Professional Business Communications: Budget Essay

Question:

Discuss about the Professional Business Communications for Budget.

Answer:

Introduction

Australia’s budget shortfalls will be getting widened in the coming four years, as per the Mid-Year Economic as well as Financial Outlook of the government. The primary deficit regarding cash in the present financial year that will end on June 30, 2017 is considered being at A$36.5 billion or 2.1 percent of GDP, which is less than the originally predicted A$37.1 billion or 2.2% in regard to gross domestic product.

Critical Analysis of Australia’s 2016-17 Budget Deficit

The world’s 12th largest economy is having the strong possibility of returning to an excess in budget by the 2020-2021 financial year, as per the prediction made in June. Australia’s budget shortfalls will be getting widened in the coming four years, as per the Mid-Year Economic as well as Financial Outlook of the government. The primary deficit regarding cash in the present financial year that will end on June 30, 2017 is considered being at A$36.5 billion or 2.1 percent of GDP, which is less than the originally predicted A$37.1 billion or 2.2% in regard to gross domestic product. In the coming financial year, 2017-18, there is the expectation of the shortfall at A$28.7 billion that is more than the earlier figure of A$26.1 billion or 1.4 percent of GDP (Stillwell, 2016).

Certain number of continued deficits led many in believing the fact that the country was on the verge to lose its valued ‘AAA’ sovereign. However, it was stated that the update regarding budget won’t be influencing the rating of the country. There is the requirement for Turnbull’s conservative government to do the unveiling of new policy changes for preventing a downgrade (Makin, 2016).

The current budget is setting out the economic plan of the Government for ensuring that Australia will be continuing with the successful shift from the boom regarding the investment in mining to an increasingly effective, more varied, new economical aspect in three major manners. These are,

  1. Adhering to the plan of the Government in respect of jobs as well development via a Ten Year Enterprise Tax Plan, which will be boosting the recent investment, creating as well as supporting jobs. Also, increasing real wages that will begin with tax cuts regarding small as well as medium-sized companies. This will permanently do the increasing of the economy’s size by only 1 percent later. (Daley, 2016).
  2. Fixing crisis situations within the tax system for enabling us to do the covering in a sustainable manner the responsibilities of the Government regarding the next generation through the avoidance of taxes, particularly by multinational establishments. This is ensuring all individuals is paying the tax they regarding what they are earning in Australia (Brenton, 2016).
  3. To ensure that the Government is living within its resources for balancing the budget as well as reducing the burden regarding long-term debt that continues towards keeping the growth regarding spending of government within control as well as ensuring that the spending is efficient, effective as well as focused.

Conclusion

To conclude it needs to be stated that the current budget is setting out the economic plan of the Government for ensuring that Australia will be continuing with the successful conversion from the boom in investment regarding mining regarding increasingly effective, more varied, new economical aspect in 3 major manners. Therefore, there is the requirement for Turnbull’s conservative government to do the unveiling of new policy changes for preventing a downgrade.

Reference

Brenton, Scott, and Jon Pierre. "Budget surplus goal experiments in Australia and Sweden." New Political Economy (2016): 1-16.

Daley, J., & Wood, D. (2016). Fiscal Challenges for Australia: The Next Decade and Beyond. Asia & the Pacific Policy Studies, 3(3), 475-494.

Makin, A. J., & Pearce, J. (2016). Fiscal Consolidation and Australia's Public Debt. Australian Journal of Public Administration, 75(4), 424-440.

Stilwell, F. (2016). Taxing times in Australian capitalism. Australian Socialist, 22(1), 2.

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