May 2014 Budget Edition

In this edition:

Welcome

INDIVIDUALS AND FAMILIES

- Budget Repair Levy

- Age pension reforms

- Family Tax Benefit reforms

- Medicare and patient contribution          changes

COMPANIES & BUSINESSES

SUPERANNUATION

- Superannuation Excess Contributions    Tax

- Rescheduling increase in                          superannuation guarantee

 FUEL, OIL & MINING

The government will change the schedule for increasing the superannuation guarantee rate to 12%. Instead of pausing the rate at 9.25% as previously announced, the superannuation guarantee rate will now increase to 9.5% on 1 July 2014 (as currently legislated). The rate will remain at this level until 30 June 2018. The rate will then increase by 0.5 percentage points each year until it reaches 12% in 2022/23, one year later than previously proposed.

The government says that this change is necessary because the Senate has failed to pass the Minerals Resource Rent Tax Repeal and Other Measures Bill 2013 containing a measure to defer the increase scheduled for 1 July 2014.