Small Business

The Hon. D.G.E. HOOD (15:03): My question is to the Treasurer. Will the Treasurer outline the impact of last night's federal budget on South Australian small businesses?

The Hon. R.I. LUCAS (Treasurer) (15:04): I'm delighted to respond to that particular question. As a small and medium-sized business state, small business and policies that impact on small business are critical to economic and jobs growth in the small business sector.

The policy announcement last night in relation to instant asset write-off for small businesses—that particular scheme has not only been extended for a period, I think, of up to two to three years, but eligibility for the scheme now has been extended beyond small businesses with turnovers of up to $10 million to small businesses with turnovers of, I think, up to $50 million. So a considerably larger number of small and medium-sized businesses in South Australia will now be eligible for this particular incentive. Also, the extent of the incentive has been extended from $25,000 to $30,000.

The length of the scheme has also been extended. If you combine that with some of the other initiatives in the federal budget in relation to tax relief, both personal and across the board, and combine that with the brilliant initiative of Premier Marshall in relation to the abolition of payroll tax for all small businesses in South Australia from 1 January this year—a combination of both state government policy and federal government policy directed towards small and medium-sized business—should help turbo charge small and medium businesses in South Australia in terms of jobs growth and creating economic growth in South Australia.

As I said, if I come back to my original statement, the health of small business in South Australia is critical for a state like South Australia, and we are delighted to see recognition of that fact from the federal Coalition government, and we were delighted to see some of the other policies directed towards small business growth in the federal budget yesterday as well.