Australian businesses supplying to the marine sector domestically and to export markets welcome the announced change to the small business tax rate. Another pleasing aspect is the change in the eligibility threshold from $2 million turnover to $10 million.
CEO of Australian Marine Export Group AIMEX, Superyacht Australia and Australian Commercial Marine Group, MaryAnne Edwards said “Our Australian marine industry competes in the global marketplace and they must be enabled to invest in themselves to support future growth and international competitiveness. Preparing for and embracing new technologies will keep Australian marine companies at the forefront of innovation through investment and this requires capital expenditure” Ms. Edwards said.
“Sustainable tax changes support that growth for not only small and medium businesses, but also large businesses. Reclassification of the definition of small business will make sure our marine businesses reaching the existing thresholds get full access to ATO benefits for small business. This will support their growth and continued viability into the future.
Employee skills development and retention is always an issue in the marine industry, and the initiatives introduced in the budget with pre-employment training and internships should assist our companies by mitigating the cost and risk of employing youth in our industry.
Maintaining the R & D Tax Incentive is vital to the fast-paced technology adoptive marine industry in Australia and our manufacturing base will continue to keep pace with innovation and continue the reputation of Australia as a leader in marine technology.
The Government commitment to defence spending of 2% of GDP by 2020/21 and a budgeted spend of A$ 195 billion over the next 10 years on defence including naval projects in submarines, frigates and patrol boats has to be good news for the marine industry overall” Ms Edwards said.
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