THE STATUS of Australian aquaculture and opportunities for its expansion will be discussed at an upcoming public hearing by the House Agriculture and Water Resources Committee.

The Committee will speak to the Fisheries Research and Development Corporation (FRDC) this Thursday as part of its inquiry into the Australian aquaculture sector. Witnesses will appear in person.

The FRDC is a national statutory authority responsible for funding and coordinating fisheries and aquaculture research, development, and extension activities in Australia.

Committee Chair, Rick Wilson MP, said, "For over 30 years, the FRDC has provided strategic leadership to the aquaculture sector, helping both government and industry to direct investment. Their work ensures that research priorities are identified and that subsequent findings are accessible to stakeholders.

"The FRDC’s submission to the inquiry was detailed and wide-ranging and the committee looks forward to discussing the many opportunities for growth, as well as solutions to current barriers, within the aquaculture sector," Mr Wilson said.        

For further information, visit the inquiry website.

Public hearing details

Date: Thursday, 24 June 2021
Time: 10.10am to 10.45am AEST

A live audio stream of the hearing will be accessible at: www.aph.gov.au/live

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THE Joint Standing Committee on Treaties will today hear from the Australian Chamber of Commerce and Industry (the Chamber) as part of the Committee’s inquiry into the Regional Comprehensive Economic Partnership Agreement (RCEP).

RCEP is a regional free trade agreement between Australia and the countries of ASEAN, China, Japan, the Republic of Korea and New Zealand.

Committee chair Dave Sharma MP said, "This hearing gives the committee an opportunity to explore the impact of RCEP on Australian business. The Chamber has told the committee that it believes that the value of RCEP for Australia is in strategically redirecting trade and economic ties towards regional relationships within the Asia-Pacific."

The committee will also discuss the Chamber’s concerns about the overlap between trade agreements, rule of origin arrangements, and the lack of independent economic analysis of RCEP’s impacts.

The committee anticipates conducting further hearings on RCEP in other parts of the country. Public hearing programs will be made available of the committee’s website.

Public hearing details

Date: Monday 21 June 2021
Time: 11.10am – 11.55am AEST
Location: Committee Room 2R1, Parliament House

Access to the public hearing is restricted as a pandemic control measure. The hearing can be accessed online.

Further information on the inquiry can be found on the inquiry website.

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CPA AUSTRALIA’s top tip for small businesses is to ask their tax adviser if they’re eligible for any COVID-related tax incentives and deductions this tax time.

CPA Australia senior manager for tax policy, Elinor Kasapidis said, "Ninety-five percent of small businesses seek professional advice with their taxes. This year it’s even more important to ask the right questions and provide relevant information to help your adviser determine if you’re eligible for any COVID-related tax incentives and deductions.

“Around 98 percent of businesses in Australia are small businesses. Together they employ over 40 percent of the entire Australian workforce. Their importance to our economy cannot be understated.

"Small businesses did it tough over the past 12 months, with many still struggling. Every dollar of tax saved can help them recover and grow. Making sure businesses claim everything they’re entitled to is important.”

The 2020-21 tax year is the first full year of operating in a COVID-environment. There are multiple tax deductions and incentives small businesses owners need to be aware of.

“Small businesses which need to buy assets should take maximum advantage of depreciation incentives introduced as part of COVID-19 economic stimulus. However, the benefit will depend on your circumstances, so ask your tax agent for advice before making major purchases.”

COVID-19 has left many businesses experiencing cash flow difficulties or financial distress. Some small businesses may have a higher than usual number of bad debts on their books this income year.

“Businesses can claim a deduction for bad debts if there is little or no likelihood of the debt being recovered, but proceed with caution. Debts that have been forgiven can’t be claimed.

“The temporary loss carry-back is also available for companies that made a loss this year. This allows businesses to get a refund for previous years’ tax paid instead of carrying the loss forward.

“If your business is in financial difficulty, or you have complex tax matters like debt refinancing and restructuring, it’s critical to get proper tax and accounting advice as early as possible.”

Some small businesses experienced significant fluctuations in their inventory levels and value due to COVID-19.

“Ask your accountant whether a different trading stock valuation method for tax purposes may be more effective,” Ms Kasapidis said.

Many businesses received COVID-19-related government supports or grants during the income year.

“Unless there is a specific exception, government payments designed to assist businesses continue operating, such as JobKeeper, need to be included in assessable income.”

The tax rate for companies with an annual turnover of less than $50 million has been reduced from 27.5 to 26 percent for the 2020-21 income year.

However, companies that earn 80 percent or more of their income from passive investments such as rental income or interest income will continue to pay the full company tax rate of 30 percent.

Many businesses reduced their tax instalments during 2020-21. “If you reduced your instalments and your business did better than expected, be prepared for a tax bill when you lodge your return.”

