Small Business Gets Tax Relief

Published: December 12, 2008 - 01:59 PM

Small Business Can Save Money on Costs

As reported in the Sydney Morning Herald the Rudd Government today announced a $440 million tax holiday for businesses to ease the impact of the economic crisis.

The assistance will come in the form of a reduction of 20% in the December quarter tax instalment which is due for payment by 28 February 2009.

Australian business owners have been struggling to cope in the economic downturn, with retail sales continuing to drop even in the lead up to Christmas.

Alison Walter of ShopAround.com.au said "We can see evidence of the economic slow-down in shopping centres everywhere. Retailers are having to offer sale prices before Christmas to entice customers to buy. There have been plenty of relief handed to Australian households, but this is the first assistance the Rudd Government has offered to businesses which have been hard hit by the financial crisis."

Ms Walter went on to say that in these tough economic times, businesses should focus on their core fundamentals:

Continue to market strongly and promote your business to your customers.
Keep a close eye on your cashflow - in particular make sure your customers pay you on time.
Identify cost savings and implement them immediately.
If you have any extra funds use it to pay off any debt.

ShopAround.com.au run an electricity price comparison and switching service. The service is available to small businesses in Victoria that spend less than $25,000 on electricity or $90,000 on gas a year.

Ms Walter said "There are some great opportunities for large cost savings on electricity and gas for Victorian small businesses. We have had businesses sign up to a new supplier on shoparound.com.au and save over $1600 in the first year alone. It's worth business owners taking 5 minutes to compare electricity and gas suppliers and see how they can save on their business electricity and gas bills."

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