South Australia’s small businesses are facing an additional tax burden on the horizon as they may be be forced to pay an extra $9000 in payroll tax.
That is if the state’s Budget Measures Bill will be blocked by the upper house.
At the moment, about 3000 small businesses have enjoyed a reduced rate in their taxes since the start of the financial year, out of the assumption that the budget would be passed. But in the situation that the budget would not be passed, the South Australia state treasury will be reverted back to the higher rates imposed the previous year, according to state treasurer Tom Koutsantonis.
‘The Liberals will be delivering a tax increase of thousands of dollars to thousands of small businesses who have no doubt factored the current rate into their budgeting,” Koutsantouis said in a statement on Monday.
“Blocking the tax will also mean blocking stamp duty concessions, pre-construction grants for people buying apartments off the plan and a five-year land tax exemption,” he added.
The jockeying over the proposed levy is set to continue this week before state parliament sits again on November 14. This will be the first opportunity for the upper house to consider the tax and the wider budget measures bill after rejecting it last week.
