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May 13th, 2013 
Peter Nolan
Updated
As Federal Treasurer Wayne Swan prepares to hand down his sixth budget, here is what we already know will be announced on Tuesday.
The Treasurer says he is prepared to wear the political pain of not delivering his promised surplus this year, and is seeking to highlight big-spending plans for schools and the disability insurance scheme.
Although the figures will show a deficit, Mr Swan says the budget will chart a path back into the black in coming years.
Here is what we know so far:
- Massive revenue write-downs will occur, with a shortfall of around $17 billion this financial year and more than $20 billion the following year
- An increase in family tax benefits worth $1.8 billion due in 2015, worth between $300 to $600 a year for families, will be dumped
- An income tax cut slated for 2015-16 will be deferred. The tax cut was part of the carbon scheme compensation package and would have increased the tax-free threshold from $18,200 to $19,400
- The Medicare levy will increase by 0.5 per cent to help fund the national disability insurance scheme, DisabilityCare
- $2.3 billion will be cut from universities to fund Gonski education reforms. This means the 10 per cent discount on upfront university fee payments will be abolished, student start-up scholarships will be converted to loans, and there will be a lower limit on tax deductibility of self-education courses
- $9.4 billion of Gonski funding from the federal budget will be indexed at a higher rate of 4.7 per cent over six years
- $300 million funding boost will allow welfare recipients earn more from paid work, study and access concessions
- Cuts will be made to foreign aid, saving up to $3 billion over four years
- A cancer funding boost worth $55 million will expand breast cancer screening, with $18.5 million injected into prostate cancer research
- In the defence sector, $1.5 billion will be allocated over four years for 12 new Growler electronic attack aircraft
- Around $3 billion will be allocated to fund road projects in Sydney, Melbourne and Brisbane
- Public service cuts over the next four years, including job cuts, will save $580 million
- The budget will include a new taxation treaty with Switzerland, tipped to be worth $100 million
- $25 million will be allocated for Antarctic climate change research
- $900 million will be saved over four years from changes to superannuation tax arrangements by taxing earnings of more than $100,000 on superannuation pensions and annuities at 15 per cent, instead of being tax-free
Follow our comprehensive coverage of Budget 2013.
Topics:
budget,
federal-elections,
australia
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Source Article from http://www.abc.net.au/news/2013-05-13/budget-2013-what-we-already-know/4686410
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