A boost to keep spend­ing

Western Suburbs Weekly - - Scene Out -

con­tinue to be able to im­me­di­ately write off ex­pen­di­ture up to $20,000 for a fur­ther year.”

Last year, the Govern­ment dropped the com­pany tax rate for small com­pa­nies to 27.5 per cent, the low­est level in 50 years.

The pop­u­lar­ity of the $20,000 tax con­ces­sion saw al­most 100,000 small busi­nesses make claims in the first six months of its op­er­a­tion, ac­cord­ing to Trea­sury data.

Busi­nesses claimed a to­tal of $418.5 mil­lion be­tween July 1 and De­cem­ber 15, 2015, com­pared with only $250 mil­lion for the same pe­riod the year be­fore.

The Coun­cil of Small Busi­ness Aus­tralia, which called for the ex­ten­sion in its usual pre-bud­get sub­mis­sion to the Govern­ment, said pro­vid­ing ad­di­tional cash flow to small busi­ness and op­por­tu­ni­ties for in­vest­ment and in­no­va­tion were im­por­tant to stim­u­lat­ing eco­nomic ac­tiv­ity and cre­at­ing jobs.

Peak rural lobby group the Na­tional Farm­ers Fed­er­a­tion also strongly sup­ports the scheme, which has en­abled farm­ers to in­vest in items such as fenc­ing, fod­der stor­age up­grades, dams, wa­ter tanks, ir­ri­ga­tion chan­nels and wind­mills.

■ Fit For Busi­ness is a part­ner­ship be­tween Com­mu­nity News­pa­pers and Al­lianz.

Trea­surer Scott Mor­ri­son.

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