Australian Treasurer Josh Frydenberg tabled his maiden Budget, which is also the Coalition Government’s last budget before the upcoming federal election, in Parliament today evening.

Budget overview

  • A surplus of $7.1 billion, equal to 0.4 per cent of GDP, is forecast in 2019-20, the first surplus in 12 years;
  • The budget is estimated to record a deficit $4.2 billion, equal to 0.2 per cent of GDP, in 2018-19;
  • The economy is expected to grow by 2 ¾ per cent in 2019-20 and 2020-21;
  • Inflation is forecast to be 2 ¼ per cent in 2019-20 and 2 ½ per cent in 2020-21;
  • Wage growth is expected to increase to 2 ¾ per cent in 2019-20 and 3 ¼ per cent in 2020-21.

Tax measures

  • Providing immediate tax relief of up to $1,080 (with effect from 2018-19) for low- and middle-income earners with taxable income up to $126,000 (See Figure 1). This is more than double the offset of $530 announced in the 2018-19 Budget.

Figure 1


  • Lowering the 32.5 per cent tax rate to 30 per cent from 1 July 2024. This means people with taxable income of up to $200,000 will pay no more than 30 per cent of tax in 2024-25;
  • A further $158 billion of tax relief, building on the already legislated Personal Income Tax Plan.
  • Increasing the instant asset write-off threshold to $30,000 and expanding access to medium‑sized businesses with turnovers below $50 million;
  • Fast-tracking the company tax rate cut to 25 per cent for small and medium‑sized companies with turnovers below $50 million. The 25 per cent tax rate will take effect in 2021-22, five years earlier than planned;
  • New funding for the ATO to crack down tax avoidance by multinationals, big business and high‑wealth individuals.

Welfare measures

  • Providing one-off Energy Assistance Payment of $75 for singles and $125 for couples to more than 3.9 million eligible social security payment recipients;
  • Extending the roll out of cashless debit card.


Budget papers

Budget Paper No. 1 – Budget Strategy and Outlook

Budget Paper No. 2 – Budget Measures

Budget Paper No. 3 – Federal Financial Relations

Budget Paper No. 4 – Agency Resourcing

Budget speech

Transcript of the Treasurer’s Budget night speech

Portfolio Papers

Portfolio Budget Statements

Portfolio Additional Estimates Statements

Portfolio Supplementary Additional Estimates Statements

Portfolio Supplementary Estimates Statements

Ministerial Statements

Ministerial Statements

At a glance

Budget Overview

Lower taxes

Guaranteeing essential services

Investing in our community


Tax relief estimator

Fact sheets


Appropriation Bills


On the blog: Budget Forum 2019

The Instant Asset Write-off Will Lift Investment—but Is That What We Want?, by Steven Hamilton

Refundable Franking Credits: Why Reform Is Needed (and Why It Should Be Targeted) – Part 1, by  John Taylor and Ann Kayis-Kumar

Refundable Franking Credits: Why Reform Is Needed (and Why It Should Be Targeted) – Part 2, by John Taylor and Ann Kayis-Kumar

“All Without Increasing Taxes”? A Closer Look at Treasurer Frydenberg’s Refrain Repeated Eight Times in His Budget Speech, by John Taylor and Ann Kayis-Kumar

Tax Offsets and Equity in the Scheme for Taxing Resident Individuals, by Sonali Walpolaand Yuan Ping

Forecasts and Deviations – the Challenge of Accountable Budget Forecasting, by Teck Chi Wong

Targeted Tax Relief Makes the Tax System Fairer but the Economy Poorer, by Steven Hamilton

A Simpler Tax System Should Spark Joy—Eliminating Tax Brackets Sadly Doesn’t, by Steven Hamilton

A Budget That Supports Indigenous Australians?, by Nicholas Biddle

Women in Economics 2019 Federal Budget Reflections, by Danielle Wood

Tax Progressivity in Australia: Things Aren’t as Simple as They Seem, by Chung Tran and Nabeeh Zakariyya

Coalition and Labor Voters Share Policy Priorities When They Are Informed About Inequality, by Chris Hoy

Future Budgets Are Going to Have to Spend More on Welfare, Which Is Fine. It’s Spending on Us, by Peter Whiteford

Comments are closed.