The Turnbull Government resisted an election-eve pork barrel, opting instead for a modest suite of budget measures geared to avoid antagonising voters ahead of the July 2 poll.
Treasurer Scott Morrison’s first budget included tax relief for middle-income earners and small business.
But he told parliament on Tuesday night it was not the time to be “splashing money around” given the fragile state of the global economy.
At a glance
– Tax cut for middle income earners. Upper limit for the middle income tax bracket up from $80,000 to $87,000.
– Tax cuts for small business. Rate down one percentage point to 27.5%. Turnover threshold up from $2m to $10m.
– Multinational corporations face penalties for shifting income offshore.
– Superannuation reforms to affect higher earners. Wealthy retirees’ tax-free super capped at $1.6m, raising $2.8 billion over four years.
– Tobacco excise to increase in four increments of 12.5%, raising $4.7bn over four years.
– New dams, transport projects, including early work on inland rail and the second Sydney airport transport links.