First home buyers
An additional 10,000 first home buyers will be able to purchase a new home sooner under the extension to the First Home Loan Deposit Scheme. The additional 10,000 places will be provided in 2020-21. This will allow first home buyers to secure a loan to build a new home or purchase a newly built dwelling with a deposit of as little as 5%, with the Government guaranteeing up to 15% of a loan.
Boost for housing supply
The Government will increase its guarantee of the National Housing Finance and Investment Corporation (NHFIC) by $1 billion, enabling NHFIC to increase its bond issuance into the wholesale capital market.
A commitment to invest an additional $14 billion in new and accelerated infrastructure projects over the next four years, which includes projects in every state and territory, as well as the Melbourne to Brisbane Inland Rail and Western Sydney International (Nancy-Bird Walton) Airport.
NSW projects include:
An additional $4.5 billion investment in NBN Co will bring ultra-fast broadband to more homes, with extra funding of $29.2 million to also accelerate the rollout of the 5G network. Reforms will make permanent the measures enabling companies to hold virtual Annual General Meetings to engage with their shareholders and e-signatures.
The Government will provide $24.7 million to help small business operators use technology, including providing an additional 10,000 places for the Australian Small Business Advisory Service – Digital Solutions program.
An amount of $30.3 million will be provided to improve mobile and broadband services in regional areas, through the extension of the Regional Connectivity Program.
The Government will provide an additional $201.5 million to deliver the 2020 Cyber Security Strategy. As part of the Strategy, the Government will invest $37.7 million in growing Australia’s cybersecurity skills and another $128.1 million to counter cyber criminals.
JobMaker Hiring Credit
A new JobMaker Hiring Credit scheme will be available to employers from 7 October 2020 for each new job they create over the next 12 months for which they hire an eligible young person. For each eligible employee, employers will receive for up to 12 months:
The Government will invest over $250 million for a Regional Tourism Recovery Package. Regional communities will see $200 million in grants through the Building Better Regions Fund, with $100 million of the fund earmarked for tourism-related infrastructure projects that will boost regional tourism. Tourism regions particularly hard hit by the international border closures, like Tropical North Queensland and Tasmania, will benefit from $51 million over two years to attract domestic visitors. Also $100 million over two years will go towards Regional Recovery Partnerships to coordinate investments with other levels of government and support recovery, diversification and growth in 10 regions across Australia such as the Snowy Mountains, Kangaroo Island, and the Hunter.
A commitment of $50.3 million will go towards expanding the Rural Health Multidisciplinary Training Program and investing in increased training and infrastructure for the rural health workforce. Capability on the ground will also be improved through $5.7 million in new support for Building Resilient Regional leaders.
To make sure primary producers can get their high-quality perishable products into overseas markets while flights remain limited, the Government is providingan additional $317 million to the International Freight Assistance Mechanism.
The help farmers, $156 millionover four years will help them recover from the current drought and prepare for future droughts. This includes $19.6 million to extend the National Drought and North Queensland Flood Response and Recovery Agency for another year. It will also provide a further $2 billion in drought concessional loans.
The Government is also providing targeted support to the fishing and forestry industries by waiving $10 million of fees on Australia’s fishing industry, and $25 million to haul salvaged logs to timber mills that survived the bushfires.
The Government will provide $17.4 million to expand the Relocation Assistance to Take Up a Job Program, including for those who temporarily relocate to take up agriculture work.
The Modern Manufacturing Strategy will see $1.3 billion go to the Modern Manufacturing Initiative. With this funding, the Government will co-invest with leading manufacturers to help them achieve scale, commercialise world-leading research, and connect to international markets. Another $107 million is to be directed at a Supply Chain Resilience Initiative to identify and address supply chain vulnerabilities.
Small and medium manufacturers can access $52.8 million in a second round of the Manufacturing Modernisation Fund. This will help manufacturers scale-up, invest in new technologies, create and maintain jobs and upskill their workers. A further $50 million is being provided to Industry Growth Centres to deliver immediate support to manufacturing priority industries.
The Government is banning the export of waste plastic, paper, tyres and glass. It will invest $249.6 million over four years to modernise recycling infrastructure, reduce waste and recycle more. This includes a $190 million Recycling Modernisation Fund, which will invest in new infrastructure to sort and recycle plastic, paper, tyres and glass waste. Another $47.4 million will be dedicated to protect marine health.
The Government has invested $3.2 billion in personal protective equipment (PPE) and it is also providing $112 million for the continuation of Medicare-rebated telehealth services for GP, allied health and specialist consultations to ensure ongoing access to essential health services.
It is providing an additional $746.3 million to support senior Australians in aged care, workers and providers to respond to the COVID-19 pandemic. This includes $245 million for a COVID-19 Support Payment to assist providers with additional costs and $205.1 million for the Workforce Retention Bonus Payment for frontline aged care workers.
Further support for older Australians who wish to stay at home for longer will be provided through $1.6 billion for an additional 23,000 home care packages across all package levels.
Additional funding will provide access to an extra 10 Medicare-subsidised psychological therapy sessions for people with a mental health care plan.
Funding for the National Disability Insurance Scheme (NDIS) has been guaranteed, as the Government is providing a further $3.9 billion to the NDIS.
Funding of $102 million over four years from 2020-21 for veteran mental health and well-being initiatives includes:
The Government will clarify privileges and immunities, including income tax exemptions, available to Australian individuals performing short term missions on behalf of the International Monetary Fund and three institutions of the World Bank Group.
The measure will apply retrospectively from 1 July 2017.
This measure will clarify that Australian short term experts are entitled to an exemption from income tax for their relevant income from the organisations. This aligns Australia’s domestic legislative framework with its international obligations and provides certainty for taxpayers.
Source: Budget paper No 2, p 22
The Government will provide $15.1 million to the ATO to target serious and organised crime in the tax and superannuation systems. This extends the 2017- 18 Budget measure “Additional funding for addressing serious and organised crime in the tax system” by a further two years to 30 June 2023.
Source: Budget Paper No 2, p13
Since the July 2020 Economic and Fiscal Update, a number of organisations have received new status as deductible gift recipients (DGRs) or had their DGR status extended:
Organisations newly listed as DGRs
Organisations whose DGR status has been extended
The specific listing of China Matters Limited from 1 July 2019 to 30 June 2024 will not proceed.
Source: Budget Paper No 2, p 22