Omnibus Bill Passes Parliament

The government’s round-up of budget savings measures as contained in the Budget Savings (Omnibus) Bill 2016 has now passed through parliament, with relatively few amendments.

Many measures take effect from 1 July 2016 or 1 January 2017.  Among the new measures are:

  • HECS new minimum repayment threshold for HELP debts of 2% income reaches $51 957 in the 2018-19 financial year
  • Removal of the additional HELP benefit available to mathematics, science related occupations, teaching and nursing.
  • Medicare levy surcharge and the private health insurance rebate income indexation freeze extended for a further three years from 1 July 2018
  • Change formulas for calculating adjusted taxable income from fringe benefits, affecting the eligibility of a range of personal tax benefits
  • Introduction of an Income limit ($80,000) for family tax benefit Part A supplement
  • reduction of the refundable and non-refundable rates of the tax offset available under the research and development tax incentive for the first $100 million of eligible expenditure

Details of these and other measures as contained in the final version of the Bill passed by parliament are summarised in the revised explanatory memorandum here.