LABOR PLANS YET ANOTHER TAX ATTACK ON SMALL BUSINESS

REPORTS in today’s media confirm the fears of Australia’s small businesses – that on the back of “patently false[1]” claims made by Bill Shorten on Friday, they will be the subject of Labor’s next big tax attack, Small Business Minister Michael McCormack says.

“Bill Shorten has all but confirmed the fears of 3.2 million Australian small businesses – that Labor has well and truly turned their backs,” Mr McCormack said.

“As if voting against our tax cuts for small business wasn’t bad enough for Labor, it is now adding insult to injury by saying higher taxes for millions of Australians who work in small business is fair,” Mr McCormack said.

Small and medium businesses now pay a 27.5 per cent company tax rate – the lowest since 1940.

“On the one hand Labor says they want more Australians in jobs, but will take the hammer to the very sector which employs them,” Mr McCormack said.

“Labor doesn’t get small business any more.  Very few of its MPs have run their own and even fewer care about cutting small business taxes.”

Mr McCormack said the Labor Party’s record on small business speaks volumes about its values. 

“We cut small business taxes and Labor voted against it,” Mr McCormack said.

“We extended the instant asset write-off to more small businesses and for another year, and Labor wants its eligibility cut.

“Bill Shorten has refused to rule out raising small business taxes and now it seems the likely the major policy announcement at the Labor Party’s forthcoming conference.

“It’s no wonder the Council of Small Businesses of Australia warns its members are ‘really concerned that Labor is no longer interested in small business’[2].

Mr McCormack called on the Labor Party to rule out Bill Shorten’s reckless small business tax rise.

“Small businesses around the country have told me how helpful tax cuts are to help employ more workers and grow their business,” Mr McCormack said.

“Labor owes it to 5.6 million Australian workers in small business to rule out this ridiculous tax hike.

“Big taxes erode business confidence. If Labor erodes small business confidence even further, fewer small businesses will look to hire more Australians and give someone new a go.

“And this is something Labor simply doesn’t understand.”

ENDS

[1] http://www.theaustralian.com.au/business/in-depth/esoc15/esoc-2017-alps-false-pitch-on-inequality/news-story/8f024f6383f8000dd06f0febd85b89b1

[2] http://www.smh.com.au/small-business/finance/budget-reply-bill-shorten-leaves-small-business-tax-cut-up-in-the-air-20170512-gw38ll.html

Dom Hopkinson