of $75 (for singles) or $125 (for couples) to help with the next power bill. If you have any questions about this, please contact us now.