Last night Treasurer Josh Frydenberg handed down his first budget, which he hopes will be enough to get the Morrison government re-elected next month.

Major tax cuts are the big candy, but don't get too excited, as the majority of last night's budget promises will only will be delivered if the Coalition win the Federal Election next month, which in my opinion will be 11th or 18th May.

And that's a big IF.

They will however try to rush through their energy subsidies in the next 48 hours.

In any budget there are winners and losers, and I've spotted three winners and one loser, assuming the Coalition gets across the line.

Winner: Middle-income earners

The Coalition needs these votes, as these are the pro-negative gearing voters, the SMSF voters.

The government is banking on tax cuts being vote winners, and the biggest cuts will affect the 4.5 million taxpayers earning between $48,000 and $90,000 a year. Those taxpayers will get a cut of $1080.

Those earning between $37,001 and $47,999 will get a cut of between $255 and $1080.

Those earning less than $37,000 may get cuts of up to $255.

But those making between $90,001 and $126,000 will be on a sliding scale from $1080 to $0, and those making more than $126,000 won't get a new tax cut this year.

Winner: Small business

The small business tax rate has been lowered to 27.5% for next year, dropping down to 25% for 2021-22 (turnover under $10 million).

The budget also increases and expands the instant asset write-off, and gives high tax discount rates.

The government has also announced a $525 skills package to create 80,000 new apprenticeships.

Winner: Commuters in marginal seats

The government has flagged more than $2 billion in infrastructure improvements for vulnerable Victorian seats.

This has been sold as a plan to help manage the state’s burgeoning population, but clearly an attempt to hold seats at risk of being lost.


Loser: Foreign Aid

Foreign aid will increase $400 million as planned this year, but will then be cut by half a billion dollars in two years' time.

The government is also slashing funding for finance and insurance services for Australian exporters and investors.

The question is, will all these pledges be enough to buy the votes Scott Morrison needs to get him across the line next month? Only time will tell.