The Treasurer handed down Budget 2016-17 at 7.30pm on Tuesday 3 May, 2016. See below a short summary of some of the key changes that affect business and superannuation:
Business
| Change | Impact | Start date | Notes |
| Business Tax Cut | Tax rate reduced to 27.5% for business turnover to $10m | 1 July 2016 | FY 2015-2016, small business making less than $2M, 1.5% tax rate cut applies
Business with turnover up to $100m will gradually receive 27.5% by 2020 Unincorporated small business with turnover less than $5m get tax discount of 8% |
| Immediate deduction for assets under $20,000 | Available for business turnover up to $10m | 1 July 2016 | Expiring in June 2017.
However, businesses turning over less than $2m can get the concession from 12 May 2015 |
| Upper limit for middle income tax bracket increases to $87,000 | Instead of paying 37% tax rate, those who earns up to $87,000 will stay on 32.5% | 1 July 2016 | Current income tax threshold is $80,000 p.a. |
| Budget repair levy ending in June 2017 | 2% levy on those who earn more than $180,000 will end after this financial year | 1 July 2017 |
Superannuation
A range of superannuation measures will also apply from 1 July 2017
| Change | Impact | Start date | Notes |
| Low income Superannuation Tax Offset | Up to $500 can be refunded to the super fund if taxpayer earns less than $37,000 | 1 July 2017 | |
| 30% tax on super contribution for high income earners | Instead of 15%, people who earn more than $250,000 will have to pay 30% tax on their super contribution | 1 July 2017 | |
| Annual cap on concessional super contributions | The annual cap on concessional (pre-tax) super contributions will reduce to $25,000, regardless of age. | 1 July 2017 | Concessional super contributions may exceed the annual cap if certain conditions are met
Those aged between 65 and 74 will be able to make super contributions regardless of whether they work or not |
| Cap on superannuation transferred to start pensions | A lifetime limit of $1.6m will be placed on the amount of superannuation that can be transferred to start pensions | 1 July 2017 | |
| $500,000 lifetime cap for non-concessional contributions | The lifetime cap will limit the extent to which the superannuation system can be used for tax minimisation and estate planning | 1 July 2017 |