Michael Beresford, OpenCorp’s Director of Investment Services and resident finance expert covers the budget. Find out how it impacts property investors.
Relating to investment/housing:
- Negative Gearing & Capital Gains Tax – 00m:35sNegative gearing is untouched as well as Capital Gains Tax exemptions untouched.
- First Home Buyers – 01m:05sGovernment allowing first home buyers to put up to $30,000 in a Superfund and only attract 15% tax
- Downsizers – 02m:05sAged over 64 sell their principle place of residence, each individual can put up to $300k into super that is not taxed.
- Developer Overseas Buyers Cap & Vacant Tax – 02m:55sDevelopers are not able to sell more than 50% of their development to overseas buyers & introduced a vacant property tax.
- $75bn in Infrastructure Over 10 Years – 03m:40sDue to population growth, the government have allocated $75b over a 10-year period to road, rail and airport infrastructure.
- Increase Medicare Levy to 0.5% – 05m:05sIn 2 years the Medicare Levy will increase to 0.5% which will fund the NDIS.
- Bank Levy to Generate $6.4bn in New Taxes – 05m:50sNew bank levy instilled on the banks & is forecast to generate $6.4b in new taxes.
- Surplus of $7.4bn in 2021 – 05m:30sGovernment working towards being back in surplus by 2021.