Small business is the backbone of our economy.

We’re backing small businesses, to help them get ahead and create more jobs.

SMALL BUSINESS TAX RELIEF

Our tax relief plan benefits 3.4 million businesses employing over 7 million Australians.

For businesses with a turnover less than $50 million, the tax rate has been reduced from 30% to 27.5% – the lowest rate in 50 years. We will be further reducing this to 25%.

For unincorporated businesses with a turnover less than $5 million, we have introduced a tax discount of 8% (capped at $1,000). This will further increase to 16%.

INSTANT ASSET WRITE-OFF

The Government is extending the Instant Asset Write-Off until 30 June 2020, for assets up to $30,000.

This helps small businesses (turnover under $50 million) invest in the machinery and equipment they need to grow.

Over 370,000 small businesses have accessed the Instant Asset Write-Off.

RED TAPE RELIEF

Since 2013, we have cut around $6 billion of red tape. Measures include:

  • A simplified Business Activity Statement for 2.7 million small businesses.
  • Doubling ASIC financial reporting thresholds.
  • $300 million to help states and territories reduce red tape.

HELPING CASH FLOW

The Government is paying its bills within 20 days, for contracts up to $1 million.

Large businesses seeking government contracts will be required to do the same.

BETTER ACCESS TO FINANCE

The new $2 billion Australian Business Securitisation Fund is helping small businesses get the funding they need at a better rate.

The Morrison Government has commited $100 million to establish the Australian Business Growth Fund with partners contributing another $440 million. The aim is for the Fund to grow to $1 billion.

This will significantly enhance the ability of small and family businesses to access funding and grow, while retaining control of their businesses.

FAIRER COMPETITION

Small businesses are getting a fair go, through:

  • Changes to competition law to stop big businesses abusing market power.
  • New unfair contract legislation.
  • Free, fast and binding dispute resolution through the new Australian Financial Complaints Authority.
  • Combating illegal phoenixing.
  • The Small Business and Family Enterprise Ombudsman.

EXPORT OPPORTUNITIES

The Morrison Government has boosted the Export Market Development Grant scheme by $60 million to back small and medium sized Australian exporters.

We have delivered trade agreements with China, Japan, Korea and Peru.

Australian exporters will also benefit from the new Trans-Pacific Partnership – an Agreement between 11 major economies in our region with a combined GDP of $13.7 trillion.

We have signed the Pacific Agreement on Closer Economic Relations and agreements with Indonesia and Hong Kong.

SKILLS

The $585 million Delivering Skills for Today and Tomorrow package will strengthen the VET system and provide small businesses with support to take on more apprentices in areas of skills shortages.

Information current as at February 2020