5 May 2016

Labor hangs small business out to dry

“The Turnbull Government is backing over three million hardworking small businesses by cutting their taxes,” Minister for Small Business and Assistant Treasurer, Kelly O’Dwyer MP said.

“Tonight Bill Shorten made the same vague pledges about small business, and confirmed he will oppose our plans to deliver tax relief for small businesses.

“He failed to offer any relief for businesses with a turnover of between $2 million and $10 million, and again ignored tax relief for unincorporated small businesses.”

Under our plan, the Turnbull Government is supporting hardworking small businesses by:

  • cutting the small business company tax rate to 27.5 per cent for small businesses with a turnover less than $10 million.
  • increasing the unincorporated tax discount from 5 per cent to 8 per cent, capped at $1,000 for small businesses with a turnover less than $5 million.
  • extending access to the instant asset write off so that small businesses with a turnover less than $10 million can instantly deduct each and every asset under $20,000.
  • making life easier by simplifying Business Activity Statements (BAS), reducing reporting labels from seven to three.

“The Turnbull Government is determined to support small businesses grow and create local jobs,” Minister O’Dwyer said.

“I encourage small businesses to take advantage of the instant asset write off and invest in their business. Each and every asset under $20,000 can be immediately deducted until 30 June 2017 and small businesses with turnover less than $2 million don’t have to wait. Small businesses with turnover between $2 million and $10 million can take advantage of the instant asset write off from 1 July 2016.”