Steven Ciobo (Moncrieff, Liberal Party, Shadow Minister for Small Business, Independent Contractors, Tourism and the Arts) Share this | Hansard source

I am pleased to rise to speak to the Tax Laws Amendment (2009 Measures No. 4) Bill 2009. In particular, in my capacity as shadow minister for small business, I welcome schedule 1 of the bill, which sees an increase in the R&D tax offset threshold cap from $1 million to $2 million as of 1 July this year. This is a welcome addition. I think it will be positive for small businesses across Australia. The government has the support of the opposition with respect to this legislation. From my perspective I think it is important that we as a nation recognise the need to provide as much incentive as possible for small businesses across the length and breadth of this country to engage in productive, value-adding research and development expenditure.

There is no doubt that in many parts of Australia—and I would mention in particular those small businesses engaged in R&D activities on the Gold Coast—the increase in the cap from $1 million to $2 million will afford them extra opportunity to take advantage of the R&D tax offset in such a way as to be supportive of their research and development efforts. This is important in a place like the Gold Coast because it is in every measure Australia’s ‘innovation city’. ‘Innovation City’ is a term given to our city by the Gold Coast City Council. It is much more than simply a slogan; it underscores the approach that is adopted by all three levels of government—both government and opposition—with respect to our approach to supporting the SME sector on the Gold Coast.

The fact is that, for many of the thousands of small businesses in my city and those that I have the pleasure of representing in my city of Moncrieff, research and development into new technologies, research and development into the commercialisation of technology and research and development into all sorts of goods and services in the future will underpin their continued prosperity into the future. Of course, that continued prosperity is crucial to ensuring that there are opportunities to broaden and deepen the economic base of the Gold Coast. The fact is that, if we broaden and deepen the economic base of the Gold Coast, we will also ensure continued opportunities for there to be sustained employment outcomes in our city as well. So from both a parochial point of view in my role as a representative for the people of Moncrieff and at a national level this is a positive measure and it is certainly one that I believe will be of benefit to small businesses across Australia into the future. With those few words I will confine my remarks to schedule 1.

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