Victorian State Budget 2020-21: Putting People First
Victorian State Budget for 2020-21 has been announced on 24 November 2020 in parliament by Tim Pallas MP.
This year the budget is introduced to put people first and make them stronger than before. The focus is to create and protect jobs, build stronger and connected communities, look after families and most importantly expanding businesses. The businesses affected by Covid-19 can attain speedy recovery with a business accountant in Melbourne, Victoria. Clear Tax has professional competencies corresponding to all type of professional services that will boost your business.
The state government has decided to boost the economy and create secure jobs for the bright future of people in Victoria. To increase self-belief and dignity in Victorians the government aims to rebuild from the pandemic. To help the people who are stuck the most during a pandemic, more job opportunities need to be created for future and future generation.
A major role is played by the Department of Jobs Precincts and Regions (DJPR) and the budget highlights are:
- Job plan for Victorians: The job plan is to create 200,000 new jobs by 2022 and 400,000 by 2025 leaving no one behind. Thousands of Victorians are looking for the job and the government has initiated to produce $619 million jobs for them. Businesses will be supported with $250 million using which six-month subsidy will be provided to 10,000 Victorians and subsidy worth $150 million will provided to women over 45 by getting them back in work.
- Secure Work Pilot Scheme: Secure work pilot scheme has been introduced by the government with an investment of $5 million so that the employees do not lose wages due to illness.
- New Technology in Victoria: For the digital future in Victoria government has decided to invest $626 million for the improvement in broadband and mobile coverage in regional areas. The Gigabit state program is to bring-up in partnership with the commonwealth, co-funds $250 million for a business-grade broadband connection. The project will employ at least 2,000 people. Using $300 million mobile black-spots will be eradicated in Victoria. Also, local communities, businesses and economies will be supported. $64 million investment will be made to create online opportunities for digital internships, employment and training that will help 5,000 unemployed workers.
- Breakthrough Victoria fund: $2 billion has been added to the budget subjecting Victoria to a position as an international leader in research and technology. Over the next 10 years, the fund will support 15,700 jobs. An additional amount of $210 million will be invested in the field of medical research.
- Payroll tax: The government provided significant support to the businesses, by providing grants, cutting fees and taxes. The grants include $2.6 billion for business support fund for supporting tourism, creative industries, hospitality, and retail. Businesses with $10 million payrolls are permitted to submit their payroll tax, Victoria for 2020-2021 up to 12 months.
- Land tax: The eligible build-to-rent developments can get 50% land tax discounts, and exemption from the absentee owner surcharge, until 1 January 2040. A proficient tax account in Melbourne can help you in accounting and taxation services in accordance with the Victorian budget 2020-2021.
- The cash flow of $1.7 billion is seen that will help to boost businesses in 2020-21. To support sole traders the fund worth $100 million will be introduced. The government will increase the annual reporting threshold for paying payroll tax from $40,000 to $100,000. The administration costs are reduced and $309 million support will be provided to 7,000 businesses.
- Tourism for Victoria’s Economy: Victoria’s tourism contributed more than $29 billion to the economy and employed 263,000 Victorians in 2018-2019. To restart tourism the budget includes $510 million and $107 million are dedicated to providing support to the workers and businesses in the field of tourism.
- Support regional economy: By investing more than $8 billion to get the regional economy back on track. A massive amount of $465 million is invested to upgrade, build, and invigorate tourist locations across the state. Also, $35 million will be used to upgrade the number of venues in Victoria.
Other than this the budget will empower farmers and support new apprenticeships. Besides, building better heath response, mental health support, and help to drug and alcohol addicts will also be provided. The focus is to build strong and connected communities by helping the families in Victorians.