Former PM John Howard slams Scott Morrison over bank tax

The Federal Government Announces Plans To Expand The Snowy Hydro Even Further

The Federal Government Announces Plans To Expand The Snowy Hydro Even Further

In a budget that targets the Turnbull government's future election prospects as well as much-needed fiscal fix - finally putting to rest the ghosts of Joe Hockey's politically toxic "lifters and leaners" budget of 2014 - Treasurer Scott Morrison described the 2017 budget as a "reset", and emphasised this was a budget for "right choices" and "fairness".

Pushing up personal income tax by lifting the Medicare levy to 2.5 per cent of personal income is at odds with Mr Morrison's previous message that there is a spending problem not a revenue problem.

Treasurer Scott Morrison promised to deliver a small A$7.4 billion ($5.4 billion) surplus in 2020/21, an improvement on the A$1.08 billion it forecast in the mid-year review in December.

Mr Costello suggested that repaying a 20 per cent debt - as a proportion of GDP - could be done in a variety of ways, including running a two per cent surplus for 10 years or a 0.4 per cent for 50 years.

And the ultimate sign of getting the message is the abandoning of the so-called zombie measures - the cuts from the 2014 budget the senate refused to pass.

Most Australian workers will pay higher taxes from 2019, while the big banks are hit with a $6.2 billion levy, as the Turnbull government seeks to pay for disability insurance and balance the books.

"Around three quarters of the increase in our debt since 2007-08 has been driven by welfare, health and education spending", the treasurer said.

The Government will launch a "one-stop shop" where Australians can take their complaints about the financial sector called the Australian Financial Complaints Authority.

Treasurer Scott Morrison insists the levy unveiled in this week's budget is standard in many other countries.

"If the government is looking for some extra money, they don't need to give a tax cut to millionaires on July 1 and they don't need to go ahead with corporate tax cuts".

To help free up larger homes for younger families, from July 1 2018, older Australians considering downsizing will be allowed to contribute up to A$300,000 from the sale proceeds into superannuation as a non-concessional contribution.

Contributions and earnings will be taxed at 15 per cent rather than at marginal rates.

Investors were already wary of the banks and the news, combined with slightly soft trading update from the Commonwealth Bank of Australia, deepened a sell-off that began on May 2 and has now sliced A$30 billion from the capitalisation of the banks.

Morrison also said the government was open to acquiring a larger share or outright ownership of the Snowy Mountains Hydro Scheme.

It also announced 8.4 billion Australian dollars for an inland freight rail line connecting Melbourne and Brisbane, along with billions more for other road and rail projects.

"It is important to invest in infrastructure, but we have to make the right choices on projects as part of a broader economic growth strategy", he told Parliament.

That's expected to generate 60,000 jobs in the long term.

Recommended News

  • Maine Senate advances death with dignity bill

    Maine Senate advances death with dignity bill

    Tax negotiations have been hard after Brownback vetoed in February a large tax increase approved by both chambers. He said this would apply to any time a natural disaster is declared and isn't limited to last year's flood.

    Ransomware cyber-attack a wake-up call

    The WannaCry ransomware program takes advantage of flaws in unpatched copies of some versions of Windows, especially Windows XP. But Milford, like MalwareTech, warned that the attack could resurface, like a virus that mutates to resist a treatment.
    Ransomware Attack Hits Businesses Across The World

    Ransomware Attack Hits Businesses Across The World

    WannaCry brought to the front numerous issues we, security professionals have been highlighting for considerable time. Finally, if you do not have one already, this would be a good time to develop a cybersecurity incident response plan.
  • Wenger discusses Arsenal signing 'impressive' Lukaku from Everton

    Wenger discusses Arsenal signing 'impressive' Lukaku from Everton

    Former captain Tony Adams , now managing relegated LaLiga outfit Granada, is the latest to speak out. The manager has yet to announce whether he will sign a deal to stay beyond the end of this season.

    Android, iOS: Google Assistant arrives in French this summer!

    According to the company, the service will "roll out over the next few weeks" to all Android devices running the Google Play app. Google has also said that it will be looking at lowering the required minimum software version to Android 5.0 (Lollipop).
    Labour leader says UK election 'establishment vs people'

    Labour leader says UK election 'establishment vs people'

    The Lib Dem leader predicted that Labour will lose "dozens and dozens" of seats on June 8, and said that the only threat to Conservative MPs came from his party.
  • More cyberattacks expected in wake of WannaCry

    Such ATMs could be prone to attack so as precautionary measure banks running such ATMs refrained from feeding cash, sources added. Users who do not patch their systems and the Shadow Brokers were more directly responsible for the attack than NSA, they said.

    Google unveil features of the next iteration of Android OS

    Google said that Google Play Protect will come with Android O and the feature is basically a virus scanner for Android apps. Interestingly, however, the best new functions that will be available in Android O have nothing to do with Android O .
    Arsenal star created highest number of chances since Premier League records began

    Arsenal star created highest number of chances since Premier League records began

    With player salaries at Arsenal lagging Chelsea, City and United, the club may find it hard to attract the biggest names. They averaged 2.14 points and 2.2 goals per game with him in the side, compared to 1.5 and 1.4 respectively without him.
  • Chinese state media says US should take some blame for cyber attack

    Chinese state media says US should take some blame for cyber attack

    Instead, it takes advantage of a security hole in most Windows versions to automatically execute itself on the victim's PC. The NSA stockpiles ways to hack computers in case they need to hack someone's computers real quick (without a warrant?).
    Always Dreaming, Classic Empire become 'neighbors' for Preakness Stakes

    Always Dreaming, Classic Empire become 'neighbors' for Preakness Stakes

    Lookin at Lee had a dream trip along the rail in the Kentucky Derby, resulting in a second place finish at odds of 33 to 1. Velazquez deftly got outside of pacesetter State of Honor in the Derby, turning into the backstretch to be in the clear.
    Google's New Offerings Focus On Artificial Intelligence In Apps, Services

    Google's New Offerings Focus On Artificial Intelligence In Apps, Services

    Titled the Play Console Dashboard, the utility will show the issues that cause battery drain, crashes and slowdown in the UI. As of this week, Android is now active on more than two billion devices, Google CEO Sundar Pichai announced on Wednesday.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.