Game changing day for small businesses in the New England Electorate
28 May 2015
FEDERAL Member for New England, Barnaby Joyce said the Government’s 2015 Budget is a historic, unprecedented and a ‘game changer’ for the hard working women and men of the New England Electorate.
“Our Growing Jobs and Small Business package is the biggest economic recognition of the sector in Australia’s history,” Mr Joyce said.
He said the Small Business Minister Bruce Billson introduced the first tranche of legislation to deliver that package and the Government intends to seek passage of this important legislative package in the current sittings of the Parliament.
“I welcome its introduction and I urge Labor to ensure the certain passage of this legislation to guarantee solid footing for small businesses,” Mr Joyce said.
“Small business has been and continues to be an enduring focus and priority for the Abbott Government. We are committed to working to ensuring Australia is the best place to start and grow a business.
“Our budget package was developed from extensive consultations with small business owners and employees.”
The Tax Laws Amendment (Small Business Measures No.1) Bill 2015 will reduce the corporate tax rates from 30 per cent to 28.5 per cent for small businesses with annual turnover under $2 million.
Mr Joyce said small business companies in the New England Electorate will pay less tax for income years that commence on or after 1 July 2015.
The Tax Laws Amendment (Small Business Measures No. 2) Bill 2015 will provide accelerated depreciation arrangements to small businesses and primary producers. This change is the centrepiece of the Budget’s small business package.
“The Bill will amend the small business simplified depreciation rules in the tax law, to increase the threshold for immediate deductibility from $1,000 to $20,000,” he said.
“This is a significant increase in the threshold and a massive gain to cash flow for small business.
“Our budget measures reflect our understanding of the complex nature of small businesses across our country. We know small businesses are at the very heart of rural and regional Australia and with this is mind the Bill will also amend the tax law to provide simplified accelerated depreciation rules for all farmers.”
Farmers will be able to immediately deduct all eligible capital expenditure on fencing and water facilities. Fodder storage assets will be deductible over three years.
“In an unprecedented move, we are simplifying the tax system for farmers, and encouraging investment that will improve our farming community’s resilience to drought and other extreme weather events,” Mr Joyce said.
“The accelerated depreciation arrangements for farmers and small business can be claimed for expenditure since Budget night,” he said.
To find out more about our historic Growing Jobs and Small Business package and how it benefits small businesses of the New England Electorate please visit www.budget.gov.au