Small business package tipped to provide housing boost

Small business package tipped to provide housing boost

house gold coins
14 May 2015 by Staff Reporter 0 comments

This week’s Federal Budget could provide further stimulus to the record building boom currently underway.

Master Builders Australia chief executive Wilhelm Harnisch said the government’s $5.5 billion small business package would boost confidence, activity and jobs in the industry.

“In an industry as capital-intensive as building and construction, the immediate write-off of assets up to $20,000 will provide an immediate stimulus,” Mr Harnisch said.

“Measures to cut tax for small companies and sole traders will also underpin a reboot of confidence for builders, home buyers and consumers.”

Australia is on track to build a record 205,500 homes this financial year, 41 per cent more than the number built in 2011/2012, according to the Housing Industry Association.

The HIA also responded positively to the government’s small business package, which it said would provide important support to a wide range of small businesses in the residential construction industry.

“The combination of a small business company tax cut of 1.5 per cent, a 5 per cent cut to unincorporated small business profits up to $1,000 per year and the accelerated depreciation allowance on all new assets up to $20,000 provides a positive impetus for the Australian economy,” it said.

“In particular, the immediate deduction available on the acquisition of new assets is a policy announcement welcomed by the residential construction industry.”

[Related: Government threatens agents in Budget]

promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2016

With a combined sales volume of $13 billion in 2016, the Top 100 Agents ranking represents the very best sales agents in Australia. Find out what sets them apart and learn their secrets to success.

featured podcast

featured podcast
William Phillips on how agents can expand their database and grow their business

In this episode of Secrets of the Top 100 Agents, host Tim Neary is joined again by William Phillips to discuss the real estate database and...

View all podcasts

Are dodgy agents being punished enough?

Yes (8.6%)
No (55%)
Only in some states (2.3%)
Not all dodgy agents are being found out (34.1%)

Total votes: 220
The voting for this poll has ended on: April 15, 2017
upcoming events
REB Awards
Sydney The Event Centre 12 Sep
REB Awards
Sydney The Event Centre 12 Sep
Melbourne The Event Centre 14 Oct
Brisbane The Event Centre 18 Dec
View all events
Do you have an industry update?