Federal Government Tax Cuts for Small-Medium Businesses

The federal government has announced it will deliver a tax cut for around 3.2 million small and medium Australian businesses, employing over 6.5 million workers. Small and medium Australian businesses with turnovers of less than $50 million a year will benefit. Companies with a turnover of less than $10 million will receive a reduction in their tax rate (to 27.5%) this financial year. All types of businesses benefit from these changes, including 2.3 million unincorporated businesses. The government also announced that it has passed the Diverted Profits Tax to make sure that multinational companies pay their fair share of tax.