Fairest budget in years: employers

Today's budget is the fairest in more than a decade, according to the Employers and Manufacturers Association.

Personal tax reductions across the board for all tax brackets and the cut to the company tax rate, along with the increase in GST, were praised by association chief executive Alasdair Thompson.

"Business will welcome the tax rebalancing being put in place in the budget as it will be much fairer," he said.

"But the level of overseas debt is forecast to run up to 100 percent of GDP, with the Government deficit rising to $10.4 billion and its payments totaling $70.7b and revenue forecast at $60.3b," he said.

"The forecast growth in social welfare costs means all income tax paid is in effect spent just on funding social welfare."

This underlined the need for continuing effort in the public service to increase efficiency and productivity.

"Getting the company tax rate down to 28 cents next year will be two years ahead of Australia and help restore competitiveness lost by the ETS on July 1 this year," Mr Thompson said.

"The reduction in the top personal tax rate to 33 cents will be a major benefit to thousands of small businesses who pay that rate."