The Coalition Government understands small businesses are the backbone of our economy. We are backing small businesses to help them get ahead.
SMALL BUSINESS TAX CUTS
For small businesses, company tax has been cut to its lowest rate in 50 years – to 27.5 percent for businesses with a turnover up to $25 million this year (and for businesses with a turnover up to $50 million in 2018-19).
For unincorporated businesses with a turnover less than $5 million, we have introduced a tax discount of 8 percent (capped at $1,000).
These changes will benefit 3.2 million businesses employing 6.7 million Australians, helping them to invest and create more jobs.
INSTANT ASSET WRITE-OFF
The Coalition Government has provided an instant asset write-off for small businesses (with a turnover less than $10 million). This means small businesses can instantly deduct each and every asset under $20,000.
Last year, around 300,000 small businesses accessed the instant asset write-off to invest in machinery and equipment to help grow their business.
RED TAPE RELIEF
The Coalition Government has abolished $5.8 billion worth of red tape. This includes introducing: simplified Business Activity Statements; a Small Business Superannuation Clearing House; and hundreds of other decisions that are making life easier.
PROTECTION FROM UNION THUGGERY
By restoring the Australian Building and Construction Commission we are protecting 350,000 small construction businesses from CFMEU thuggery. By abolishing the (so-called) Road Safety Remuneration Tribunal established by Bill Shorten in 2012, we saved 35,000 owner-operator truck drivers from a hostile union takeover.
We will stand up to increasingly radical union leaders, who are demanding more power to strike, more power to run businesses and inspect their books and more deals to entrench their power.
Under Labor, union law breakers will become law makers.
Small businesses are getting a fair go through amendments to Competition Law (‘Section 46’) to stop big businesses from abusing market power, new unfair contract legislation and the establishment of a Small Business Ombudsman.
Our landmark export agreements with China, Japan and South Korea - and recently, Peru - will generate more export opportunities for Australian agriculture, mining, manufacturing and service industries.
We are continuing to work to secure better export access for Australian businesses. Australia took a lead role in negotiating the new Trans-Pacific Partnership - a Trade Agreement between 11 major economies in our region (collectively worth $13.7 trillion).
HELPING CASH FLOW
The Government recognises the importance of cash flow for small businesses. That’s why the Government is setting an example by paying its bills on time.
97% of Australian Government bills under $1 million are being paid within 30 days. And now the Government will be required to pay invoices for contract work up to $1 million within 20 days. Federal agencies will be required to publish their payment time performance.
LABOR’S WAR ON SMALL BUSINESS
Labor is waging a war on small business:
- Labor opposed – and would reverse – our small business tax cuts;
- Labor’s new tax on trusts will hit at least 200,000 small businesses;
- Labor’s energy policies – including a 50% renewable target, like they had in South Australia – would increase power bills and pose a risk to reliability for small businesses;
- Labor wants to reverse the independent umpire’s decision to modify Sunday penalty rates – which means small businesses would pay higher penalty rates than big businesses that do deals with big unions.
- Labor will roll over to increasingly militant unions, who have made their intentions clear. They will demand the power to strike, more power to run businesses and inspect their books and more deals to entrench their power. Under Labor, union law breakers will become law makers.
Information current as at March 2018