Positive and negative budget impact to hit ABC, multinationals and SMEs

Nicola Riches
By Nicola Riches | 3 May 2016
Scott Morrison

Treasurer Scott Morrison will this afternoon unveil $16 billion worth of savings in the long-awaited budget; the final piece of the Coalition engine to be put into place before the formal declaration of the election.

There is fresh talk - sparked by an article in this morning's SMH - that the Coalition will this afternoon announce its plans to crackdown on multinational tax avoidance; an ongoing push that has already seen the Australian Tax Office unveil swathes of information about the tax affairs of corporates and individuals in the country.

Whether or not this will have direct impact on the likes of Google remains to be seen. Google Australia this January already restructured its business to recognise revenue it earns in Australia, amid mounting pressure.

Reports suggest that the government will today go one step further in its tax measures by opening a new, significantly-resourced division within the ATO, while there will also be "stronger protections for whistleblowers," says the Australian.

The Australian meanwhile reports that cuts to the ABC, somewhat inevitably it seems, will occur - particularly to the Enhanced Newsgathering budget.

"A $20 million-a-year grant given to the ABC by the Rudd government in its final budget will be reduced to about $15m a year," it states.

In a leaked document, the Coalition is also thought to be backing an increase to its domestic violence campaign to the tune of $100m. The campaign, which is already underway, has begun as a $30 million Council of Australian Governments initiative, and is jointly funded by the Australian, state and territory governments.

Finally, the government is believed to be setting in motion plans to tax high superannuation funds and create a smaller tax burden for small to medium sized companies.

Morrison told reporters this morning: "We've got an affordable plan that can meet its commitments. It's real money that will go to real schools and real students, not the sort of phony accounting we saw in the union movement that Labor seems to be modelling their approach on."

Email Nicola at nicolariches@yaffa.com.au.

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