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Builders back well targeted stimulus

THE Federal  Government’s $17.6 billion stimulus package should bolster economic resilience in the face of the current challenge according to Master Builders Australia.

"In times of crisis people look to their leaders to respond and the government through this stimulus package has done that,” Denita Wawn, CEO of Master Builders Australia said.

"Right now what our industry most needs is confidence and this clear signal from the government that they are determined and committed to doing whatever it takes is extremely welcome,

"There are more than 380,000 small building businesses and tradies in our industry, more than any other sector of the economy, that will benefit from the Government’s strong focus on backing small businesses,” Ms Wawn said.

“We strongly back the moves to back businesses, particularly small businesses, to keep workers and apprentices employed. The danger with economic shocks is that the labour market recovers slower than the rest of the economy so moves to offset employers shrinking their workforce is very well targeted.

“Builders and tradies around the country will respond favourably to the huge boost in the instant tax write-off threshold from $30,000 to $150,000 and expansion of its eligibility to businesses with turnover under $500 million (up from $50 million),” Ms Wawn said.

"Incentives to invest in business assets are also well targeted to our industry. There is no doubt builders and tradies will be encouraged to invest in new plant and equipment.

"However, if there is a major contraction in building activity then the benefit of these measures will be blunted. The government must take a strong leadership role in ensuring that construction of government projects currently underway continue and that projects scheduled to commence are not delayed or withdrawn,” Ms Wawn said.

"The government could also bring forward expenditure on existing projects. Accelerating construction of current projects and bringing forward construction of shovel ready projects, big and small, would provide an immediate strong impetus for building firms to take up tax write off and investment incentive measures.

"Our industry also remains nervous about how protracted the inevitable shortage and delayed delivery of imported building products will be. This is a hit to our industry that is looming over the next few months and additional measures and extensions of some of stimulus measures may be required to help the industry weather that storm,” Ms Wawn said.

www.masterbuilders.com.au

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ATEC ready to support Australia’s tourism industry

THE Australian Tourism Export Council (ATEC) has welcomed the Federal Government’s stimulus package of funding to address the impacts of the coronavirus on the Australian economy.

“ATEC is pleased the government is making a solid commitment to sustaining the tourism industry in the wake of the COVID-19 outbreak,” ATEC managing director Peter Shelley said.

"We have been greatly concerned by the impact the contraction in international travel will have on tourism’s future - we just can't afford to lose the important distribution channels currently in place.  We are particularly happy with the commitment to support businesses where there has been a supply-chain breakdown as a result of the virus outbreak.

“Despite the bushfires and subsequent COVID-19 crisis, the industry has been doing what it can to keep the doors open - this is a dire time and the industry needs every bit of support it can get."

Mr Shelley said money for Austrade to explore alternative export markets aligns with ATEC’s focus on training and development and small business grants along with wage subsidies and BAS deferral will help to keep the wheels turning and maintain positive trade relationships. Business grants similar to EMDG would go a long way to encouraging capable tourism exporters to invest in new markets.

ATEC stands poised to ramp up support programs for the industry, using its already successful learning and development platform to deliver meaningful benefits for export tourism businesses across the country.  Many of ATECs programs are available via an online learning platform and can reach regional businesses. Training programs available for immediate action include:

  • Industry training programs designed to arm businesses with an understanding of the China, Japan and India markets with a focus on distribution, experience and product development;
  • Virtual Trade Shows to allow businesses to continue building relationships in order to re engage trade quickly post COVID-19;
  • International Ready training to move domestic tourism product towards export which can be driven throughout the tourism regions.

“Now is the time for action and ATEC looks forward to working with the Government in quickly delivering programs to Australia’s tourism industry which can help to put it back on its feet.”

www.tourismdrivesgrowth.com.au

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Committee to review telecommunications International Production Orders Bill

THE Parliamentary Joint Committee on Intelligence and Security (PJCIS) has commenced a review into the effectiveness of the Telecommunications Legislation Amendment (International Production Orders) Bill 2020.

The bill review was requested by the Minister for Home Affairs in a letter to the Committee available here.

The Telecommunications Legislation Amendment (International Production Orders) Bill 2020 is drafted to amend the Telecommunications (Interception and Access) Act 1979 to:

  • provide a framework for Australian agencies to obtain independently-authorised international production orders for interception, stored communications and telecommunications data directly to designated communications providers in foreign countries with which Australia has a designated international agreement;
  • amend the regulatory framework to allow Australian communications providers to intercept and disclose electronic information in response to an incoming order or request from a foreign country with which Australia has an agreement;
  • make amendments contingent on the commencement of the proposed Federal Circuit and Family Court of Australia Act 2020; and
  • remove the ability for nominated Administrative Appeals Tribunal members to issue certain warrants.

