Instant tax write-offs
We saw an expansion of the instant tax write-off arrangement to $A30,000 for individual assets across as many transactions as businesses might like. That also now covers companies turning over up to $A50 million - so it goes beyond small and medium businesses.
If you run a cafe or a restaurant putting in a new grill or coffee machine, or you’re tradesperson buying a new vehicle or other equipment, for example, I think there will be broad interest in taking advantage of these write-offs.
Reduced income tax rates
The second key point focused on reducing income tax rates for small businesses and accelerating reductions to 25 per cent over a much faster timeframe than previously indicated. I think that would be welcomed.
And the third which is applicable to most businesses - but particularly tradespeople - is around increased funding for apprenticeships (which will also help with employment for certain businesses).
One extra bonus was around the reduction in personal income tax rates. This means people will have more money in their pocket then we would have been the case.
I'm sure a lot of business owners around the country will hope some of that extra cash will flow through to small businesses - a great outcome if that happens.
Isaac Rankin is Managing Director, Commercial at ANZ