SIMPLER Business Activity Statements (BAS) and an extension to the instant asset write-off programme will change from tomorrow and underscore the simple and positive changes for small business, Small Business Minister Michael McCormack says.
“The start of a new financial year tomorrow means paperwork will be simpler for small business and the popular instant asset write-off programme will continue for another year,” Mr McCormack said.
“I remember how onerous paperwork can be after running my own small business, so I am pleased the BAS will now only have three reporting requirements from tomorrow, rather than seven.
A limited release of Single Touch Payroll is about to begin for a small number of employers, who will report their wages, Pay-As-You-Go (PAYG) withholding amounts and superannuation information to the Australian Taxation Office when they pay their employees.
“Single Touch Payroll will become progressively available to employers as payroll software solutions are updated. All employers with 20 or more employees must report from 1 July 2018. However, any employer can choose to report earlier if they have a Single Touch Payroll-enabled solution,” Mr McCormack said.
Mr McCormack said the popular $20,000 instant asset write-off programme will run for another year thanks to an extension in the recent Federal Budget.
“Around the country, I heard from small business how helpful the instant asset write-off is to purchase the new equipment they need to grow, and how it creates what small business calls a ‘chain reaction’ for staff and customers,” Mr McCormack said.
“I listened to that feedback and the Government extended the programme in the 2017-18 Budget. As a result, small businesses with a turnover up to $10 million can continue to purchase the equipment they need to grow up to $20,000 and write it off immediately.
“Our small business tax cuts – which were back-dated to 1 July 2016 so small business reaped the reward immediately – also made more small businesses eligible for the programme.
“We know turnover above $2 million doesn’t mean you’re a big business, so we have changed the definition to up to $10 million to help even more genuine small businesses grow.”
1 July 2017 also sees a tax cut for the large-employing medium-sized businesses with an annual turnover up to $25 million.
“Small businesses employ almost one in every two Australians in the workforce. Our changes back them to create even more jobs and keep our economy growing.”
For more information, visit the smallbusiness website.