The Bill intends to provide for the legislative framework for Australia to give effect to future bilateral and multilateral agreements for cross-border access to electronic information and communications data, such as that being negotiated with the United States for the purposes of the US Clarifying Lawful Overseas Use of Data Act (CLOUD Act).

The Committee requests submissions to the inquiry by Thursday 9 April 2020

Prospective submitters are advised that any submission to the Committee’s inquiry must be prepared solely for the inquiry and should not be published prior to being accepted by the Committee.

Further information on the inquiry can be obtained from the Committee’s website

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Have your say on Indigenous opportunity

THE Indigenous Affairs Committee in the Federal Parliament has launched a new survey seeking your feedback on ways to make employment and business ownership easier to access for Indigenous Australians.

This survey forms part of the committee’s current Inquiry into Pathways and Participation Opportunities for Indigenous Australians in Employment and Business. Committee Chair Julian Leeser said it makes having your say to the Parliament easier and faster than ever before.

"A focus of this inquiry is removing barriers, and what better way to start than by removing barriers to participating in the inquiry?" Mr Leeser said.

"You can fill out the survey in only five minutes, and if there’s something you’d like to raise with the Committee in more detail you can still make a longer written submission to the inquiry and be considered as a possible witness at a future public hearing."

The Committee plans to announce hearings around regional Australia in the coming weeks as part of the inquiry.

You can find more information about the inquiry on the Committee’s website.

The survey can be accessed at this link.

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ATO support measures to assist those affected by COVID-19

THE Australian Taxation Office (ATO) will implement a series of administrative measures to assist Australians experiencing financial difficulty as a result of the COVID-19 outbreak.

Commissioner of Taxation Chris Jordan is encouraging businesses impacted by the coronavirus to get in touch with the ATO to discuss relief options.

“We know that many businesses and communities are being heavily affected by the challenging economic conditions created by the outbreak of COVID-19,” Mr Jordan said.

“The ATO will work shoulder-to-shoulder with businesses to assist them through this difficult period and do what we can to ease the pressure. Once you contact us, we’ll tailor a support plan for your needs and circumstances.

“Support measures could include deferral of some payments, quicker access to GST refunds, and options to enter low interest payment plans for existing or future tax debts.

"We understand this is a time of significant uncertainty and that we will need to be flexible in how we help businesses," he said.

Options available to assist businesses impacted by COVID-19 include:

  • Deferring by up to four months the payment date of amounts due through the business activity statement (including PAYG instalments), income tax assessments, fringe benefits tax assessments and excise.
  • Allow businesses on a quarterly reporting cycle to opt into monthly GST reporting in order to get quicker access to GST refunds they may be entitled to.
  • Allowing businesses to vary Pay As You Go (PAYG) instalment amounts to zero for the April 2020 quarter. Businesses that vary their PAYG instalment to zero can also claim a refund for any instalments made for the September 2019 and December 2019 quarters.
  • Remitting any interest and penalties, incurred on or after 23 January 2020, that have been applied to tax liabilities.
  • Working with affected businesses to help them pay their existing and ongoing tax liabilities by allowing them to enter into low interest payment plans.

Employers will still need to meet their ongoing super guarantee obligations for their employees, Mr Jordan said.

"To make it easier for people to apply for relief we will be increasing our presence in the areas of highest impact," Mr Jordan said.

"A temporary shopfront with staff specialising in assisting small business will be established in Cairns within the next few weeks. In addition, we will consider ways to enhance our presence in other significantly affected regions, making it easier for people to apply for relief. Additional temporary shopfronts and face-to-face options are currently under consideration.

"We will also continue to work with the tax profession, other government agencies and local organisations to make sure other impacted communities are also supported during this time. We will ensure our services are tailored to the needs of the community and will work with taxpayers and their tax agents to tailor support to their individual circumstances," Mr Jordan said.

"Outside of business, the ATO will also work with individuals experiencing financial hardship, and their tax agents, and will apply appropriate tax relief measures for serious and exceptional circumstances, such as where people cannot pay for food or accommodation.

"Unlike the bushfire relief measures, which applied automatically to particular geographic areas, assistance measures for those impacted by COVID-19 will not be automatically implemented.

Anyone impacted by COVID-19 can contact the ATO to request assistance on the Emergency Support Infoline 1800 806 218, when they are ready, to discuss their situation.

www.ato.gov.au

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