The Federal Treasurer, Mr Scott Morrison, handed down the governments Federal Budget on the 10th of May 2017.
Compared to previous versions of the Federal Budget, this version is somewhat subdued. As always however, there are winners and losers and we will provide a summary below of what those changes mean to individuals, business owners and superannuants.
From a small business perspective, the most significant thing to come out of this budget is the extension of the instant asset immediate write-off cap of $20,000 being extended for another 12 months to 30 June 2018. This is a big win for businesses trying to grow and, subsequently helps stimulate the economy and ultimately create more jobs.
From a superannuation perspective we finally see a budget without significant changes which would have added further uncertainty on already cautious superannuants, however strategies which included gearing up SMSF’s so superannuants could get their balances under the $1.6m balance transfer cap have been halted with the inclusion of limited recourse borrowing arrangements being included in a members total superannuation balance.