The Balancing Act: 2021/22 Federal Budget

2021 / 22 Federal Budget

The 2021-22 Federal Budget is a balancing act between a better than anticipated deficit ($106 bn), an impending election, and the need to invest in the long term.

It is also a human budget (cynics would say voter focussed), with $17.7 billion dedicated to aged care, more money in the pockets of low income earners, the COVID vaccine rollout, $2 billion for mental health, a women’s economic package including a child care subsidy increase and funding to prevent violence, and a Royal Commission into defence and veteran suicide.

DOWNLOAD PDF BUDGET SUMMARY DOWNLOAD PDF BUDGET SUMMARY

KEY FEDERAL BUDGET INITIATIVES

Extension of temporary full expensing and loss-carry back providing immediate deductions for business investment in capital assets
Introduction of a ‘patent box’ offering tax concessions on income derived from medical and biotech patents
Tax and investment incentives for the digital economy
Extension of the low and middle income tax offset
Child care subsidy increase for families with multiple children
$17.7 billion over 5 years to reform aged care
$2.3 billion on mental health infrastructure and programs
New and extended home ownership programs for first home owners and single parents

Related News

Yesterday

The Power of Tax Planning for Small Business

Tax planning is more than just a financial necessity—it's a strategic advantage for businesses of all sizes. By proactively managing your tax strategy, you can significantly reduce your liabilities, enhance cash flow, and ensure full compliance with ever-evolving tax regulations.

Your 2026 EOFY Game Plan

Smart and strategic tax planning for business.

Tax Return - Items To Consider

To maximise your deductions and ensure that your tax return is complete, please review the following items and advise your Accountant if any apply to you.