KIAMA small businesses feeling the pinch, as well as tourism, should benefit from the small business bonanza announced as part of Tuesday's federal budget, the chamber of commerce believes.
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This country's two million small businesses won a $5.5 billion bonanza in the budget, including the ability to claim unlimited tax deductions for buying cars and machinery valued at less than $20,000 each — up from the current $1000 threshold.
The instant asset write-off will be available until June 30, 2017. The stimulus measure is not capped.
Farmers will receive full and immediate deductions for assets from 2016.
Kiama & District Chamber of Commerce president Marie Beikmanis said they were "elated" with the budget forecast for small business.
She said it would be a robust move for the Kiama economy.
"I'm sure it will stimulate business in the area," she said.
"We hope it will get things moving again in this area ... and we hope tourism will benefit from these changes.
"It will hopefully stimulate employment, and stimulate tourism as well.
"The more spending we get in the town, the more people we're going to be able to employ.
"We've (small business) been feeling it a bit in this area so it's great to get that stimulus."
The small business sector received a much-needed boost in the budget, says the Illawarra Business Chamber.
"Five years ago, the small business community wasn't even mentioned on budget night, but now it is front and centre of budget commentary," IBC CEO Debra Murphy said.
"This is a small business budget.
"In 2013, the chamber movement across Australia united to deliver its pre-election Small Business: Too Big to Ignore campaign, which was aimed at sending a clear message to decision makers in our federal parliament that small business could no longer be taken for granted.
"Tonight is living proof that our campaign was an overwhelming success, with more than $5.5 billion allocated to supporting small business and 96 per cent of all Australian businesses eligible for a tax cut.
"Of particular benefit to small businesses with an annual turnover of under $2 million will be the cut in company tax rate by 1.5 per cent and a tax discount of 5 per cent (up to $1000) to small unincorporated businesses.
"This may allow the small business owner to employ that extra apprentice or extend the hours of a current employee."
Federal Member for Gilmore Ann Sudmalis said the budget will generate a significant boost for local small businesses.
"The streamlining of business registration will make it quicker and simpler to set up a new business.
"Changes to the fringe benefits tax system will expand to allow exemptions for work-related portable electronic devices," Mrs Sudmalis said.
"This budget will help small businesses in our region flourish, and job seekers to start out in the workforce."
Stephen Jones, the Shadow assistant Minister for Health and Member for Throsby, said that the budget would again punish those who could least afford it.
"The government has made a shallow attempt to walk away from the cruel cuts of the 2014-15 budget.
"Despite Joe Hockey's spin, the fundamental unfairness of last year's budget disaster remains," Mr Jones said.
"Their small business package, while welcome, is an open acknowledgment that they have smashed consumer confidence."
Meanwhile, the budget confirms that couples with assets below $451,500 (not counting the family home) will receive a boost to their fortnightly pension of $30, on average.
However, those retirees with assets, excluding the family home, of more than $823,000 will lose the pension altogether.