Tuesday, 19 June 2018
NORTHERN Tablelands MP Adam Marshall has welcomed the lifting of the Payroll Tax threshold to $1 million dollars in today’s 2018-19 NSW Budget, putting money back into the bottom line of business owners around the region.
“Payroll tax has been a thorn in the side of growing local businesses for years and this package will start to reduce that burden immediately,” Mr Marshall said.
“Small businesses are the backbone of the Northern Tablelands. Our regional cities and towns are propped up by hard working local business owners who employ locals, invigorate their local communities and put dollars back into our local economies.
“Regional small businesses are the number one employer in country NSW and I’m happy to see that they will enjoy immediate relief from payroll tax with this announcement.
“Over the next three years the Payroll Tax Threshold will be lifted from $750,000 to $1 million dollars, with the threshold immediately being lifted to $850,000 next financial year.
“This means that 40,000 businesses will instantly see savings from next financial year and a huge number of those are located in regional NSW.
“This not only means that businesses save money in tax, but it means they can go ahead and expand their employee numbers if they’ve held-off doing this for fear of hitting the payroll tax threshold.
“Businesses who have hesitated to put on extra staff, businesses who haven’t taken on an enthusiastic junior or who have been prevented translating some part-time jobs into full-time ones because of the $750,000 threshold, now have an opportunity to grow without a financial burden being imposed.
“This is fantastic news for business holders around the Northern Tablelands – our region is growing with towns such as Inverell showing strong growth, tourism dollars starting to pour in, services industries taking off and the strong commodities sector supporting new agricultural endeavours over the past few years.”
The threshold will rise to $850,000 in 2018 19, $900,000 in 2019 20, $950,000 in 2020-21 and $1 million in 2021-22.
Mr Marshall said today’s news was welcome but there was still more to do.
“I will continue to advocate for regional small businesses to be exempt from growth-stifling taxes like Payroll Tax, but this announcement is a great start and will be a shot-in-the-arm for numerous businesses in the region,” he said.