What if

Australia had the best opportunities in the world for business?

Current tax rates are inhibiting Australia’s economic growth as more businesses are choosing to take their companies and research and development (R&D) overseas.

Investment in infrastructure also needs support from our government, both encouraging businesses to make those larger-scale investments and encouraging contract wins for huge global projects.

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AustralianBusiness

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Help us make a real difference for all Australians and contact your local decision-maker to get our policies across the line. Together we can:

  • Work towards every Aussie getting their dream job
  • Create better opportunities for Aussie businesses
  • Help local businesses become global leaders
  • Place Australia at the forefront of renewable energy technology
  • Close the skills gap

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Let's help businesses make larger-scale investments in buildings and large-scale equipment

Temporary full expensing (TFE) has been successful in stimulating equipment and small plant investment, but we need an avenue for businesses of all sizes to make larger investments in heavy industrial machinery and large-scale equipment.

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Let's help businesses make larger-scale investments in buildings and large-scale equipment

Temporary full expensing (TFE) has been successful in stimulating equipment and small plant investment, but we need an avenue for businesses of all sizes to make larger investments in heavy industrial machinery and large-scale equipment.

Problem

Business investment is not growing at the pace it should be to achieve the productivity gains needed.

Policy

Larger-scale business investments need to be encouraged with a 20% broad-based investment allowance.

Outcome

This will help Aussie businesses achieve greater productivity gains and mitigate the impact of high corporate tax rates.

TFE has been successful in stimulating equipment and small plant investment, but we need an avenue for businesses of all sizes to make larger investments in heavy industrial machinery and large-scale equipment. Offering an investment allowance of 20% of the value of depreciable assets over $500,000 will help businesses justify the initial upfront cost of capital. Giving businesses the confidence to make these bigger investments will help them achieve greater productivity gains and mitigate the impact of high corporate taxes.

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It’s time to elevate R&D and innovation in Australia

On the international stage, Australia is falling behind in R&D. This is due to high tax rates, high interest on loans and a lack of funding, all of which have been exacerbated by COVID.

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It’s time to elevate R&D and innovation in Australia

On the international stage, Australia is falling behind in R&D. This is due to high tax rates, high interest on loans and a lack of funding, all of which have been exacerbated by COVID.

Problem

Australia’s R&D is falling behind that of other countries.

Policy

The patent box needs to be extended to cover all industries as well as increased direct support for R&D in the form of grants and subsidies.

Outcome

A more innovative economy with a higher proportion of GDP spent on R&D.

On the international stage, Australia is falling behind in R&D. This is due to high tax rates, high interest on loans and a lack of funding, all of which have been exacerbated by COVID-19. Greater support from our government is required to encourage Aussie businesses to invest in R&D and prevent us from losing innovation overseas.

While patent box reforms have been extended beyond medical and biotechnology to agricultural and emissions technologies, we need to expand the scope to include all sectors, with a particular focus on manufacturing, energy and information and communications technology. There should also be increased support in the form of grants and other financial assistance to assist businesses in commercialising R&D. By offering Australian businesses access to the support they need to nurture their ideas, we can keep Aussie innovations on our shores.

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Australian business tax needs to be more competitive to attract foreign investment

Australia’s current tax rate for medium to large businesses is among the highest and least competitive in the developed world, sitting at 30%. This is inhibiting the growth of more than just larger businesses as SMEs rely on larger businesses as both suppliers and customers, meaning the repercussions are felt across the board.

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Australian business tax needs to be more competitive to attract foreign investment

Australia’s current tax rate for medium to large businesses is among the highest and least competitive in the developed world, sitting at 30%. This is inhibiting the growth of more than just larger businesses as SMEs rely on larger businesses as both suppliers and customers, meaning the repercussions are felt across the board.

Problem

The current tax rate for medium to large businesses is 30%, making it one of the highest in the developed world.

Policy

To make Australian businesses more competitive in the international market, we need to reduce the company tax rate to 25% for all businesses.


Outcome

The removal of a barrier to grow beyond the threshold coupled with the ability for larger businesses to attract foreign investment and to put more back into their business.

Australia’s current tax rate for medium to large businesses is among the highest and least competitive in the developed world, sitting at 30%. This is inhibiting the growth of more than just larger businesses as SMEs rely on larger businesses as both suppliers and customers, meaning the repercussions are felt across the board. The government needs to reduce the corporate tax rate for all businesses to 25%. This can be done over time, by firstly increasing the base rate entity eligibility criteria to an aggregate turnover of less than $250 million, up from the current $50 million. This will help make more Australian businesses globally competitive on the international market, attracting foreign investment and enabling greater reinvestment in their business growth.

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Major resource projects need greater certainty throughout their construction phase to secure investors

Recent global tensions have increased the potential for massive global projects to come to Australia. There is an enormous opportunity for Australia’s resources and energy industry to contribute further to the nation’s post-COVID economic recovery and higher living standards for generations.

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Major resource projects need greater certainty throughout their construction phase to secure investors

Recent global tensions have increased the potential for massive global projects to come to Australia. There is an enormous opportunity for Australia’s resources and energy industry to contribute further to the nation’s post-COVID economic recovery and higher living standards for generations.

Problem

The current enterprise agreement term is four years which is not sufficient to provide industrial certainty for large construction projects.

Policy

The maximum enterprise agreement term for large-scale projects needs to be extended to six years to help Australia secure a larger share of global investment.

Outcome

This will help Australia secure a larger share of global investment, boosting our economy and jobs.

Recent global tensions have increased the potential for massive global projects to come to Australia. There is an enormous opportunity for Australia’s resources and energy industry to contribute further to the nation’s post-lockdown economic recovery and higher living standards for generations. With potentially 300+ major new projects in the investment pipeline worth over $300 and the power to employ over 100,000 people, it’s an opportunity Australia can’t afford to miss.

Projects of this magnitude take a long time to construct, often beyond the standard four-year term for enterprise agreements. To attract the massive global investment that is needed to secure these projects and ensure efficient, reliable construction and sustain high paying jobs, the maximum agreement term for infrastructure, resources and energy projects with a capital value exceeding $500 million should be extended to six years.

Extending the maximum term of these targeted and high paying “greenfields” agreements to six years would support Australia’s resources, energy and construction industries. This is just 12 months longer than the maximum term for all agreements made between 1996 to 2009. In doing this, we can help secure Australia’s share of global investment and provide a significant shot in the arm for our economy and jobs.  

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