The Australian Budget

Major aspects are:

• threshold for 37% tax rate moves from $80,000 to $87,000
• a “temporary” 2% tax hike on income over $180,000 to end in 2017
• company tax rate to reduce to 25%
• $594 million for a rail link from Brisbane to Melbourne
• $2 billion for water infrastructure
• Cigarette excise up 12.5% a year for four years
• Deficits to continue until at least 2020 with A$37b this year

If I was in Australia I’d be fairly unimpressed with another five or more years of deficits and a take hike on top income earners.

Expect to see the flow to NZ continue.