Federal Budget 2022 Update
On Tuesday night, Treasurer Josh Frydenberg handed down the 2022 – 2023 Budget in Parliament House.
There have been a number of changes which will impact both individuals and businesses. Our team has done the hard work for you and gone through the budget to deliver the highlights and how these will impact you, your family and your business.
To read our full budget analysis, please click below.
Just want the highlights? We’ve broken down the budget into the big news stories below if you’re reading this on the run!
Budget 2022 Highlights
Small and medium-sized businesses will enjoy a 120% deduction on eligible expenditure to encourage investment in technology, skills and training.
Key proposals for SME and private clients include:
SMEs and Employers
- Temporary Full Expensing will end on 30 June 2023 – no further extension
- Skills and Training Boost – 120% deduction for eligible expenditure
- Technology Investment Boost – 120% deduction for eligible expenditure
- Expanding access to employee share schemes
Private Clients
- One-off $420 cost of living tax offset – increasing the LMITO to $1,500 for individuals
- LMITO cancelled moving forward – not available in FY23
- One-off $250 cost of living payment to pensioners
- Superannuation minimum drawdown – 50% reduction extended to 30 June 2023
Other Snapshots
- Overhaul of the PAYG Instalment system
- Temporary 50% cut to the fuel excise – for 6 months from 30 March 2022
- Carbon farming income to be treated as primary production income
- Expansion of the Patent Box innovation concessions
- Apprentice wage subsidy extended
- $9.9B investment in cybersecurity capabilities
- Funding for insolvency reform
If you would like to know how the 2022 – 2023 Federal Budget will impact you and your business, please do not hesitate to contact us on (03) 9069 7700 or info@mgidc.com.au
MGI Australasia
MGI Australasia is part of an international network of independent audit, tax and accounting firms with expertise in audit and assurance, corporate advisory, outsourced CFO and financial management services, IT support, superannuation, wealth and risk management, taxation advice and grants. Our advisors work with SMEs, family businesses, listed entities, professionals, individuals and government.
