Growing Jobs and Small Business - tax cuts for small business (tax discount for unincorporated business)

Individual taxpayers with business income from an unincorporated business that has an aggregated annual turnover of less than $2 million will be eligible for a small business tax discount. The discount will be five percent of the income tax payable on the business income received from an unincorporated small business entity.

The discount will be capped at $1,000 per individual for each income year, and delivered as a tax offset.

The start date for this measure is the 2015–16 income year.

Legislation and supporting material

This measure is now law. The legislation enacting this measure is Tax Laws Amendment (Small Business Measures No. 3) Act 2015.

An unintended consequence of this measure affecting partners and beneficiaries was corrected with Tax and Superannuation Laws Amendment (2016 Measures No. 1) Act 2016.

See also

    Last modified: 19 May 2016QC 45093