2020 Australian federal budget
The 2020 Australian federal budget is the federal budget to fund government services and operations for the 2020–21 financial year. The budget was presented to the House of Representatives by Treasurer Josh Frydenberg on 6 October 2020. It is the seventh budget to be handed down by the Liberal/National Coalition since their election to government at the 2013 federal election, and the second budget to be handed down by Frydenberg and the Morrison Government.
 | |
| Submitted | 6 October 2020 |
|---|---|
| Submitted by | Morrison Government |
| Submitted to | House of Representatives |
| Parliament | 46th |
| Party | Liberal/National Coalition |
| Treasurer | Josh Frydenberg |
| Website | budget.gov.au |
‹ 2019 2021 › | |
Due to the COVID-19 pandemic and the subsequent economic recession, the budget was submitted five months later than the traditional annual date of the second Tuesday in May.[1]
Background
This budget comes after Australia has reported its largest budget deficit since the second world war. The Covid-19 pandemic put a strain on Australia’s economy, and emergency measures were taken to keep Australians employed.
The 2020/2021 budget, presented 5 months later than its traditional May date, will take this pandemic into account, especially for the department of Home Affairs, with a COVID-19 respond package.
Forecasts
Income taxation
Gross income tax withholding $210.8 billion
Gross other individuals $44 billion
Refunds -$37.4 billion
Fringe benefits tax $3.8 billion
Company tax $84.5 billion
Superannuation taxation $8.21 billion
Petroleum resource rent tax $900 million
Indirect taxation
Goods and services tax $59.981 billion
Wine equalisation tax $1.04 billion
Luxury car tax $540 million
Excise & customs duty $41.68 billion (net)
Major bank levy $1.65 billion
Agricultural levies $481 million
Other taxes $4.461 billion
Non-taxation receipts
Sales of goods & services $16.538 billion
Interest received $4.133 billion
Dividends $6.837 billion
Other non-taxation receipts $11.613 billion
Memorandum
Capital gains tax $13.1 billion
Note: Capital gains tax is part of gross other individuals, company tax and superannuation fund taxes. [2]
Expenses
Total
General public services $31.764 billion
Defence $34.415 billion
Public order & safety $6.212 billion
Education $41.742 billion
Health $93.771 billion
Social Security & Welfare $227.529 billion
Housing and community services $7.086 billion
Recreation & culture $4.364 billion
Fuel & energy $8.771 billion
Agriculture, forestry & fishing $3.913 billion
Mining, manufacturing & construction $3.306 billion
Transport & communication $13.060 billion
Other economic affairs $97.948 billion
Public debt interest $16.804 billion
Nominal superannuation interest $7.004 billion
General revenue assistance - States and Territories $61.296 billion
General revenue assistance - Local governments $2.166 billion
Natural disaster relief $482 million
Contingency reserve $8.068 billion
Debt and deficit
Deficit
The 2020/21 budget is expected to produce a net deficit of approximately $213 billion.
Debt
References
- "Budget delayed as economy changes too fast to forecast". Sydney Morning Herald. 20 March 2020. Retrieved 6 October 2020.
- https://budget.gov.au/2020-21/content/bp1/download/bp1_bs5.pdf
- https://budget.gov.au/2020-21/content/bp1/download/bp1_bs6.pdf