Health Minister Greg Hunt has announced additional company tax relief for small- and medium-business owners.
This reform builds on the first stage of company tax relief that the government delivered in May 2017 and will be seen as good news for local communities, potentially leading to increased investment, more jobs and higher wages.
The announcement, supported by the federal opposition, ensures the passage of government legislation which will see businesses with a turnover of up to $50 million a year have their tax rate reduced to 25 per cent by 2021-22.
“We will introduce legislation during this session of parliament, fast-tracking our business tax relief for the small and medium businesses across Australia,” Mr Hunt said.
By way of example, Mr Hunt shared that an independent supermarket or a local pub making $500,000 profit would have an additional $7,500 during the 2020-21 financial year, growing to $12,500 in 2021-22.
The Pharmacy Guild has welcomed the Labor Party’s support for this commitment to accelerate SMB tax cuts.
Guild Executive Director David Quilty says the cuts would benefit community pharmacy small businesses across Australia.
“The bipartisan approach to the earlier delivery of small business tax cuts is very welcome and the Guild appreciates Labor’s support of the Coalition’s announcement,” he said.
“We are pleased that the early passage of legislation to bring forward the tax cuts now seems assured, providing certainty for community pharmacies as they make decisions on employing staff and investing in their businesses to support their patients and local communities.”