Latest news on tax law and policy
Budget 2017–18
The Government handed down the 2017–18 Budget on 9 May 2017, with several proposed changes to tax and superannuation laws. Below is a list of the announced measures. You can access the Budget papers here: budget.gov.au.
Measure name | Start date |
|---|---|
Tax Integrity Package – toughening the multinational anti-avoidance law | 1 January 2016 |
Personal income tax – increasing the Medicare levy low-income thresholds | 2016-17 income year |
Broadcasting the Content Reform Package – replacing broadcast licence fees with broadcast spectrum pricing | 2016-17 income year |
20 January 2017 | |
Tax Integrity Package – combatting fraud in the precious metals industry | 1 April 2017 |
Better targeting skilled visas | 1 April 2017 |
Reducing Pressure on Housing Affordability – Capital Gains Tax changes for foreign investors | 9 May 2017 |
9 May 2017 | |
9 May 2017 | |
Additional funding for addressing serious and organised crime in the tax system | 1 July 2017 |
Major bank levy – introduction | 1 July 2017 |
Tax Integrity Package – Black Economy Taskforce: one year extension of funding for ATO audit and compliance activities | 1 July 2017 |
1 July 2017 | |
1 July 2017 | |
Reducing Pressure on Housing Affordability – affordable housing through Managed Investment Trusts | 1 July 2017 |
Reducing Pressure on Housing Affordability – first home super saver scheme | 1 July 2017 |
Tax Integrity Package – improving the small business capital gains tax concessions | 1 July 2017 |
GST – removing the double taxation of digital currency | 1 July 2017 |
Superannuation – integrity of limited recourse borrowing arrangements | 1 July 2017 |
Extending tax relief for merging superannuation funds | 1 July 2017 |
Extending the immediate deductibility threshold for small business | 1 July 2017 |
Aligning the tax treatment of roll your own tobacco and cigarettes | 1 September 2017 |
Temporary sponsored parent visa – establishment | November 2017 |
1 January 2018 | |
Tax Integrity Package – application of the OECD hybrid mismatch rules to regulatory capital | 1 January 2018 or six months after Royal Assent |
Tax Integrity Package – improving the integrity of GST on property transactions | 1 July 2018 |
Tax Integrity Package – Black Economy Taskforce: extension of the taxable payments reporting system to contractors in the courier and cleaning industries | 1 July 2018 |
1 July 2018 | |
1 July 2018 | |
Higher Education Reform – a more sustainable higher education sector | 1 July 2018 |
Streamlining and enhancing the foreign investment framework | 1 July 2018 |
Personal income tax – increase the Medicare levy – National Disability Insurance Scheme | 1 July 2019 |
Royal Assent | |
Indirect Tax Concession Scheme – diplomatic and consular concessions | Various |
Further guidance will be published shortly in relation to the administrative treatment applicable for the proposed changes.
In general, the ATO will accept tax returns as lodged during the period up until the outcome of the proposed amendments is known. Once the outcome of the proposed changes is known, taxpayers must review their position and if required seek amendment with regard to the enacted laws.
Enterprise Tax Plan
The Treasury Laws Amendment (Enterprise Tax Plan) Bill 2016External Link has been passed by both houses, but is not yet law. The proposed Bill will do the following:
- Reduce the company tax rate for businesses.
- Increase the small business turnover threshold, giving more businesses access to small business concessions.
- Increase the small business income tax offset.
The Bill was amended so that the reduced company tax rate will progressively apply only to companies with an aggregated annual turnover of less than $50 million.
More information
The information provided here is directly from the Australian Taxation Office and the Australian Government. Information on announced legislative changes not listed on this page can be found in the New legislation index.
