A change in government for the first time in nine years, further interest rate increases expected, staffing shortages, supply chain issues and rising business costs – our fourth Federal Budget in two years will need to deliver for Australian businesses, and particularly small to medium-sized enterprises (SMEs).

Opportunities for growth, investment and trade are critical to everyone’s success, so SW Accountants & Advisors has partnered with Small Business Australia (SBA) to get to the heart of what business is looking for from the Budget, come Tuesday 25 October 2022.

As the Federal Budget approaches, we invite you to:

• have your say by taking our short survey – tell us what you need from the Budget and/or pass it on to small businesses in your network
• register for our Federal Budget Webinar – hear insights from ANZ, Small Business Australia and SW industry experts.

Take the survey! Receive a $250 Small Business Australia voucher

Take this short 2-3min survey from SW and SBA and tell us what you need from the budget in order to Look forward and Open doors. You’ll help us build a robust and current view of Australian small business.

PLUS you’ll receive a $250 SBA voucher to put towards business coaching, training opportunities or Business Advantage services. Survey closes Wednesday 19 October at 6pm.   

Budget Breakfast Webinar – 26 Oct | 9.30am AEDT

Join us as we digest the details of the 2022 Federal Budget at an informative webinar with an interactive Q&A session.

Our host, Matt Birrell will be joined by guests ANZ Senior Economist, Catherine Birch, and Bill Lang, Director at Small Business Australia as well as our SW industry experts to breakdown the key details of the FY23 Federal Budget.

Online Registration details

Date         Wednesday 26 October 2022

Time         9.30am – 11am (AEDT) 

Expert speakers

Follow us on social media to receive the latest updates on Federal Budget and other important industry news.

The post Federal Budget FY23 Business Survey & Webinar appeared first on SW Accountants & Advisors.

Key takeaways

• Although there are no key tax measures introduced, direct property taxes will continue to be the source of over 50% of new revenue for the Victorian Government due to increased transaction volume and rising land values (although this is expected to be tampered by forecasted interest rate rises).
• A new Victorian Future Fund will be established to manage the fiscal impact of COVID 19. It will initially be funded from the VicRoads Modernisation joint venture and is expected to have a balance of around $10bn. Investment returns from the Fund is to be quarantined and returned to the Fund to help offset the current debt and return the Budget to surplus by 2025-2026.
• There is a clear focus in this Budget to repair the health system. Included in the Budget is more than $12bn of health-related expenditure including the training and hiring of additional healthcare workers and paramedic staff, funding for Ambulance Victoria to meet growing demand for services and investment to cut surgery waiting lists.
• The two-year Sick Pay Guarantee pilot program will receive $246m in funding to assist provision of a payment of up to five days of sick or carer’s pay at the national minimum wage for insecure work (casual employees).
• $250m provided for a one off $250 Power Saving Bonus to all Victorian households using the Victorian Energy Compare website to locate the cheapest electricity deal. The scheme will run from 1 July 2022 to 30 June 2023.
• A commitment of $111m to support Victoria’s tourism and major events.
• The Victorian Government has allocated $1.8bn to the school building project and plans to continue upgrading schools until it achieves its intended target of 100 new schooling facilities by 2026. The program includes upgrades to 65 schools including 36 special schools, building 13 new schools, additional stages at four more schools, and expanding capacity at two schools to meet enrolment demand.
• The Victorian Government also plans to invest $5bn in early three-year-old childhood education by increasing universal educational access for disadvantaged families as well as providing support to individuals from diverse backgrounds and $131m to assist students from rural areas to access four-year-old early childhood services.

For full overview of the infrastructure measures see our breakdown here.

Victorian Industry Fund to support Victorian Businesses

The Government has introduced a $120m fund to support the advancement of domestic manufacturing and other high priority sectors. Some of the initiatives to be supported by this Fund include:

• $40m to provide grants to support rapidly growing businesses
• $40m of targeted financial incentives to attract investment into Victorian businesses
• $20m for an equity investment pilot fund to attract highly innovative companies particularly in areas such as medical technology
• $7m low-carbon manufacturing grant program to help Victorian manufacturers to compete globally in the renewable energy space
• $4.5m for 300 digital jobs for manufacturing internships to help train Victorian workers in this industry. 

Significant Tax Measures

No significant new tax measures were announced in the 2022/23 Budget although there were minor amendments in relation to:

• Equalisation of gambling tax rates for electronic gaming machine operators

• Exemption from motor vehicle duty for wheelchair accessible commercial passenger vehicles that provide unbooked services.

