Winners and losers of the Federal Budget

Stock image.
Stock image.

We take a look at who came out on top in last night’s Federal Budget:

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WINNERS

Average income earners – 94 per cent of Australians will be on a tax rate of 32.5 per cent or less in 2024, with those on the average wage of $84,600 saving $530 a year.

Seniors – will be able to keep more of what they earn on the side, access equity in their homes for retirement and face a shorter waiting list if they are seeking care at home.

Small business – will get an injection of life from a corporate tax cut and a year-long extension of the instant asset write-off.

The sick – a new public hospitals agreement will deliver an extra $30 billion to 2024, while medicines to treat breast cancer and multiple sclerosis will be made cheaper.

Schools – set to benefit from an extra $24.5 billion under the so-called Gonski 2.0 needs-based funding package.

States – 10-year $75 billion infrastructure package for projects in various states and territories and a $1 billion Urban Congestion Fund to improve traffic flow and safety at state level.

Expectant parents – Hard copy baby book on a child’s health record will go digital, vaccine for whooping cough will be free for pregnant women, and $3 million has been set aside for a new simple guide for would-be parent to stay healthy and active during pregnancy.

LOSERS

The rich – not much tax relief for those earning over $125,000 until 2024/25 when the 37 per cent tax bracket is abolished.

Banking and financial sector – major bank levy to continue, executive accountability regime to start on July 1 and stronger penalties and enforcement against misconduct in the sector.

Multi-nationals – tax changes to remove loopholes that gives foreign companies a tax break over Australian companies and allow them to fiddle with debt to reduce their tax liabilities.

Digital giants – Discussion paper to come that will explore options for taxing digital business in Australia.

Terrorists and paedophiles – $160 million to help agencies fight crime and prevent terrorism, including $68.6 million to prevent child exploitation and abuse.

Visa overstayers – $122 million to increase border force capability at nine domestic and international airports.

Tax cheats – Black Economy Taskforce recommendations to bring in $5.3 billion over the next four years by targeting sectors that under report income.