Business News Releases

Support for closing GST loophole continues to grow

THE Australian Retailers Association (ARA) has welcomed support from federal and state politicians and the Australian Chamber of Commerce and Industry (ACCI) in regards to closing the low value GST loophole once and for all.

In a bid to protect retail jobs, new Assistant Treasurer Josh Frydenberg has backed a review of the GST loophole that allows for goods under $1000 purchased from online retailers to be exempt from the goods and services tax, saying retailers were operating “with one hand tied behind their backs.”

Along with Assistant Treasurer Frydenberg’s support, the ARA is working with ACCI, of which the ARA is one of the largest and also one of the original founding members.

ARA Executive Director Russell Zimmerman said there has been many road blocks in achieving tax equality for retailers, the latest being the West Australia Government playing politics to get a bigger slice of the GST pie.

“It is time for all business, governments and consumers to fix this problem which loses state governments legitimate revenue for schools, hospitals and police along with costing thousands of retail jobs in Australia. At this time of year more than ever, we realise how important retail jobs are to the Australian economy - retail provides more jobs than any other sector in the economy, employing more than 10 per cent of the workforce.

“The GST loophole has done nothing but damage our retail sector. Retailers have been forced to play on an uneven playing field for too long as the current system is does not reflect the realities of today’s marketplace.

“The ARA is relieved to see Mr Frydenberg’s support and will be working with him and the Abbott government moving forward,” Mr Zimmerman said.

ACCI has also called for a major rethink of the GST-free threshold. The Chamber supports inclusion of the issue in the upcoming tax white paper process and would like to see the threshold lowered or abolished.

John Osborn, ACCI Director of Economics & Industry Policy, said “lowering the threshold is a case of tax equity and fairness. It’s not a case of online versus bricks and mortar retailers or a tax grab.”

Kate Carnell AO, ACCI CEO, said “a significant proportion of lower value parcels come from a small number of large foreign companies that could easily collect and remit GST to the Australian government.”

Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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AFP chairman Emmanuel Hoog expresses horror at attack on Charlie Hebdo

AFP chairman Emmanuel Hoog and global news director Michèle Léridon expressed their ‘horror’ and ‘indignation’ over this ‘attack of unprecedented violence on the French press’ in the reaction ot the attack on the offices of satirical magazine, Charlie Hebdo.

They also expressed their ‘greatest solidarity and support for their colleagues at Charlie Hebdo who have been so cruelly attacked.’

About AFP

AFP is a global news agency delivering fast, accurate, in-depth coverage of the events shaping our world from conflicts to politics, sports, entertainment and the latest breakthroughs in health, science and technology. With 2,260 staff spread across almost every country, AFP covers the world 24 hours a day in six languages.

AFP delivers the news in video, text, photos, multimedia and graphics to a wide range of customers including newspapers and magazines, radio and TV channels, web sites and portals, mobile operators, corporate clients as well as public institutions.

www.afp.com

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Roger Federer feeds dolphins in Brisbane

BRISBANE - Tennis great Roger Federer returns to Brisbane, Australia to revisit the form and the feeling that led to one of his best years ever.

The world number two and 17 times Grand Slam champion began last season at the Brisbane International and went on to win 73 matches around the world... more than any other ATP player.

Federer took out five tournaments and was only narrowly beaten at Wimbledon.

Now he's back to do even better, starting his year for the second time in what he calls the laid back atmosphere of Queensland.

Federer is already relaxing in the Sunshine State, and will feed wild bottlenose dolphins at Tangalooma Island Resort on Moreton Island just off Brisbane.

The hand feeding of the wild dolphins at sunset has been a feature of the resort for over three decades, and an international attraction.

Federer first came to Queensland with his parents 19 years ago and says it is the ideal destination to launch his 2015 campaign.

He's arriving in top form for the Brisbane International from the 4th to the 11th of January...and would no doubt relish another chance to take on local hero and last year's winner Lleyton Hewitt.

Federer is top seed for the men's singles and Maria Sharapova leads the top flight field in the women's singles.

www.tourismeventsqueensland.com

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Retailers welcome Queensland election certainty

THE Australian Retailers Association today welcomed the certainty of a Queensland state election on Saturday 31 January 2015 as opposed to months of potential instability and speculation.

