State and Territory Governments have released a range of economic stimulus measures to support business. Chief Economist Shane Garrett gives us an overview of what’s been announced so far.
New South Wales
- Payroll tax-free threshold increased from $900,000 to $1 million from 1 July 2020.
- Payroll tax waiver until 30 June 2020 for businesses with payroll tax under $10 million.
- Businesses with payroll tax over $10 million can defer payments for six months.
- Small businesses with a commercial tenancy in Government-owned properties can defer rent for six months.
- $80 million to waive a range of fees and charges for small businesses, including tradies.
- Bringing forward over $250 million in asset maintenance and $500 million worth of capital works and maintenance .
Victoria
- Payroll tax for 2019-20 waived and first quarter of 2020-21 deferred for businesses with an annual payroll below $3 million.
- Small businesses with commercial, industrial or vacant property and total taxable landholdings below $1 million can defer 2020 land tax payment until 1 January 2021.
- Commercial tenants in Victorian Government buildings can apply for rent relief.
- $10,000 grants for small business employers (payroll up to $650,000) in industries subject to closure or highly impacted by shutdown restrictions.
- $500 million Working Victoria Fund to help workers who have lost their jobs and take up opportunities elsewhere.
Queensland
- Two month payroll tax refund and deferral of remaining payroll tax for 2020 for all businesses. Businesses with a payroll below $6.5 million will also get a three month payroll holiday.
- Financial workshops for small businesses.
- $500 rebate on power bills businesses that consume less than 100,000 kilowatt hours.
- 2.5% fixed interest rate loans of up to $250,000 to support businesses cover expenses such as wages, rent and rates. Loans will have a term of 10 years, with no repayments or interest charged for the first year.
- Six month relief for businesses renting government premises.
- $500 million to help workers who have lost their jobs to find employment in other industries.
South Australia
- Six month payroll tax waiver for businesses with payroll up to $4 million. Businesses with payroll above $4 million may be able to defer payments.
- Businesses paying land tax can defer payments for up to six months.
- Expanded funding for the Economic and Business Growth Fund.
- Infrastructure maintenance program for roads and hospitals.
Western Australia
- Increasing the payroll tax-free threshold to $1 million from 1 July 2020.
- Grants of $17,500 to small businesses with payroll between $1 million and $4 million
- Payroll tax waived for four months for businesses with annual wages below $7.5 million
- Rent for small businesses in Government owned buildings waived for six months.
- $2,500 credit on electricity bills for small businesses that consume less than 50 megawatts per annum. Allocated from 1 May.
- Businesses can apply for interest free payment arrangements for a range of state taxes and duties.
- Registration and license fees waived for 12 months for a number of occupations, including builders, building surveyors, plumbers, painters and electricians.
- First Home Owner Grant increased from $10,000 to $40,000 for those building or buying new homes to 30 September 2020.
- Expanding social housing program and community housing to create jobs and underpin small construction businesses.
- Incentives for property investors to undertake renovations to rental properties, e.g. energy efficiency.
- Fast tracking building and planning approvals.
- WA Government payment times to small businesses reduced from 30 days to 14 days.
- Bringing forward funding for approved infrastructure projects.
Tasmania
- Small businesses with payroll up to $5 million affected by coronavirus can apply for their payroll tax obligations to be waived for April to June 2020
- Payroll tax rebate for one year to businesses that employ a young person aged 24 or under between April and December 2020.
- $5,000 grants for businesses that hire apprentices and trainees.
- Tasmanian Government payment times reduced from 30 days to 14 days.
- $50 million to fast track maintenance of public buildings over the next 12 months.
- Interest free (for three years) loans of $20,000 to $250,000 for eligible businesses.
- $750 business continuity grants to help small businesses get qualified business advice.
Northern Territory
- Payroll tax exemption on new employees until 30 June 2021.
- Grants to undertake building improvements (up to $6,000 for households, $20,000 for businesses, and $100,000 to community organisations/not for profits).
- Fast tracking government infrastructure projects.
Australian Capital Territory
- Businesses with a payroll up to $10 million can defer their 2020-21 payroll tax payments until 1 July 2022.
- Prioritised processing of development applications.
- Rebate on fixed charges for 2019-20 commercial rates for small businesses with AUV below $2 million.
- $750 rebate for small business owners with annual energy usage below 100 megawatts, automatically deducted from your next electricity bill.
- $20 million for infrastructure and maintenance of schools, roads and public transport.