Total accrual revenue was $303.7 billion in 2007‑08, which is $0.1 billion lower than the estimate in the 2008‑09 Budget. This reflects lower taxation revenue of $153 million and higher non‑taxation revenue of $34 million.
The lower taxation revenue reflected weaker than expected company taxation revenue partly offset by higher than expected tax revenue from individuals and superannuation funds.
Company taxation revenue was $1.7 billion (2.5 per cent) below the estimate in the 2008‑09 Budget. This reflects lower than expected company earnings relating to the 2007 calendar year (primarily by mining companies), which reduced tax balancing payments in the June quarter of 2008.
Tax revenue from individuals was $1.0 billion (0.8 per cent) higher than estimated in the 2008‑09 Budget. This mainly reflected stronger than expected growth in capital gains, business, and investment income from the 2006‑07 income year, which was collected on assessment in 2007‑08. Tax revenue from superannuation funds was $278 million (2.4 per cent) above the 2008‑09 Budget estimate reflecting both greater than expected taxable contributions earned by funds during the March quarter and higher balancing payments from the 2006‑07 income year. The capital gain income and associated tax revenue from superannuation funds in 2007-08 appear to have held up better than expected at Budget despite the financial turbulence that started in late 2007.
The $34 million increase in non‑taxation revenue largely reflects a change in accounting treatment for concessional loans of $235 million following the review foreshadowed in the 2008‑09 Budget (further details can be found in Part 2). This is largely offset by lower than expected non‑taxation revenue across a range of agencies.
Table 2: Australian Government general government sector revenue
- The outcome includes Medicare levy revenue of $8,049 million.
- Other excisable beverages are those not exceeding 10 per cent by volume of alcohol.
- Includes Future Fund earnings.