Business.gov.au have provided a summary for businesses of what has been proposed for next year’s Budget.
Business.gov.au’s summary focuses on tax changes, help for employers and help for job seekers to start a business.
In regards to tax changes there has been an increase to the small business tax discount and an increase to the small business turnover threshold. The small business tax discount will increase from 5 percent to 16 percent over the next decade whereas the small business turnover threshold will increase from $2 million to $10 million from 1 July. Company tax rates will decrease to 25 percent over the next decade, businesses with an annual turnover of less than $10 million will see a decrease of 27.5 percent. There will also be changes to GST on importing and exporting, as well as a simplification of business tax and improved access to asset backed financing.
In regards to help for employers, a new programme to help employers hire young job seekers was announced. The PaTH (Prepare-Trial-Hire) Programme includes incentives for employers to trial youth job seekers, focusing specifically on hiring interns, and a wage subsidy for employers from 1 January 2017.
In regards to helping job seekers start a new business, there will be workshops, resources and mentoring and support on offer, as well as an expansion of the New Enterprise Incentive Scheme (NEIS).
Business.gov.au’s summary can be read in full here.
While Business.gov.au provide a summary of the Budget for businesses, AIRAH have already given their Budget verdict.
In their latest media release, AIRAH President Nathan Groenhout and AIRAH CEO Tony Gleeson provide their opinion and analysis of what the Budget has to offer the industry. Their overall verdict was that there are some wins for small business and cities and the potential for more work for HVAC&R professionals, however more could be done for climate change and industry resilience.
Groenhout praised the Government’s investments in cities and clean energy stating that the “Clean Energy Innovation Fund provides an essential investment of funds and greater certainty for the industry.” He also praised the Government’s decision to retain the Clean Energy Finance Corporation and ARENA, however he also would have liked new funding to assist the transition to a low-carbon economy.
Gleeson praised the Budget’s benefits towards both small and large businesses, highlighting the incentive for employers to hire interns, stating that it could help many within the HVAC&R industry, including AIRAH. However, similarly to Groenhout, he also expressed disappointment towards the lack of new funds to reduce emissions, that being said he was also pleased to see the Government acting to assist the industry.
AIRAH’s media release with their comments on the Budget, can be read in full here.
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