ARA Executive Director Russell Zimmerman said the Queensland Government has done the right thing by business with the certainty of an election date which should assist consumer confidence and the wider retail sector for the remainder of the year.

ARA Queensland board member Ralph Edwards said Queenslanders wanted to see strong plans in place to boost the economy and sustain retail investment, consumer confidence and spending.

“It is important to get a strong plan in place which will pay off debt but also keep taxes, costs and business inputs low while maintaining effective services and infrastructure investment.

“As a Queenslander who runs retail businesses in Queensland, I am aware of the three areas Queensland retailers need certainty with - a strong majority government, lower business costs and a strong plan for infrastructure and services.

“The ARA would support strong pro-business policies and will fight on behalf of small, medium and large Queensland retailers throughout the election campaign,” Mr Edwards said.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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Victorian shoppers to spend big bucks on Boxing Day

PRE-CHRISTMAS shopping may be wrapping up tonight but retailers are preparing for another day of mammoth sales on December 26 with $2.072 billion expected to be spent on Boxing Day alone, representing a year on year increase of $72 million.

Despite New South Wales (NSW) being tipped to experience the highest levels of growth in post-Christmas sales between Boxing Day and 15 January 2015 (4.2 percent), Victorians are predicted to spend more than any other state on Boxing Day itself.

Victorians are tipped to spend at least $682 million on Boxing Day – out-shopping all of the other states including NSW ($584 million) and Queensland ($374 million).

ARA Executive Director Russell Zimmerman said it was obvious that ludicrous regulations to trading hours in some states, including NSW, have had a major impact on these projected Boxing Day sales figures.

“NSW is Australia’s most populous state, and yet Victoria easily takes the cake when it comes to expected Boxing Day sales. This equals a $98 million loss of trade to NSW retailers, with absurd and outdated trading restrictions largely to blame.

“The ARA is extremely concerned that retailers in some states across Australia are disadvantaged by restrictive reading hours that prevent them from opening their stores on Boxing Day.

“Consumers can buy online 24/7 but many bricks and mortar stores are still unable to open on, what is for many, the largest trading day of the year. We urge the government to review these restrictions as soon as possible.

“On a more positive note, those retailers that are preparing to open on Boxing Day are feeling very confident. If sales continue like they have over the past few days, the ARA and Roy Morgan Research predicated post-Christmas figure of $16.1 billion will certainly be exceeded,” Mr Zimmerman said.

Australian shoppers (aged 14 and older) are tipped to spend an average of $850 each from Boxing Day through to 15 January 2015, representing year on year growth of 3.6 percent.

ARA predicted Boxing Day spend (broken down by state):

2014 predicted spend

 

 $        584,830,927

NSW

 $        682,838,897

VIC

 $        374,767,893

QLD

 $        194,085,804

WA

 $        112,055,064

SA

 $          50,505,201

TAS

 $          25,413,445

NT

 $          47,717,228

ACT

 $    2,072,214,459

TOTAL

 
ARA/Roy Morgan Research figures – post-Christmas retail sales: 

 Category

2013 Post Xmas
Actual results

Post Xmas Prediction 2014

Predicted
Growth

FOOD

6404

6636

3.6%

HH GOODS

2571

2673

4.0%

APPAREL

1204

1200

-0.3%

DEPARTMENT STORES

1044

1047

0.3%

OTHER

2163

2245

3.8%

HOSPITALITY

2161

2306

6.7%

NATIONAL

15547

16107

3.6%

 

State

2013 Post Xmas Actual results

Post Xmas Prediction 2014

Predicted Growth

NSW

4835

5040

4.2%

VIC

3847

4001

4.0%

QLD

3242

3345

3.2%

WA

1845

1887

2.3%

SA

1012

1047

3.4%

TAS

311

323

3.9%

NT

172

177

3.2%

ACT

283

286

1.2%

NATIONAL

15547

16107

3.6%

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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Bumper Boxing Day sales exceed expectations

THE Australian Retailers Association (ARA) thanks shoppers for their patience in what were bumper Boxing Day sales yesterday, with more than $2.072 billion expected to have gone through retail tills across Australia (year on year increase of at least $72 million).

