Craig Emerson (Rankin, Australian Labor Party, Minister Assisting the Finance Minister on Deregulation) Share this | Hansard source

I thank the member for Franklin for her question. I look forward to travelling to Tasmania in the next few weeks and working with her in supporting jobs in her electorate and in Tasmania more generally through the small business community there.

When I was last speaking to the House about this matter I informed it of some of the endorsements of the government’s Nation Building and Jobs Plan. They included, from the Council of Small Business of Australia, the statement that it is ‘a confidence boost for small business’. The Chamber of Commerce and Industry of Western Australia described the plan as a ‘timely shot in the arm for small business’. We heard from the New South Wales Business Chamber, which said it was ‘a shot in the arm for the New South Wales economy’. Master Builders Australia chimed in, describing it as ‘a welcome boost for the building industry’. The National Farmers’ Federation described it as an ‘economic jumpstart’.

These are glowing endorsements, but I can advise the House of further correspondence that has been received by the government, including from the Combined Small Business Alliance of Western Australia—not known for its strong affinity with the Australian Labor Party. In a letter to the Prime Minister, copied to me and to the Treasurer, it says:

Dear Prime Minister,

With reference to the $42 billion economic stimulus measures ... in particular the small business and general tax breaks, you and your government are to be commended for your initiative in your endeavour to address the nation’s dire economic circumstances. We appreciate and support your government’s consideration for the small business sector and, whilst we fully understand that these initiatives are not a “silver bullet”, we believe they will make a contribution to alleviating the plight of small business in these difficult times.

The Pharmacy Guild of Australia indicated that it welcomes the tax break for small business and—importantly, in the face of other comments that we receive—says:

The measure comes at the right time to encourage community pharmacies to make productive investments ...

Indeed, they join with Restaurant & Catering Australia, who said:

The small business tax break … may just be what our small businesses need to convince them to buy that new piece of equipment in this market.

It seems that just about everyone in Australia supports the small business tax break and the Nation Building and Jobs Plan except the coalition. The Leader of the Opposition, on 12 February, said in the parliament:

It should be obvious to the government, had it any experience with small business, or business at all, that in times like this there will be small businesses particularly which will not have the need or even the cash flow to purchase new equipment.

That flies directly in the face of the comments of Restaurant & Catering Australia, who welcomed it as a boost for investment, and comments from the Western Australian business chamber and other organisations.

I advise the House that the Treasurer’s and my office are getting a large number of inquiries from small businesses seeking information on how to take advantage of the investment tax break. Also, Treasury has set up an email address to respond to small business inquiries. It is: investmentallowance@treasury.gov.au. I am further advised that last week Treasury was getting around 30 to 40 inquiries per day and the tax office was getting around 20 to 30 inquiries per day. So much for the coalition’s criticism that small business will not be able to take advantage of this tax break, when we are getting so many inquiries from small businesses that are very keen to do just that.

The Nation Building and Jobs Plan supports small businesses. It supports independent contractors. The problem is that the only jobs the coalition members support are their own. I am advised that there was another brawl in the party room today between supporters of the member for Higgins and supporters of the Leader of the Opposition—a very vigorous debate. The trouble is—otherwise it would not be so important, Mr Speaker—the voting pattern of the coalition in the Senate is being determined by the animosities of members of the coalition, leading to very poor decision making—

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