JULIE COLLINS:
Can I start by acknowledging the traditional owners on this land we meet today, and pay my respects to Elders past, present and emerging. And say how terrific it is to be here at the University of Tasmania’s Tax Clinic to discuss particularly our government's recent Budget announcement in relation to tax clinics and how we're helping small businesses.
The Budget provided a number of measures to directly support small business, including the expansion of the national tax office clinic program. So we will be going from 15 tax clinics across the country to 20. So an additional five tax clinics, but also importantly, an ability for some of the existing clinics to be able to expand a bit if required. And it's wonderful to hear here in Tasmania that the tax office tax clinics run by UTAS are so popular, and they're supporting so many Tasmanians and particularly those Tasmanians that need support, but also small businesses.
This builds on the other things we've got in the federal budget to support small businesses, including some more measures for the Australian Tax Office to support small businesses. The small business energy incentive, which is helping 3.8 million small and medium sized businesses that are eligible if they have an annual turnover of less than 50 million with a 20 per cent additional deduction for electrification and energy efficiency appliances, such as upgrading a fridge or an air conditioner. We also of course have our international asset right off, which is $20,000 instant asset write off for small businesses with a turnover of less than $10 million. We also introducing a $393 million industry growth package. We're investing $23.4 million to help small businesses build their resilience through cybersecurity attacks through a program, a pilot program, that we're running with COSBOA. And we're providing, as I said, $21.8 million to the Australian Tax Office for a range of measures to reduce the time small businesses spend doing taxes. And a part of that, of course, is $9 million towards the tax clinics and expansion of the tax clinics.
So it's great to be able to do this in my home state of Tasmania, where these tax clinics are so popular and to see them expanding out. Importantly, as part of the expansion, we will provide some through universities but also through some TAFEs. In regional areas, where there are not universities, what we want to do is make sure that all Australians ‑ no matter where they live ‑ get the support that they need, particularly those small businesses who have been doing it tough and vulnerable Australians in those areas. So it's great to be here today and to be able to make this announcement. Thank you.
BELINDA WILLIAMS:
As the Head of School for the Tasmanian School of Business and Economics, we would like to thank the federal government and Minister Collins for the wonderful support for this clinic and the extension of this funding that enables the UTAS Tax Clinic, which has been in establishment since 2019, to extend its coverage across Tasmania to the vulnerable and to the remote in the regional centres. So, a wonderful initiative. We have reached over 1000 clients since 2019. We have helped, and helped clients in the tax preparations stages, over 1500. So it's a wonderful opportunity with this extension of funding. I'd now like to pass to our tax clinic director to say a few words.
DONOVAN CASTELYN:
Thank you, Minister, and thank you Head of School. It gives me great pride to stand here today and to be able to talk to the many different people that have benefited from our services. The tax clinic program holds a special place in my heart, being the co‑founder of Australia's first Tax Clinic back in Western Australia in humble 2018. And now to see the initiative grow to over 15 in Australia, soon to be 20, and to support the beautiful work that we do here at the Tax Clinic at UTAS. There's two great ambitions that all clinics serve. One is a community focus, the other is a student focus. And we look forward to fostering and developing those focuses as we continue to progress delivering on the great services that each clinic provides. If there are any questions about the clinic, more than happy to take them now, but thank you ever so much to the federal government for the continued support of this valuable program, and looking forward to serving members of the Tasmanian and Australian community moving forward.
JOURNALIST:
I'll throw some questions for you. If I could just start by grabbing your first and last name, and official title.
CASTELYN:
The official title is very long, so we don't need to use that, but Senior Industry Fellow Taxation, Tax Clinic Director, UTAS Tax Clinic. Donovan Castelyn.
JOURNALIST:
Can you just talk to me a bit about the type of work you do here?
CASTELYN:
Absolutely. So the Tax Clinic is focused on four key service areas. We provide a level of assistance to vulnerable members of the community, which might include providing some support in terms of preparation and lodgement of tax returns. But also navigating through the complexities of tax law. We then provide a level of representation if the particular client is in dispute with the ATO, and help them navigate those dispute resolution channels. We educate, which is fundamental to our core purpose, both members of the community as well as students, and then we advocate for those that potentially don't have the voice to advocate for themselves.
JOURNALIST:
And what sort of hurdles do people encounter when they are doing their taxes?
CASTELYN:
That's a great question. Particularly in the context of small business, sometimes the focus is just not on tax. So you know, you're too busy worried about keeping the lights on or feeding your family, and tax falls by the wayside. So it's not uncommon for us to encounter people who have just not filed their returns for many different years. And then often times what happens is they just continue to put their head in the sand, and that continues to mount. So one of the great aspects of the clinic is seen the relief that we can provide, particularly those in small business contexts, by getting their affairs up to date.
JOURNALIST:
And the Albanese government has invested more funding into making sure small businesses spend as little time as possible doing their taxes. Why is that important?
CASTELYN:
Well, I think spending time on things that are important to the particular small business is critical. You know, the old saying goes, do what you're good at and spend less time doing things you're not so good at. And in that particular context, there's not only the investment by the government, but also there's infrastructure being put into place by the ATO to make compliance a lot more simple. And I see that as a very good mission moving forward.
JOURNALIST:
Fantastic. Is there anything else you wanted to add?
CASTELYN:
There's often a quip that I use in these particular circumstances. And it comes into those situations where people have felt overwhelmed by compliance, and I like to leave people with this message. It's not just doctors that save lives, tax professionals can too. So get down to your local tax clinic if you're eligible, and meet with us. We're great people.
JOURNALIST:
If you want to just talk about, from your perspective, why it's important that businesses do spend as little time as possible doing their taxes and why they should get involved with these tax clinics.
COLLINS:
What these tax clinics do is provide advice to those small businesses who are having trouble meeting their tax obligations, or who want to spend more time working on their business. This is where they can get some initial advice, some assistance preparing their activity statements if required. But also, as we've just heard, importantly for those people who you know may not have done a return when they should have, they can get some really good advice and they can get the relief of getting some professional support. And it's also really great for the students here at UTAS also to be able to get that practical hands on support about, you know, tax law and how it impacts on people.
JOURNALIST:
How vital are these services across Tasmania?
COLLINS:
These services are vital right across the country, but particularly in Tasmania where we know that so many people are doing it tough. They provide additional support for those people who are, you know, don't understand tax law or don't understand their obligations in terms of what's required of them when they fill out their taxes. This is providing practical support for those people that need it most.