06 October 2020
The Economic Recovery Plan for Australia is all about jobs
The 2020-21 Federal Budget is all about jobs, jobs and jobs. COVID-19 has resulted in the most severe global economic crisis since the Great Depression. This Budget provides an additional $98 billion of response and recovery support under the COVID-19 Response Package and the JobMaker Plan.
The centrepieces of the Budget are a new JobMaker Hiring Credit for businesses and lower taxes for individuals.
Pleasingly, the Government committed to their election promise that there will be no adverse tax changes to the superannuation system. In addition, for the first time in a number of years, there were no measures specifically relating to SMSFs in this year’s Budget.
Tonight’s Budget summary of key superannuation, retirement income, personal tax and other relevant changes include:
- Improved transparency on accountability of super funds by strengthening obligations on trustees
- Personal income tax cuts
- Other measures such as ECPI changes, COVID related relief and deferring the start date of the Retirement Income Covenant.