Business.gov.au have published a summary of what changes have been proposed for businesses under the Federal Budget 2017-18.
Their summary focuses specifically on proposed tax changes, financial changes, support for regional communities, and benefits for employers.
Under the proposed tax changes, the summary emphasises that the $20,000 instant asset write-off is being extended until 30 June 2018 for businesses with an annual turnover of under $10 million. Similarly, the ”lock out” laws for simplified depreciation rules will continue to be suspended until 30 June 2018. The turnover threshold to qualify for the small business corporate tax rate will increase by $15 million from July.
Under the proposed financial changes, the summary emphasises that the Australian Financial Complaints Authority (AFCA) will provide small businesses with access to free, fast and binding dispute resolution with the banking system. The AFCA is expected to be established by 1 July 2018. Crowd-sourced Equity Funding (CSEF) will be extended to proprietary companies.
The summary also provides a list of funds, packages and schemes that will be established to provide support for regional communities. These include the Regional Growth Fund, the Regional Jobs and Investment Packages, and the Regional Investment Corporation.
The Regional Growth Fund will be a $472 million investment for local infrastructure projects. The Regional Jobs and Investments Package will be a $220 million investment to grow and deliver sustainable employment in ten pilot regions across Queensland, NSW, SA, Victoria and Tasmania. The Regional Investment Corporation, which will be established in 2018, will deliver Commonwealth farm business concessional loans and the National Water Infrastructure Loan Facility. Eligibility for the Farm Business Concessional Loans Scheme has also been extended.
The summary also provides a short list of funds to increase industry support. These include a $100 million investment to establish an Advanced Manufacturing Fund to assist transition to high value advanced manufacturing in SA and Victoria, a $26.1 million partnership with the European Southern Observatory, and a $28.7 million fund to accelerate the responsible development of gas for Australian users.
The summary also states that employers will benefit from ongoing funding for a new Skilling Australians Fund, which focuses on apprenticeships and traineeships in high demand occupations.
While Business.gov.au have provided a summary of the Federal Budget for businesses, AIRAH have already given their Federal Budget verdict.
AIRAH CEO, Tony Gleeson, stated in an AIRAH media release, his support for the establishment of the Skilling Australians Fund and the Industry Specialist Mentoring for Australian Apprentices Program.
“…With the establishment of Skilling Australians Fund, the HVAC&R trade sector is getting quite a leg-up, which we tentatively support while we await more detail. The Industry Specialist Mentoring for Australian Apprentices program, which has had $60 million set aside for it, is another excellent initiative.”
Gleeson also expressed his disappointment that the Federal Budget appears to be deferring new funding for policies responding to climate change, however he also emphasised that AIRAH will continue to voice what’s important to them and their members.
“AIRAH will continue to voice the view that it’s important to reduce Australia’s greenhouse gas emissions via the adoption of appropriate refrigerants, and through resilient design.
“Although there are some very admirable elements in the 2017-18 Federal Budget, AIRAH will continue to talk to those in power about those things important to us and our members.”
Business.gov.au’s summary of the Federal Budget 2017-18 can be read in full here and more information on the Federal Budget 2017-18 can be found here.
Image via Pixabay.