This is from Kochie's Small Business report on Yahoo, sadly their website pretty much paralyses my computer, so I've copied the whole report to this page just in case others have the same problem, you can see the report here, it makes for very interesting reading, it sounds as if Labor are really doing the best for small business, very impressive list here!
The Big Small Biz Pitch
September 2, 2013, 12:42 pm Kochie's Business Builders Yahoo!7
The key policies have been pitched by Labor and the Coalition. Here's what you need to know.
We’re six days out from the Federal election and finally have some firm commitments on the small business front. The feeling is that it’s neck and neck in terms of what each party is offering, but let’s take a look at the specific small business policies on the table.
Labor’s Small Business Investment Boost will allow small businesses to claim an immediate tax deduction for new assets worth up to $10,000. This will come into effect the day after the election if Labor wins and expire on June 30, 2015.
The scheme will replace the current small business Instant Asset Write-Off which the Government increased to $6,500 last year. That’s a terrific extension of the initiative that allows immediate tax relief for small capital purchases like tools, equipment and computers.
The Coalition has announced it will dump the Instant Asset Write-off measure and $5k instant tax write-off for motor vehicle purchases if it wins. An Abbott government would also remove the current loss carry back provisions introduced by Labor.
To clarify, the loss carry-back law provides a company with the choice to carry back all or part of a tax loss from an income year, or the previous income year, against their income tax liability in either of the two previous income years.
This allows companies experiencing tax losses to carry these losses back against the tax they previously paid and receive a refund by claiming a tax offset.
The reason for the Coalition scrapping these tax breaks is that they’re funded by the Minerals Resource Rent Tax, which the Coalition will also get rid of.
The Coalition’s tax pitch comes by way of a simple 1.5% cut to the company tax rate, and also the removal of the carbon tax.
Labor has promised to cut red tape by moving now quarterly Business Activity Statements to one annual report for small and medium sized businesses.
Under the plan, around 1.35 million businesses with a GST turnover under $20 million a year will be allowed to lodge their BAS once a year, up from a current threshold of $2 million.
Labor will also extend the free Small Business Superannuation Clearing House and change the rules for its paid parental leave so that small businesses (under 20 employees) no longer have to administer the scheme.
Similarly, Coalition policy is to remove small business from collecting superannuation and have the Tax Office manage payments, and also remove small business from any role in payment of the paid parental leave scheme.
The Coalition has promised to undertake a root and branch review of competition policy within 100 days of taking power, and also extend unfair contract provisions to include small business. The Council of Small Business of Australia has pointed out that Labor is yet to address either of these important areas.
Of course many questions remain unanswered around the implementation and timetable of these polices, but at least the key points are there for the all-important small business sector to weigh up.
COSBOA wraps up the small business election pitches nicely.
“Overall it appears that the Labor Party is focusing on tax breaks: streamlining process for small business in superannuation and Paid Parental Leave; developing better support services; and maintaining the current level of small business input to key economic forums.
“They will maintain a presence for the Small Business Minister in Cabinet and also review the role and powers of the Federal Small Business Commissioner in 2015.”
On the Coalition...
“The Coalition is focusing on some of the big and more difficult issues around competition policy and contract law as well as including small business representatives in key agencies and at key events. A definite strength for small business people and the Liberal Party is the current shadow Minister for Small Business Bruce Billson.
“If the coalition wins then Mr Billson will be the Minister for Small Business and his portfolio will be inside the Treasury grouping which gives much more room for managing change and getting the right priorities for small business. Mr Billson would also be in Cabinet.”
Now, personal circumstances and a raft of other public policies will weigh on any voting decision, so we’re not about to opine one way or the other. But at least the facts are on the table for Australia’s biggest employing sector to make an educated decision come Saturday.