The ATO is cracking down on incorrect expense deductions and unreported cash transactions in 2020-21 tax returns. “Business owners are increasingly being contacted regarding their income and expense claims.”

“It’s legal to accept payment in cash, but you must keep accurate records of these transactions. The ATO’s data capabilities are vast and growing, and so is their ability to join the dots when it comes to expenses claims and cash transactions.”

There are also rules around the private use of business assets and funds. “If you took money out of your businesses, for example, to pay school fees, you need to account for it as a fringe benefit, salary, dividend, loan or repayment. Each of these has tax implications and getting it wrong can be costly.”

CPA Australia tax tips for small businesses.

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THE FINANCIAL progress of Australian women appears back on track thanks to a female-led job’s recovery from the coronavirus pandemic but there is still a lot of catch-up to be done when it comes to achieving gender equality, the latest Financy Women's Index March quarter report shows.

Unlike past economic downturns, Australian women are helping to drive a recovery from the coronavirus pandemic with workforce participation at record highs and the fastest rate of improvement in over 40 years in the number of monthly hours worked by any gender in the March quarter.

The Financy Women’s Index rose by 0.7 points to a revised 71.6 points in the March quarter, and is up 1.8 points on March 2020 – the best start to a calendar year since 2018.

Women’s Index founder Bianca Hartge-Hazelman has welcomed the result with cautious optimism.

“It’s fantastic to see that female employment is bouncing back in many of the sectors hardest hit by the pandemic shutdowns,” she said.

“However when we look at what this means for gender equality in employment, the rebound shaved four years off the now 30 year timeframe for achieving that. While it’s a step in the right direction, it’s actually reflective of the slowest pace of annual progress since 2018."

The March quarter result has been driven by new data updates across the three sub-index areas: employment, underemployment and leadership. The Index also captures the latest available data updates on the gender gaps in pay, superannuation, unpaid work and fields of education linked to career earnings.

Employment data shows a record increase in female workforce participation, as well as improvement in the underemployment rate gender gap and a fresh high in women holding ASX 200 board directorships.

The combined result suggests that women are experiencing a somewhat faster employment recovery from the jobs fallout caused by the Coronavirus pandemic than men, helped by a significant rebound in the sectors hardest hit such as the female-dominated Retail Trade and Accommodation and Food Services.

Deloitte Access Economics partner, Simone Cheung, said sectors with high female representation such as Health and Social Services have also grown significantly over the pandemic. On the other hand, male-dominated industries such as construction have seen a drop in employment.

“The question remains: is this women-led recovery in jobs a correction, or is it a sign of things to come? We will have to wait and see,” she said.

“What we do next will be critical, and will determine whether this momentum is maintained, or whether things reverts to the pre-COVID norm.”

The Index also found that younger women and those in the most common age group for entering parenthood are yet to see a full recovery in the full-time employment numbers. It is a trend we are also seeing among younger men.

AMP Capital chief economist, Shane Oliver said while “it’s excellent news to see the Financy Women’s Index resume its rising trend in the March quarter, in most areas we remain many years and in some cases decades away from achieving gender financial equality".

The timeframe for achieving total gender equality stands at 101 years, based on the worst performing sub-index (unpaid work) of the Women’s Index.

In terms of other sub-indexes and achieving gender equality in those areas, the Women’s Index estimates it will now take 30 years to achieve equality employment, down from 34 years in March 2020.

The timeframe to achieving gender equality in underemployment remains around 17 years and it is likely to take seven years of sustained progress for complete gender diversity to be achieved on ASX 200 boards.

The gender gap in unpaid work seemed to worsen through the pandemic; however the crisis has also showed a way forward to help address this problem in a way that is beneficial for both males and females and at the same time good for productivity.

“The pandemic has showed that it’s possible to work from home in a more flexible way without negatively impacting productivity,” Dr Oliver said.

“And more working from home should further help boost female workforce participation thereby reducing their unpaid work.  At the same time, more men working from home should allow them to more fairly share in household and parental chores.

“The key is to encourage and facilitate the work from home phenomenon so that its benefits can be nurtured rather than just go back to business as usual once the pandemic is behind us,” Mr Oliver said.

About the Financy Women’s Index

The Financy Women’s Index measures and tracks the financial progress of Australian women and timeframe to gender equality on a quarterly basis. The Index is supported by Deloitte and Deloitte Access Economics, which provides economic modelling to assist with the development and creation of the Index and reports. This Financy Women’s Index is made possible with the support of Deloitte, the Ecstra Foundation and equality believer Connie Mckeage. The report is peer reviewed by the Women’s Index Advisory Board; Dr Shane Oliver, Simon Cheung, Roger Wilkins, Danielle Wood, Joanne Masters and Bruce Hockman. Index data is also reviewed where possible by the Australian Bureau of Statistics. Financy provides gendered-data insights, content and creative brand strategy. The Financy Women's Index advocates for financial gender equality through insights and seeks to influence through action.

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