LNP reveals payroll tax plan for business
BUSINESSES paying thousands in state payroll taxes will be able to employ more staff under new policies unveiled by the LNP.
Treasury opposition spokesman Craig Emerson revealed the new measures in the marginal seat of Toowoomba North yesterday. He said the measures would raise the current threshold by $25,000 each year for the next decade.
Currently, businesses pay a tax of up to 4.75 per cent of their total staff payroll after it passes $1.1 million, depending on what bracket they are in.
Mr Emerson said raising the lowest threshold to $1.125 million in the first year would encourage 4000 small businesses to employ more staff, particularly apprentices.
“With our policies, in terms of slashing payroll tax, it helps businesses grow and that means employing more Queenslanders.
“What a lot of small businesses say to me is that they want to grow, but they’re worried that if they put the staff on, they’ll pay payroll tax.”
The announcement was made at Greenridge Group’s printing press site in Wilsonton, which employs up to 40 staff. Owner Kyal Osborne said payroll tax was a burden on his bottom line.
“If we could get some payroll tax relief, it will be positive for us – it means you could employ people overnight,” he said.
The Newman Government had raised the payroll tax threshold to $1.1 million before it lost the 2015 election.
The tax generates $4 billion for the State Government every year, and Mr Emerson conceded it wouldn’t be going anywhere under either party.
The policy is the first issued as part of the LNP’s economic plan, which Mr Emerson said would create 500,000 jobs in the next decade.