Everyone has probably now heard the new tax incentive announced by Bill Shorten, offering a $20,000 tax incentive to companies with turnover of less than $2million annually.
Sounds good until you delve deeper into this.
1. This is only applicable to companies that increase staff number, not if they are replacing staff, so the business still needs to create a new position
2. Only offset at year end as long as company is making a taxable profit sufficient to offset this full amount.
3. New employees elso need to be unemployed workers aged under 25 or over 55, or parents or carers returning to work after more than six months away
This simply brings us back to the point every business owner is discussing. Where are the new jobs and growth coming from?
This is not a political statement, simply an opinion that this is another idea which may sound good on paper, but will not help to grow the economy