However, as noted above, the State Taxes are to be a major source of revenue for the Victorian Government. The table below shows the annual revenue expected from State Taxes over the next 4 years.

Opportunities

The opportunity for businesses may come from the expected economic growth although this is not anticipated to be significant. Business sectors such as Medtech, pharmaceuticals and manufacturing should benefit from the increase in funding.

Did the VIC Budget measure up to expectations?

The Budget fell short of providing the required assistance to boost businesses which are facing significant uncertainties.

The Government’s commitment to repairing Victoria’s health system in needed and welcomed. However, the Government has not sought to increase property taxes to decrease the State’s debt and is instead relying on solid economic growth to repair the budget.

Please reach out to one of our experts below for assistance navigating the implications and opportunities this Budget presents for you, your business and your industry.

Contacts

Abi Chellapen

Daren McDonald

Stephen O’Flynn

The post VIC State Budget 2022/23 appeared first on SW Accountants & Advisors.

Updated: 9 December 2020

The Federal Government is offering manufacturing grants of up to $1M to attract the adaptation of new technologies, modernise manufacturing processes, create jobs and increase productivity in key priority sectors.

Grants are offered on a 1:3 funding basis, with the Federal Government contributing up to 25% of the total project cost. The minimum grant amount for this round is $100,000.

To be eligible, manufacturers must operate within one of the six priority industries:

• Resources technology and critical minerals processing
• Food and beverage
• Medical products
• Recycling and clean energy
• Defence
• Space.

Application process

Grant funding is awarded through a competitive process, with applicants having to submit a comprehensive application prior to the closing date on 21 January 2021.

The application must demonstrate how the funding will improve Australia’s manufacturing capability in the priority sectors, create high-value jobs, and lead to long-term and sustainable business growth.

Who can apply?

• Manufacturers in the key priority sectors are encouraged to apply
• Eligible applicants must be Small to Medium Enterprises with 199 or fewer employees
• Not-for-profits, partnerships, and individuals cannot apply to this round.

Important dates

Applications opened on 4 December 2020 and will be closing at 5pm (AEDT) 21 January 2021.

Please take into account time zone differences when submitting your application.

How can we assist?

The application process is competitive and complex, with limited funds on offer.

ShineWing Australia’s Government Incentives team can assist in project identification, writing comprehensive applications, and liaising with program managers to maximise your chance of funding success.

We had success in Round 1 of this Program so know our way around it!

To learn more and find out how you can seize the opportunity, get in touch with Sam Morris or John Anderson below.

Contacts

The post Grant alert: Manufacturing Modernisation Fund round 2 now open appeared first on SW Accountants & Advisors.

Vacant Residential Land Tax Relief (VRLT)

VRLT is annual tax of 1% of the council capital improved value and it applies to residential land in specified council areas in inner and middle Melbourne that has been vacant for more than 6 months in the previous year.

Due to the travel restrictions arising from the coronavirus pandemic, property inspections are no longer possible which has resulted in a significant rise in vacant properties that would otherwise be occupied. As a result, the government has announced that taxpayers that own vacant residential land will receive a complete waiver of the 2021 VRLT. The waiver applies to properties that are:

• Residential
• Located in inner and middle Melbourne suburbs and
• Vacant for more than six months in 2020.

The waiver of the Vacant Residential Land Tax does not waive a property owner’s ordinary land tax liability.

Payroll tax

Eligible businesses with a payroll of up to $10 million will receive a full deferral for the 2020-21 financial year.

Congestion Levy

Car park owners will receive a 25% waiver of the congestion levy for 2020 and outstanding balances can be deferred until next year.

Stamp duty

50% stamp duty discount brought forward to 1 January 2021 for industrial and commercial property in regional Victoria. The concession applies to acquisitions of land in prescribed local government areas located in regional Victoria. The land must be used for qualifying use (based on land use codes) for a continuous period of at least 12 months commencing within two years from the date of obtaining use to the land.

Business Grants

Small and medium sized business

Eligible businesses with payroll up to $10 million will receive grants of $10,000, $15,000 or $20,000 depending on the size of the business.

Licenced Hospitality Business

Licensed pubs, hotels, bars, clubs, reception centres and restaurants to receive grants between $10,000 and $30,000 dependent upon location and capacity. Further, the Victorian government will waive all liquor licence fees for 2021.

Alpine businesses

Grants up to $20,000 for all Alpine businesses to assist businesses to pay their resort fees.

Business Chambers and Trade Groups

Grants program established to assist regional and metropolitan business chambers and trader groups.

Get in touch

The post Additional tax relief support announced for Victorian businesses appeared first on SW Accountants & Advisors.