The 2007‑08 Budget provides for an underlying cash surplus of $10.6 billion, the Government's tenth surplus.
Personal income tax reform
- All taxpayers will benefit from a further $31.5 billion in tax cuts over the next four years.
- From 1 July 2007, the low income tax offset will increase to $750 per year and the 30 per cent threshold will rise from $25,000 to $30,000.
- From 1 July 2008, the 40 per cent threshold will increase to $80,000 and the 45 per cent threshold will increase to $180,000.
Realising Our Potential
- $5 billion will be invested in a new Higher Education Endowment Fund to provide a perpetual source of funding for university capital works and research facilities.
- $3.5 billion of additional funding for education and training.
Other key initiatives
- From 1 July 2007, rates of Child Care Benefit will increase by 10 per cent on top of indexation. The Child Care Tax Rebate will be available as a direct payment shortly after the end of the year.
- One‑off doubling of superannuation co‑contribution for eligible contributions made in 2005‑06, to improve superannuation savings for low income earners by $1.1 billion.
- $500 one‑off bonus payment, to ensure older Australians share in the economic growth they helped create.
The Ministers of Budget
A new Government led by the Leader of the Australian Labor Party, the Hon Kevin Rudd MP, was sworn in by the Governor-General on 3 December 2007.
Content on this website is being reviewed. The site currently provides budgets announced by the former Treasurer and Minister for Finance.