The talk today has been all about the 2015 Federal Budget. Here are a few items that peaked our interest:

• Key initiatives for small and family businesses include a 1.5% reduction in the corporate tax rate, from 30% to 28.5% for small businesses with up to $2 million turnover, bringing the rate down to the lowest level in 50 years. In recognition of the fact that not all small businesses use a company structure, such as partnerships and sole traders, the government will provide a 5% tax discount of up to $1000 per year for businesses with annual turnover of up to $2 million.
• To help small businesses invest in new equipment or machinery the government will provide a tax deduction for assets up to $20,000. This means small businesses with less than $2 million annual turnover can buy as many items under $20,000 as they like and receive the deduction on each one, starting from budget night to the 30 June 2017.  Assets valued at more than $20, 000 can continue to be placed in the small business depreciation pool and be depreciated at 15%.
• A capital gains tax rollover relief means small businesses can change their legal structure, for example from a sole trader to a trust, without triggering an immediate capital gain and associated tax. This creates the opportunity for small businesses to revisit their structures that may no longer be meeting their needs.
• For start-ups business registration will be streamlined with a website designed to provide a one-stop-shop for setting up a business. Furthermore, a deduction for professional fees incurred in starting up a business, such as legal or accounting fees is intended to encourage the establishment of more small businesses.