By Aimee Chanthadavong
The NSW government has committed to boosting support for small businesses.
The State Government announced in the NSW Budget 2013-14 that it will be raising the payroll tax threshold from $689,000 to $750,000, while removing indexation. This will mean around 1,300 businesses that were previously liable for payroll tax will not need to pay next year, while all businesses that will continue to pay will save at least $3,000.
There will also be an increase in payroll tax rebate from $4,000 to $5,000 for each new job supported under the Jobs Action Plan. This Budget also boosts support for small business with a second Small Biz Bus to provide face-to-face practical advice for small businesses throughout NSW.
“We’re trying to ensure whether it’s work cover charges, whether payroll tax we keep them as long as possible. Work cover premiums are down on average 7.5 per cent in the last 12 months. Payroll tax is seeing a reduction of $3000 across the board and 1300 businesses are being exempted from payroll,” NSW Premier Barry O’Farrell told RetailBiz.
“We understand jobs are created by the private health sector. The bulk of those NSW jobs are created by small businesses and we want support an environment by which people can have a confidence in investing and growing their businesses in the state.”
Another highlight is the $59.7 billion dedicated to infrastructure over the next four years. Australian Retailers Associations executive director Russell Zimmerman said funding like this and the payroll tax could potentially help struggling retailers back on their feet.
"Retailers will benefit from increased infrastructure and services in public transport and roads over the coming years, including $4.1 billion for the North West Rail Link. The WestConnex project will also address a missing link between the airport and the M4 East of Parramatta, which will no doubt improve travel times, road safety and freight efficiency," he said.