Treasurer Joe Hockey
Treasurer Joe Hockey Photo: Andrew Meares

What to expect

"Netflix tax"
The government will impose GST on "intangible" products such as downloads and online streaming as well as extending it to imported parcels worth less than the current minimum of $1000.
Bank deposits tax
Tax on bank deposits that will raise about $500 million for a fund to be used in the event of a bank collapse. The fund will also be factored into the budget balance sheet.
Not-for-profits to lose perks
Workers in the not-for profit sector will have their fringe benefits tax exemptions tightened. The move - capping the amount they can claim on meals, holidays and other expenses - aims to save the government $300 million over four years.
ABS boost
The Australian Bureau of Statistics will receive a funding boost of $250 million for a massive technology upgrade. The census will also be saved from the chopping block.
Mental health funding
$300 million in funding to mental health groups has been granted a last-minute extension of one year. The funding, directed to organisations like Lifeline and ReachOut, was due to expire at the end of this financial year. 
Pensions assets test
Many wealthier retirees will have their part-pensions reduced or become ineligible altogether. The less wealthy will see either no change or receive a small boost to their pension payments. These measures are expected to save $2.4 billion over the next four years.
Photo: Louie Douvis 
PBS savings
$3 billion in net savings will be sought from the Pharmaceutical Benefits Scheme. $5 billion is set to be saved by measures including price reductions on medicines removing over-the-counter products and a stricter safety net, with $2 billion to be reinvested in other drugs. 
Vaccination boost
$26 million will be spent on incentive payments for doctors who vaccinate overdue children. This and denying welfare payments and rebates to parents who don't vaccinate their children aim to boost vaccination rates.
Photo: Sean Gallup
Big cash to WA
Western Australia will receive a one-off payment of $499 million to make up for its GST shortfall. The money will be used for nine infrastructure projects.
Car industry assistance
Up to $500 million in car industry assistance over the next four years was restored after the government originally announced it was to be removed completely. They expect to spend only $100 million of it.

Photo: Jessica Shapiro
Small business tax breaks
Small businesses and sole traders will receive a 1.5 per cent tax cut, bringing the amount of company tax they pay down to 28.5 per cent. A new accelerated depreciation policy will also allow them to write off up to $10,000 a year.
Start-up incentives
The cost of setting up a business will be reduced. Under the proposal, legal and accounting advice can be immediately written off and the process to register the business will be simplified.
Defence pay
The government, succumbing to political pressure, lifted the increase in defence workers' pay from 1.5 per cent to 2 per cent. This will amount to a $217 million hit to the budget over four years.
Reef protection
An extra $100 million to fund long-term initiatives aimed at protecting the Great Barrier Reef. The plans focus on water quality, coastal development and fishing activities as the biggest threats. 
Legal aid funding
The government reversed cuts from last year's budget, reinstating $25 million over two years for community and indigenous legal aid services.
Childcare reform package
Multiple childcare payments will be rolled into one and there will be tougher work requirements for parents wanting to qualify for childcare support. $327 million in new funding will be directed to fund childcare for families in remote areas and those at risk. $246 million in funding will be provided for about 4000 nannies in a year-long trial.
HECS repayments
The government will pursue university debt repayments from graduates living overseas, expected to recoup $14 million a year.
Photo: Andrew Quilty
Fight against Islamic State
Australia's military presence in Iraq is set to cost more than $400 million per year.
Foreign aid
Australia's foreign aid contribution is to be slashed by $1 billion, scheduled as part of last year's budget. 

What's been ruled out and abandoned

"Google tax"
Not to be confused with the "Netflix tax", the proposed Google tax would have imposed a 30 per cent tax on profits earned in Australia by multinational corporations.
Superannuation tax hikes
The government has ruled out major changes to superannuation tax breaks that mainly benefit wealthier people. Independent analysis estimated that this will cost the budget $6 billion a year. 
Medicare co-payment
The $7 fee on visits to the GP originally proposed in last year's budget has been officially scrapped after facing stringent opposition, even after various concessions.
Extending budget repair levy
The temporary two per cent levy on incomes over $180,000 will not be extended past the promised the three years, despite collapsing government revenues.
Curbing negative gearing
The government will not attempt to wind back negative gearing on investment properties, although it was briefly discussed.
Pension indexation
Originally proposed in last year's budget, the government will no longer attempt to lower the indexation rate for pensions.

Hangovers from the 2014 budget

Cuts to the dole
Tough measures, including the six-month wait for the dole, were meant to cut $3.9 billion from welfare spending. Despite stiff opposition, the savings are being included in the upcoming budget.
Tightening of disability pension
People under 35 were expected to face tougher criteria to remain on the pension, with the focus on those who can work and be integrated back into the workforce
Uni fees deregulation
It was expected that university fees would be uncapped, increasing the debt burden for many students. Originally intended to save $3.6 billion, this was reduced to $930 million after various concessions.
Family Tax Benefit crackdown
Billions in cuts to to family tax benefits are still being factored into this year's budget, despite facing rejection in the Senate.