ARA Executive Director Russell Zimmerman said retailers saw unprecedented crowds yesterday with many stores forced to restrict entrance due to the sheer number of people already in store.

“Shoppers remained patient and understanding as they hit retail stores yesterday. Many shoppers spent hours trying to find a car park as well as waiting in lines – lining up to get into the store and lining up to make their purchases.

“Even with online shopping the new norm, shopping in-store on Boxing Day remains an Aussie tradition - we seem to get real a kick out of organised chaos. While consumers can now purchase almost anything from the comfort of their own living rooms, online shopping can never fully replace the five-sense experience that comes with being amongst the craziness and excitement at the local mall on Boxing Day.

“The ARA would like to acknowledge the dedication and hard work of all retail employees throughout the Christmas period, but particularly on what was undeniably a large Boxing Day. Rather than spending time with family and friends, retail staff are at the coal face trying to make the shopping journey as seamless as possible.

“If sales continue like those we saw yesterday throughout the post-Christmas period, the ARA and Roy Morgan Research predicated post-Christmas figure of $16.1 billion will certainly be exceeded,” Mr Zimmerman said.

Australian shoppers (aged 14 and older) are tipped to spend an average of $850 each from Boxing Day through to 15 January 2015, representing year on year growth of 3.6 percent.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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Small Business Helpline hits 150,000 in just one year

THE Fair Work Ombudsman’s Small Business helpline has received more than 150,000 calls since it was established in December last year.

The priority service was created following a Coalition election commitment to provide quick and reliable information to small business operators around Australia.

Minister for Employment, Senator Eric Abetz said it was essential that small business operators had access to reliable workplace relations advice.

"With more than 150,000 calls in a year, the Small Business Helpline is assisting thousands of hardworking small business operators,” Minister Abetz said.

Minister for Small Business Bruce Billson MP said he regularly spoke with small business operators who were after information to assist them in their daily operations.

"Small business operators want to do the right thing and that’s why it’s so important we give them the right tools to help them, such as this priority helpline,” Minister Billson said.

Small business operators mainly called for assistance and information on wages, modern awards and conditions of employment under the Fair Work Act.

Small business operators can call the dedicated Small Business Helpline on 13 13 94.

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Low value GST loophole to finally be addressed in 2015

THE Australian Retailers Association (ARA) congratulates the Federal Government today on its decision to review the low value GST loophole as part of its tax white paper process in the New Year.

In a bid to protect retail jobs, the review has been backed by new Assistant Treasurer Josh Frydenberg who declared that retailers were operating ‘with one hand tied behind their backs’ due to the GST loophole that allows for goods under $1000 purchased from online retailers to be exempt from the goods and services tax.

ARA Executive Director Russell Zimmerman said Mr Frydenberg’s comments couldn’t be more accurate.

“At this time of year, more than ever, we realise how important retail jobs are to the Australian economy. You’ll only have to go near a shopping centre today – Boxing Day – to understand the importance of supporting employment in the retail industry.

“The LVIT loophole is costing thousands of retail jobs in Australia – a further 33, 000 jobs will be lost in 2015 in the discretionary retail sector, having already lost 80,000 jobs since 2007.

“At the end of the day this GST loophole has done nothing but damage our retail sector. Retailers have been forced to play on an uneven playing field for too long as the current system is does not reflect the realities of today’s marketplace.

“The ARA is therefore relieved to see Mr Frydenberg pushing for the issue to be addressed as soon as possible and we look forward to seeing what positive effects the closing of this loophole could have on local retailers in 2015,” Mr Zimmerman said.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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$2.072 billion to go through retail tills on Boxing Day

WITH only two days left before Christmas, retailers can expect stampedes of last minute shoppers to hit stores across Australia today and tomorrow – bringing the pre-Christmas shopping period to an end which has seen $45 billion spent since mid-November.

The Australian Retailers Association (ARA) has also released its projected figure for retail sales on Boxing Day, with a whopping $2.072 billion expected to be spent on 26 December alone – a year on year increase of $72 million.

ARA Executive Director Russell Zimmerman said if Boxing Day 2013 was anything to go by, retailers are in for another successful day of sales this Friday.

“Boxing Day 2013 saw unprecedented crowds, with many stores forced to restrict entrance due to the sheer number of people already in store. Many shoppers spent hours waiting in lines – lining up to get into the store as well as lining up to make their purchases.

