No new taxes for business = good news

Good for business

This year’s State Budget saw no increases in taxes – a positive outcome for business compared to last year’s budget, which had substantial increases in land tax.

CCI’s pre-budget submission highlighted that property owners experienced significant increases in their land tax assessment.

“The Government recognises that some property owners experienced significant increases in their land tax assessment last year,” Dr Nahan told Parliament.

“There will be no increases to land tax rates in this Budget and while we are not in a position to immediately reduce these rates, we will examine options to reduce the financial impacts on property owners going forward, including the impacts of aggregation.”

CCI Director of Policy Dale Leggett welcomes the move.

“We’re pleased the Government has recognised the impost on property owners and that they’ve agreed to examine options to reduce the financial impact on property owners going forward, including the effect of aggregation,” Leggett says.

“CCI will continue to advocate for this to ensure the Government follows through on its commitment.”

Although tax revenue has been weak, the Government also committed to continue with the already announced increase in the payroll tax free threshold – to $850,000 – from 1 July 2016.

CCI’s pre-budget submission outlined why State tax reform was necessary to reduce the tax burden on business and remove inefficient taxes.

“We’re pleased the Government did not increase taxes, however the business community still has an appetite for reform,” Leggett says.