Page 4 - Federal Budget 2020-21
P. 4

Housing affordability
                                                              2. Temporary loss carry-back
        Extension of first home loan deposit scheme
                                                              Eligible companies will be allowed to carry back tax
        Proposed effective date: 6 October 2020               losses from the 2019-20, 2020-21, or 2021-22 income
                                                              years to offset previously taxed profits in 2018-19 or later
        The government will allow an additional 10,000 first   income years.
        home buyers to obtain a loan to build a new home or
        purchase a newly built home with a deposit of as little   3. Expanding access to some small
        as 5% under the existing First Home Loan Deposit      business tax concessions
        Scheme.
                                                              Proposed effective date: various
        Applications, which are made through participating
        lenders, will be available until 30 June 2021.        Businesses with an aggregated annual turnover of $10
                                                              million or more but less than $50 million will have access
        Eligible first home buyers may also be able to take   to up to 10 small business tax concessions.
        advantage of the First Home Super Saver Scheme to
        use the concessionally taxed superannuation system to   Other related measures
        save their first home deposit.
                                                              Proposed effective date: various
        In addition, under the HomeBuilder Scheme, existing
        owner- occupiers, including first home buyers, may be   •   Businesses taking on a new apprentice will be eligible
        eligible for a grant of $25,000 to build or substantially   for a 50% wage subsidy, up to certain limits.
        renovate an existing home. First home buyers may also   •   Organisations taking on new employees may qualify
        be eligible for state and territory grants and concessions.  for the new JobMaker Hiring Credit. Depending on
                                                                 the age of the new
        These measures are designed to promote home           •   employee, a weekly credit of $200 (for each new
        ownership and support employment in the construction     employee aged 16 – 29) or $100 (for each new
        industry.                                                employee aged 30 – 35) will be available to eligible
                                                                 employers over 12 months from 7 October 2020 for
                                                                 each additional new job they create for an eligible
        Proposed changes for business – taxation                 employee.
                                                              •   Employers who provide retraining and reskilling
        1.Temporary full expensing of capital assets             benefits to redundant, or soon to be redundant,
                                                                 employees where the benefits may not be related
        Proposed effective date: 7.30pm, 6 October 2020          to their current employment will be eligible for an
                                                                 exemption from the 47% fringe benefits tax.
        Businesses with aggregated annual turnover of less than
        $5 billion will be allowed to deduct the full cost of eligible
        capital assets acquired from Budget night and first used
        or installed by 30 June 2022.





        If you’d like to discuss any of the points raised,
        contact PSK Financial Services on 9324 8888.

        Jo O’Brien                          Nick Fraietta
        Corporate Consultant                Senior Partner & Financial Adviser
        02 9324 8847 | 0407 529 093         02 9324 8807 | 0417 238 363
        jo.obrien@psk.com.au                nickf@psk.com.au
        PSK Financial Services Lv 6, 44 Market St, Sydney NSW 2000                      www.psk.com.au


        What you need to know
        This information is provided by AWM Services Pty Ltd (ABN 15 139 353 496) and is general in nature only. It hasn’t taken your personal circumstances into account. Before
        deciding what’s right for you, it’s important to consider your particular circumstances and read the relevant product disclosure statement or terms and conditions available
        from AMP at amp.com.au or by calling 131 267.
        We are not providing financial product advice. You should not rely upon it and should seek professional advice before making any financial decision. Except where liability
        under any statute cannot be excluded, AMP does not accept any liability for any resulting loss or damage of the reader or any other person.
        AWM Services is a part of AMP group.
   1   2   3   4