Small business tax relief on the way
THE whole country is set to gain from more than 3 million small businesses having a lower tax rate, allowing them to invest more, grow more and employ more, Small Business Minister Michael McCormack says.
“We know lower taxes means small businesses can grow, pursue new ideas and create more jobs,” Mr McCormack said.
“We have changed the definition of small business from an annual turnover of $2 million to $10 million, to make sure more Australians can take advantage of the Government’s support for small business.
“We have dropped the tax rate to 27.5 per cent and expanded the unincorporated tax discount to eight per cent.
“Together, Australia’s small businesses employ around 6.5 million people and provide the goods and services Aussies need.
Mr McCormack said the lower tax rate enables small businesses to create more jobs.
“We know it is Australia’s small businesses – not Government – which create jobs and opportunities across the country,” Mr McCormack said.
“That’s why we have backed small business with the lowest taxes in half a century, simpler paperwork and the ability to instantly deduct new equipment to enable small businesses to grow.”
Mr McCormack said his nationwide roadshow of small business, which has travelled to several states in recent weeks, has heard loud and clear the need for lower taxes.
“My most important job as Small Business Minister is to listen to the people who run Australia’s small businesses about their ideas and feedback to ensure the sector can expand,” Mr McCormack said.
“No matter where I have travelled, from our largest cities to our smallest towns and villages, the need for lower taxes has been top of mind. Small businesses want to grow and hire more people, but they need some of the tax pressure taken off in order to pursue their dreams.
“I know this vital tax cut is an important injection of confidence for the hardworking Australians in small business who contribute $380 billion to our gross domestic product.
“The Government’s tax cuts means now small businesses can pursue their dreams.”