Federal Budget Report – 2022/23

This year’s Budget was delivered earlier than usual due to the impending Federal election, which is expected to be held in May 2022.

Unsurprisingly, the contents of the Budget have been shaped with an election in mind, whilst also delivered at a time when there is uncertainty around global events and macroeconomic trends, including inflation and interest rates.

The budget itself contained several measures that may impact you, including:

• Cost of living measures

• Personal income tax offsets

• Opportunities for business owners

• Changes to superannuation drawdown minimums

Whilst the Budget estimates a $78 billion deficit, this is still a reduction on the December 2021 estimate of $99.2 billion. This is principally due to lower unemployment providing increased income tax revenue, along with reductions in welfare payments. Another significant contributor has been higher commodity prices, which has resulted in greater tax revenue from Australian mining companies.

The Government has used an improved fiscal position to focus on numerous short-term measures and will use this Budget as a launch for its election campaign.

Read the full report here.