Business Tax
- Introduction of the Minerals Resource Rent Tax (May 2010 and July 2010): The Government will get a fairer return on our resource wealth, by introducing the Minerals Resource Rent Tax on iron ore and coal projects from 1 July 2012. [Consistent with recommendations 45, 46, 47 and 48 of the tax review.]
- Extension of the Petroleum Resource Rent Tax (May 2010 and July 2010): The Government will get a fairer return on our resource wealth, by extending the Petroleum Resource Rent Tax to onshore oil and gas projects from 1 July 2012. [Consistent with recommendation 45, 46, 47 and 48 of the tax review.]
- Increase in the instant write-off threshold to $6,500 for small businesses (May 2010 and Clean Energy Future package): The Government will simplify tax for small businesses and boost their cash flow, by allowing small businesses to instantly write off each and every business asset costing up to $6,500 that is purchased from 2012-13. [Consistent with recommendation 29 of the tax review.]
- Introduction of the single depreciation pool for assets costing more than $6,500 for small businesses (May 2010): The Government will simplify tax for small businesses, by replacing the two depreciation pools that currently exist for other assets, with a single depreciation pool. [Consistent with recommendation 29 of the tax review.]
- Introduction of the immediate write-off for the first $5,000 of the cost of a motor vehicle by small businesses (2011-12 Budget): The Government will simplify tax for small businesses and boost their cash flow, by introducing an immediate write-off for the first $5,000 of the cost of a motor vehicle purchased from 2012-13. [Consistent with the intent of recommendation 29 of the tax review.]
- Replacement of the Entrepreneurs Tax Offset with better incentives for small business (2011-12 Budget): The Government is better targeting tax incentives for small business, by replacing the Entrepreneurs Tax Offset with a package of measures for small business that include the instant write-off for assets costing less than $6,500 and the first $5,000 of a motor vehicle. [Consistent with recommendation 6(c) of the tax review.]
- Introduction of the uplift factor for losses of certain infrastructure projects (2011-12 Budget): The Government will improve certainty for investors, by allowing infrastructure projects of national significance to carry forward losses with an uplift factor to maintain their value. [Consistent with the intent of recommendation 31 of the tax review.]
- Replacement of the R&D Tax Concession with the R&D tax incentive (2010-11 Budget): The Government will support research and development, by replacing the outdated and complex R&D Tax Concession with a simplified R&D tax incentive which will provide larger and more timely assistance.
- Phasing down of the interest withholding tax paid by financial institutions (May 2010): The Government will support competition in the banking sector, by phasing down the interest withholding tax paid by financial institutions on offshore borrowings from 2013-14. [Consistent with recommendation 33 of the tax review.]