The Treasurer will deliver its 2020–21 Federal Budget at 7.30pm (AEDT) next Tuesday, 6 October 2020. Back in March, the Government announced the deferral of the Budget — from its usual calendar place on the second Tuesday of May — due to the unprecedented economic uncertainty during the early stages of the Coronavirus crisis in Australia.
In early September, Australian Bureau of Statistics data showing that Australia’s Gross Domestic Product has decreased in two consecutive quarters — by 0.3 per cent in the March 2020 quarter and by seven per cent in the June 2020 quarter — confirmed that Australia is in recession. This news follows the revelation in the Treasurer’s Economic and Fiscal Update on 23 July 2020 that Australia’s estimated budget deficit for 2020–21 will be a record-breaking $184.5 billion.
The need for the Government to implement an economic recovery plan is clear. On 26 September 2020, the Prime Minister indicated that next week’s Budget will contain the necessary initiatives to enable Australia to get back on a growth path, and foreshadowed that the Budget will ‘have the most unprecedented investment in Australia’s future that [Australia] has ever seen’.
As always, the specific Budget initiatives will be a closely guarded secret until Budget night. In the meantime, here is a quick round-up of some tax and superannuation measures which may (or may not) feature in next Tuesday’s announcements.
The 2020–21 Federal Budget documents will be available for download from www.budget.gov.au from 7.30pm (AEDT) on Tuesday, 6 October 2020. We will be tweeting live during the event – find us on Twitter at @taxbanter.
Join Neil Jones, Managing Director of TaxBanter, at 10am (AEDT) on Wednesday, 7 October 2020 as he analyses the previous night’s tax and superannuation Budget announcements and what they mean for your practice and your clients. We’ll also hold a Q&A session to cover any questions our attendees have.
For more info or to register, use this link or click the image below.