The 2018-19 Budget will be the last before the next election (due by May 2019) and so had to provide pre-election goodies but in a way that keeps the return to surplus on track. Thanks to an improvement in the budget position since the Mid-Year review, of around $7bn per... Show More
In the last few days Opposition Labor Leader Bill Shorten has proposed a radical transformation of dividend imputation. Putting aside his mistaken belief that his voters are “Aussie Battlers”- when in fact they are hard-working small business owners and contractors, many of whom receive franked dividends from their business endeavors... Show More
Labor leader Bill Shorten is certainly bold when it comes to assaulting the financial heartlands of Australian housing, equities and super. Show More
Jennifer Westacott, the CEO of the Business Council of Australia recently pointed out that if the US moves and other nation follow through with their pledges, Australia could become the 2nd highest taxing nation in the OECD. Show More
With the end of financial year around the corner, it is worthwhile reviewing how your gains or losses are treated if you decide to sell your shares before 30 June. Show More
The last few weeks in Australia have been dominated by talk of a housing bubble, and potential government measures to improve affordability, including the use of superannuation. Show More
The 2016-17 Budget will be released tomorrow and it is expected there will be an adjustment to the “thin capitalisation” rules that govern international companies operating in Australia. To understand the concept and the reasoning behind the Government’s concern with thin capitalisation, we read the explanation from the ATO's website.... Show More
Here are three things to focus on if you’re finding the rough and tumble of investing a little, well, rough. Show More
It seems clear that Australia is heading towards an adjustment to the rate of Goods and Services Tax (GST). Further, it is likely that the scope of the GST could be extended to goods & services that were previously exempted, one of which is financial products. It has been strongly... Show More
Should the GST rate go up? Yes, we think the GST should probably rise to 15 per cent – but it needs to be part of a comprehensive taxation adjustment process. The instigation of a GST debate from a State Premier is another example of the chaotic nature of economic... Show More
The Federal Budget is a “do nothing’’ budget containing deficit forecasts that can only be a guess. Show More
What does the Government’s Re:Think tax discussion paper mean for investors? The Government on Monday handed down its Re:Think tax discussion paper, which is expected to trigger significant debate in coming months. We think there are six key issues the paper indicates could be a focus of Treasury’s leanings in... Show More
A debate has begun over whether Australian companies are paying out too much cash in dividends to shareholders, and not enough capital is being reinvested. We think this is an extremely serious issue and is closely linked to Australia's future economic performance and the performance of local equity markets in... Show More
Australia should tax speculation. The Federal Government is determined to slash expenditure and introduce a deficit levy, which could hit economic growth, yet ignores a tax on speculation. Why? The tax would also help address Australia's so-called budget crisis. A mere 0.2% duty on all ASX transactions would raise $2 billion... Show More
While there has been much talk of a four-year tax hike to help reduce the budget deficit this would be a serious mistake and is hopefully just pre-election kite flying. An increase in the top two marginal tax rates would seriously dent household spending and threaten the economic outlook, further... Show More
How will the new taxes affect your portfolio? We expect the federal government budget to tax heavily in the first few years and then deliver a surprise income tax cut in the final year before election while corporates get a free run with selected welfare schemes. The tax plan of... Show More
The largest U.S.-based companies added $206 billion to their stockpiles of offshore profits last year, parking earnings in low-tax countries until Congress gives them a reason not to. The multinational companies have accumulated $1.95 trillion outside the U.S., up 11.8 percent from a year earlier, according to securities filings from... Show More