Blockbuster budget a cash splash for small businesses
The Australian Small Business and Family Enterprise Ombudsman Kate Carnell says the Federal Government’s 2020 Budget is one for the history books, with a record spend that will help lift small businesses out of the COVID crisis and provide a much-needed boost to economic confidence.
The Budget includes a number of new, extended and existing measures to further support small business including:
- $4.3 million for Beyond Blue’s NewAccess service, providing mental health support for small businesses
- $1.2 billion on the extension of wage subsidies for apprentices and trainees
- $850 million on JobMaker hiring credit payable for up to 12 months to employers who hire young people (aged 16-35 years)
- $15 billion in JobKeeper payments
- $1.9 billion for loss carry-back tax provision
- $26.7 billion in instant asset write-offs for business – uncapped
- $800 million national digitisation plan
“Tonight’s budget represents the biggest-ever fiscal response to an economic downturn in Australian history,” Ms Carnell said.
“While this is entirely appropriate given we are in the midst of the worst conditions we have seen since the Great Depression, this does come with a record high deficit of $213 billion, and that is projected to balloon to $966 billion in 2024.
“Given the number of measures that target the small business sector in this Budget, the Federal Government has clearly acknowledged the role small and family businesses have to play in the nation’s economic recovery.”