Online Broadband Guide
Online Broadband Guide


Australia treasurer promises fair budget that reins in debt

budget-2017/budget-2017-live-reaction-and-analysis/news-story/84954a60f491a0b3379d9c52d746ca65">The Australian budget delivered last night is about tax increases, new levies and big spending in education, health and infrastructure.

Mr Morrison warned the banks not to put up fees to cope with this new tax during an address at the National Press Club in Canberra on Wednesday.

"As the transition progresses, jobs are continuing to be created in the services and construction sectors", Mr Morrison said.

Now the nation's top five banks - the Commonwealth, NAB, Wespac, ANZ and Macquarie - will be hit with a 0.06 per cent bank levy on their deposits, starting from July 1 this year. And the banks are threatening to choose customers.

"The cost of any new tax is ultimately borne by shareholders, borrowers, depositors, and employees", Westpac chief Brian Hartzer said.

So, the cyclical considerations are that if we have not seen enough tightening to end the boom then the banks should hike rates ASAP.

"This levy is a stealth tax on their life savings, the shares in their superannuation accounts, and it will make Australia's banks less competitive", he says.

What else was in the budget?

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.

He also lowered the salary threshold for university debt repayments from A$55,000 to A$42,000.

Taxpayers are likely to be most affected by the half a percentage point increase on the healthcare levy in order to pay for the controversial National Disability Insurance Scheme (NDIS).

The budget involved a textbook manoeuvre by Mr Morrison - disarm your opponents by grabbing some of their ideas. Labor would cap the management of tax affairs at $3000.

In reality, this was more about steering to centre ground rather than swerving to the left.

"The tone of the budget, if not quite warm and cuddly, was certainly optimistic with plenty of assurances to the punters that the government understands (everyday Australian) problems", Oakes told the Nine Network.

"The measures may have an impact on home prices over time if they incentivize states to ramp up supply, but it's likely to be marginal in the short term", Shane Oliver, head of investment strategy at AMP Capital Investors in Sydney, wrote in a report.

Extra healthcare benefits for indigenous Australians who were exposed to radiation from British nuclear testing.

The Treasurer was unrepentant when speaking about the new tax, which he admits will be used for budget fix after he was forced to dump more than $13 billion of "zombie" savings measures from the 2014 federal budget that had failed to pass the parliament.

Straight off the mark she asked the tough questions, starting with the big one on many people's lips - "Could you be the first Liberal Treasurer in history to deliver a Labor budget?"

follow

editors' picks

May 10, 2017
Teen 'owns up to' tossing 68-year-old woman in Florida pool
Her second dog managed to flee before it was pulled into the pool. "I went back to see what happened and she came out the pool". The incident is believed to have taken place on Saturday (local time), but it isn't known whether police got involved.

May 09, 2017
Buffett criticizes United and its CEO over dragging incident
On the issue of Amazon, Buffett underestimated Jeff Bezos' business savviness and faulted the execution of the site's concept. He said he was more comfortable buying shares of Apple Inc, in which Berkshire has disclosed a 133 million share stake.

May 09, 2017
Video allegedly shows Palestinian hunger striker Marwan Barghouti sneaking food
Israel has released a video said to show the leader of a Palestinian hunger strike sneaking biscuits in his jail cell. The hunger strike launched three weeks ago with a Barghouti Op-Ed in The New York Times.

May 08, 2017
North Korea: US and South Korea tried to assassinate Kim Jong Un
The North Korean envoy asked his South Korean counterpart in detail about the culture and lives of those in South Korea. It said the plot was a "last-ditch effort" by U.S. "imperialists" and South Korea that had gone "beyond the limits".

May 08, 2017
Hamas says Ismail Haniyeh chosen as Islamic group's leader
Analysts said that in trying to create a compromise among opposing factions, the new document failed to fully satisfy any of them. Hamas officials said the revised document in no way amounts to recognition of Israel as demanded by the global community.

May 07, 2017
Leicester revival continues with 3-0 win over Watford
And Albrighton wrapped it up in injury time when he fired in off the post after Vardy led a quick break. "I'm very pleased. In the first half, we could have scored before them and they punished us for stupid individual mistakes.

May 07, 2017
Israel to withhold $1M in funding after UNESCO vote
Twenty countries voted in favor of the resolutions, while 10 opposed and 23 abstained. Trump had pledged during the presidential campaign to move the embassy, if elected.

May 06, 2017
Trump says NRA gun lobby has 'friend' in White House
Apparently, President Donald Trump is the first president since Ronald Reagan to directly speak to the National Rifle Association. NRA officials preceded Trump to the stage in Atlanta, defending their president and denouncing his Democratic critics.

May 05, 2017
Officer who killed unarmed black 15-year-old fired, identified by department
The Dallas County District is now completing an independent investigation of the shooting. Police first said the vehicle he was in was aggressively backing towards officers.

May 04, 2017
J&K Governor meets Rajnath, discusses Kashmir situation
Earlier in the day, the Election Commission has cancelled the Anantnag Lok Sabha bypoll citing that the situation in the valley was not feasible to hold elections.