The 2015 budget has signalled two key points from the Federal Government.\u00a0 Firstly, a clear intention to reduce our budget deficit from over $40 billion to $6.9 billion over the next 4 years.\u00a0 The means less debt for Australia and a stronger credit rating which keeps our country in a very healthy position compared to other advanced nations.<\/p>\n
Secondly, the Federal Government recognises that backbone of this country is the small business sector.\u00a0 Those are businesses turning over less than $2 million per annum, and are effectively what you see day to day at every turn, in every office and every shopping centre and on every building site.\u00a0 For those businesses, the budget includes relief measure to improve confidence and cash flow.\u00a0 These measures are reduced tax rates, a $20,000 instant asset write-off for new acquisitions, CGT relief on structure changes and formation costs deductions.<\/p>\n
Both these announcements have an extremely positive effect on business confidence and encourage spending, which of course then stimulates the economy and drives the employment numbers back up in the right directly.<\/p>\n
The business tax break in a nutshell:<\/strong><\/p>\n The four most significant benefits to small businesses from the budget:<\/p>\n