The principals and staff would like to wish all our clients a very Merry Christmas and a Happy New Year. Our offices will close at 12.00 noon on Wednesday 23rd December and re-open on Monday 4th January 2016. Please note that some principals and staff are taking extra time off in January.
Simon Flowers 
The Prime Minister released on Monday 7 December 2015 a new National Innovation and Science Agenda Report which includes a wide range of items which aim to provide a package of initiatives to drive innovation. Some of the initiatives include:
- tax incentives for businesses and taxpayers where investors get a 20% non refundable tax offset for investments up to $1mill into non listed companies undertaking eligible businesses from 1 July 2016
- depreciation deductions on intangible assets acquired with a new option of self assessing the tax effective live from 1 July 2016
- Relaxation of Same Business Test for accessing company losses where a company has entered into new transactions or new business
- New grant program which is more accessible to start ups and small to medium enterprises.
Simon Flowers
The Prime Minister and Treasurer released their first MYEFO update on Tuesday 15 December 2015. The mid-year economic & fiscal outlook (MYEFO) downgraded the 4-year deficit outlook by $26bn (to $108bn), delaying the projected timing of the first surplus 1 year to 20/21. The current 15/16 budget year deteriorated by a minor $2bn to $37.4bn (2.3% of GDP). The Treasurer has abandoned the previous Liberal announcement from the Federal Budget by the previous Treasurer Joe Hockey for a return to surplus by 2023-24. Instead he now pledges to get back to surplus ASAP in a patient and responsible manner.
The Treasurer announced major spending on Syrian Refugees, more for roads, new drugs on the PBS, more money on managing asylum seekers and spending their new innovation statement. This will be covered by cuts to targeting health and welfare, fine tuning aged care subsidies and child care subsidy cuts for families earning more than $250,000 pa.
Opposition leader Bill Shorten has blasted the economic management of the Liberals over the last 2 years, however with $7billion written off the budget due to falling iron ore prices and a reduction of $1.9 billion in tax receipts, no one could possibly balance the books with this kind of write down which is effectively out of their control.
If you would like further information on the MYEFO please contact us.
