THE Institute of Public Accountants (IPA) is forecasting tomorrow’s Federal Budget to show some tough love in the war against Australia’s cash economy.

“It is believed that billions of dollars of Government revenue is potentially slipping through the cracks due to a cash-fed black economy, so it is only right that Government acts accordingly,” said IPA chief executive officer, Andrew Conway.

“The introduction of ABNs in 2000 was intended to make it more difficult to operate in the cash economy.

“The reality is that the cash economy has continued to grow and new integrity measures are required to curb its continual growth.

“Hard working small business owners are competing against entities that are not paying their share of taxes, creating an uneven playing field.

“The IPA is supportive of additional measures that will address the unfair advantages that some businesses have operating in the cash economy. The Government has put in place a host of measures to deal with multi-national tax avoidance; its intention will now focus on those who choose to operate in the cash economy.

“The Black Economy taskforce has tabled its interim report to Government and we expect some of those recommendations contained in the report to be announced on Budget night.  The taskforce is yet to finalise its final report and work is ongoing,” said Mr Conway.

publicaccountants.org.au

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PAYROLL tax holds small businesses back and Victoria’s cut to regional payroll tax will assist jobs and growth, the Australian Small Business and Family Enterprise Ombudsman, Kate Carnell, said today.

Victorian Treasurer, Tim Pallas, announced the payroll tax cut as part of the Victorian 2017-18 Budget this week.

The rate of payroll tax will be reduced from 4.85% to 3.65% for regional businesses  - the lowest rate in Australia - and the payroll tax-free threshold will increase from $575,000 to $625,000 from 1 July and to $650,000 from 1 July 2018 for all businesses.

Ms Carnell said the Victorian Government’s payroll tax cut was good news for small businesses in that State because the tax was a significant burden on small business.

“This is a big step in the right direction in Victoria, however, the new threshold is still some way below other States, including New South Wales and Queensland,” she said.

Queensland has a payroll tax threshold of $1,100,000 and New South Wales’s is $750,000. The Australian Capital Territory has a payroll tax threshold of $2 million.

Ms Carnell called on other States and Territories to review their payroll tax arrangements to help remove the regulatory and administrative burden on small businesses.

“As I travel around Australia talking to small business owners, payroll tax consistently comes up in conversations as one of the key issues holding back businesses,” she said.

“I call on other state leaders and treasurers to do all they can to reduce the tax burden and create a system that ensures small businesses have every opportunity to expand their enterprise and hire more staff, create sustainable local economies that contribute to the overall strength of the nation’s bottom line.

“Small businesses are the engine room of the economy, employing the majority of Australians. It is vitally important that governments at all levels support their growth and allow them to get on with the business of running their business and employing more people.” 

www.asbfeo.gov.au    

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IT IS TIME to recognise the commitment of those Australians working to protect the environment and delivering more sustainable agriculture.

Assistant Minister to the Deputy Prime Minister, Luke Hartsuyker, today urged all Landcare groups and volunteers to nominate those hard working, passionate people for recognition in the 2017 Landcare awards.

“Landcare is an important part of the Australian Government’s billion dollar plus investment in improving the condition of our natural resources including soil health, and it’s vital we acknowledge those individuals, partnerships and organisations that are carrying out this essential work,” Mr Hartsuyker said.

“Landcare has more than 6000 groups and more than 100 000 volunteers. As we head into National Volunteer Week, these awards are not only a timely reminder to encourage people to get involved in their local community but also an opportunity to acknowledge the many significant environmental and agricultural outcomes being achieved.

“We can’t have a sustainable agricultural industry without looking after its productive base - soil management, weed, pest and disease management, water management and biodiversity.

“Agriculture relies heavily on the health of the natural environment and the Australian Government is proud to acknowledge those dedicated to protecting it for future generations.”

This year there are nine categories in the state and territory Landcare awards including sustainable farming, indigenous land management, young landcarers, coast care and innovation.

The Department of Agriculture and Water Resources will sponsor the Australian Government Individual Landcarer Award, Australian Government Excellence in Sustainable Farm Practices Award, Australian Government Innovation in Agriculture Land Management Award and the Australian Government Partnerships for Landcare Award.

Tessa Jakszewicz, CEO of Landcare Australia, encouraged everyone to get involved and nominate deserving Landcarers.

“Recognising our Landcare champions is vital for sustaining Landcare and its future,” Ms Jakszewicz said.

“The awards are a mechanism to celebrate all that the Landcare community do and can learn from each other.

“Importantly it provides an opportunity to showcase the accomplishments of individuals and groups, enables us to share knowledge, and serves as an inspiration for the next generation of Landcarers.”​

All winners at the state and territory level will go on to be finalists at the 2018 National Landcare Awards.

Anyone interested in finding out more or submitting a nomination can visit https://e-award.com.au/2017/landcareawards/newentry/about.php​.

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THE Australian Retailers Association (ARA) will strongly oppose any application from the SDA (Shop, Distributive & Allied Employees Association) for judicial review of the Sunday penalty rates decision, as this verdict was one of the most progressive decisions the Australian retail industry has seen in a number of years.

ARA Executive Director, Russell Zimmerman said the Sunday penalty rates decision was initially passed by the Fair Work Commission (FWC) as the evidence presented conclusively proved a reduction in penalty rates would increase employment rates across Australia and sustain economic growth.

“The Commission found that a reduction in Sunday penalty rates will allow retailers to extend trading hours, giving staff more hours to work and increase employment across the board,” Mr Zimmerman said.

The ARA believes the Commission reached an appropriate and balanced decision which will greatly benefit the retail industry.

“Many consumers feel that retail stores are understaffed on Sundays, and now due to the reduced penalty rates retailers can cater to consumer needs by adding more people to the roster, improving their service to consumers and increasing hours for employees.”

The ARA will further challenge any attempt by the SDA to defer the implementation of the Sunday penalty rates decision until the application for judicial review has been determined.

“Retailers are already operating in a tough environment, and any delay to the implementation of the Sunday penalty rates decision will significantly delay the benefits to both employers and employees working in this sector,” Mr Zimmerman said. 

The ARA believes the Commission’s decision will be upheld in the Federal Court as the Union’s judicial review will risk all the benefits for Australian retailers, the unemployed and the overall economy.

“There was a reason Australia established an independent umpire to determine significant employment conditions such as penalty rates,” Mr Zimmerman said.

“The Unions, the Federal Opposition and the Crossbenchers should all respect the integrity of the Commission’s decision as the independent industrial umpire.”

The ARA will be working with its members and legal providers to strongly defend the Sunday penalty rates decision and ensure the changes to Sunday penalty rates are implemented from 1 July 2017.

“Implementing this penalty rate reduction in July is not only critical to the industry, but to everyone working within the sector,” Mr Zimmerman said.

The applications for judicial review will be made after the Fair Work Commission has issued Orders on the transition for the Sunday penalty rate reduction, which the ARA expect will happen in late May 2017.

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $310 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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