The Budget sees the Government place emphasis on generating ongoing employment opportunities for all Australians.
A focus on good debt/bad debt allows for investing a sizeable portion of the Budget into infrastructure; creating in excess of 50,000 jobs directly and indirectly from 2017 to 2030 and onwards. Major projects include:
• Melbourne-to-Brisbane Inland Rail
• National Rail Program
Implementation of the Temporary Skill Shortage Visa following the abolishment of the 457 visa will create incentives to prioritise Australian workers. Employers who nominate foreign workers Negative gearing is a common tax strategy used by property investors to offset the costs of owning a property against assessable income.
The strategy is arguably one of the most generous tax breaks available to Australian property investors. It allows investors to claim the shortfall between a property’s associated expenses and its rental income as a deduction against their total taxable income – resulting in a lower annual income tax bill. Where the other income is not sufficient to absorb the loss it is carried forward to the next year.
To access negative gearing on a property, the for this visa will pay a levy; generating revenue for the Skilling Australians Fund which will replace the existing unsuccessful training benchmarks. The Skilling Australians Fund assists financing apprenticeships and traineeships while allowing for employers to meet critical needs for their businesses where Australian skill sets are not available.
The introduction of various reforms will see disadvantaged Australians receive appropriate support to acquire and retain employment. With a focus on indigenous and vulnerable new parents through ParentNext services; appropriate pathways to employment and formal education will be achieved through childcare and preemployment training, literacy and numeracy classes and financial management.
To improve workforce participation, the Job Seeker Compliance Framework will create stronger penalties for those abusing the Work for the Dole initiative; holding non-compliant job seekers accountable while still providing sufficient support for disadvantaged and vulnerable job seekers.
If you have any queries please do not hesitate to contact our office on (03) 9728 1448.
TAS Tailored Accounting Solutions