“While retail staff do a fantastic job of preparing for their Boxing Day sales, the ARA does encourage shoppers to remain patient and understanding if they plan to hit the shops this Friday.

“Overall, the fact that Boxing Day sales are set to increase by $72 million this year is a fantastic sign for the retail industry. The ARA does have remaining concerns, however, that some retailers in some states across Australia are disadvantaged by restrictive reading hours that prevent them from opening their stores on Boxing Day. We urge the government to review these restrictions as soon as possible,” Mr Zimmerman said.

Looking ahead to the post-Christmas shopping period as a whole (from 26 December to 15 January 2015), Australian shoppers aged 14 and older are tipped to spend an average of $850 each, representing a total of $16.1 billion in post-Christmas retail sales.

  • PRE-XMAS: Shoppers expected to spend $45 billion from 15 November – 24 December ($2,370 per person and year on year increase of 4.3%)
     
  • POST-XMAS: Shoppers expected to spend $16.1 billion from 26 December -15 January ($850 per person and year on year increase of 3.6%)
     
  • BOXING DAY: Shoppers expected to spend $2.072 billion on Boxing Day (an increase of $72 million year on year)

Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041

 

VECCI response to Back to Work Act introduction to parliament

VECCI Chief Executive Mark Stone said VECCI welcomes the State Government’s introduction of the Back to Work Act to parliament and the priority the new government is placing on job creation.

"The fact this important piece of legislation has been introduced on the first parliamentary sitting day in the new term is a positive sign of the government’s focus on reducing business costs and stimulating employment," Mr Stone said.

"The Act will establish a $100 million fund to give payroll tax relief to businesses hiring unemployed youth, the long-term unemployed and retrenched workers into full time work. Employers will be eligible for a payroll tax rebate of up to $1,000 per employee to subsidise the cost of training, uniforms, transport and tools. 

"VECCI looks forward to working with the State Government to ensure all aspects of the Back to Work strategy, which includes the Premier’s Jobs and Investment Panel, Future Industries Fund, Regional Jobs Fund and Work with the World plan, are implemented as a priority and capitalised on to create productive and sustainable jobs."

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The Victorian Employers' Chamber of Commerce and Industry (VECCI) is the most influential body for employers in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

vecci.org.au  

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Aussie shoppers tipped to spend $850 each from Boxing Day to mid January

AUSTRALIAN shoppers (aged 14 and older) are tipped to spend an average of $850 each from Boxing Day through to 15 January 2015, representing a total of $16.1 billion in post-Christmas retail sales.

New research released by the Australian Retailers Association (ARA) and Roy Morgan revealed the figure of $16.1 billion represents an estimated year on year growth of 3.6 percent.

ARA Executive Director Russell Zimmerman said with only one weekend left before Christmas, shoppers are expected to flock to their local shopping precincts this Saturday and Sunday as well as early next week to purchase last-minute gifts.

“While plenty of Australians will complete their Christmas shopping for loved ones this weekend or early next week, many will hit the shops again come Boxing Day in hope of bagging a bargain or two for themselves.

“The post-Christmas shopping period is as equally as crucial as pre-Christmas preparations, and we congratulate those retailers who are working hard to prepare their stores, websites and staff for a chaotic (and hopefully successful) sales period from December 26.

“The festive sales period doesn’t just continue in the stores; there are also many shoppers who will be enjoying the sales from their living rooms. Some retailers are expected to start their Boxing Day sales as early as Christmas Eve this year.

 “This year, the hospitality sector shows the highest level of predicted growth at 6.7 percent. This is to be expected with most people on holiday from late December and looking to go out and socialise with friends. New Years Eve celebrations also provide a major boost to the hospitality sector.

“Household goods are also set to experience a small but significant jump in post-Christmas sales, indicating that gift buying will be replaced by shoppers making the most of Boxing Day sales and splurging on household items for themselves. 

“It’s fantastic to see that all states and territories are predicted to experience positive growth post-Christmas, ranging from 1.2 percent (ACT) to 4.2 percent (NSW). After what has been a tough year in business, the ARA is hopeful this positive trend will continue into 2015,” Mr Zimmerman said. 

Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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