The NSW Govt has released a stimulus package aimed to add additional support for NSW people and businesses. It comes off the back of the Reserve Bank of Australia and Federal Government weighing in to slow the impact of COVID-19.
For NSW SME’s the stimulus package is a welcome relief in the form of:
- Waiver of payroll tax for the remainder of 2019-20 financial year. Businesses stand to save 25% of their annual payroll tax bill if their payroll is under $10 m.
- Funds to bring forward the next round of payroll tax cuts. In 2021 there will be a raising of the payroll tax threshold from $950,000 to $1 million.
While these are the direct benefits to SME’s, other funding measures introduced are poised to have a knock-on effect. These include a waive on a range of fees and charges for small businesses, cafes, bars and tradies. It could be viewed as a cappuccino and schooner led incentive. Whatever works in these times to keep small business ticking over.
The biggest impact on SME’s outside the payroll tax cut is the Govt’s move to bring forward $500 m in capital works and maintenance. This is coupled with $250 m to bring forward maintenance on public assets. That’s a chunk of dollars which will keep NSW bubbling along. As long as the workers can work, it’s all positive. It’s hoped to secure jobs in a very challenging time.
This won’t be the last stimulus package. The Fed Govt has mentioned there was a likelihood they would dip into treasury’s coffers again if required. It’s odds-on that they will have to.
BridgePoint Group is well set to ensure your business gets the most out of the stimulus packages. And reach out so we can help you get your business entitlements while you get on with your business.
Contact Mitchell Turnbull 1300 656 141 or email@example.com