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