Breaking Barriers, Changing Cultures –Women in small business
The Australian Chamber of Commerce and Industry (ACCI) led discussion and sought insights on Breaking Barriers, Changing Cultures, a national initiative aimed at advancing gender equality in gender-segregated industries. The initiative seeks to increase women’s small business ownership and leadership within these sectors.
Members were invited to consider the issue from an industry culture perspective, reflecting on the cultural shifts needed and the types of support required to improve workplace environments. The goal is to ensure that women can both enter and remain in these industries as small business owners and leaders.
Members raised several impediments during the discussion. Current policy frameworks may need to be reviewed before addressing cultural change, as existing policies could either hinder or promote gender equality within industries. The cost of childcare was highlighted as a significant barrier, with suggestions that it should be made tax deductible. Members also emphasised the importance of a supportive environment, enabled by third parties such as partners and families, to provide the necessary time, flexibility, and encouragement.
Members expressed concerns about the experiences of women in male-dominated industries, where they sometimes feel they are not taken seriously. Feelings of isolation and being undervalued were also mentioned, particularly in relation to the contributions women business leaders can make. A high proportion of women business owners operate from home, which raises safety concerns due to the visibility of home addresses on public registers and the potential for client retribution.
Economic and environmental factors were identified as disincentives for small business ownership, given the significant start-up and ongoing costs such as rent, insurance, utilities, licensing, and regulatory compliance across various levels of government. Additionally, current measures of business success may not align with the goals of female entrepreneurs. Members discussed the need to redefine success, recognising that multiple attempts and varied business plans are often part of the journey, and that not all business owners aim for growth or expansion.
Members also raised uncertainty around the Australian Government’s definition of business ownership. They questioned whether women must hold 51% ownership, management, and control for a business to be considered a woman-owned enterprise, similar to the criteria used for Indigenous businesses.
Time was identified as one of the most significant barriers, with women often juggling multiple roles, including mother, partner, daughter, community member, while striving to maintain self-care and personal wellbeing.
Despite these challenges, members identified several opportunities. Building aspirations early through secondary education and training programs is vital. Celebrating and showcasing women’s leadership in under-represented industries, both within the industry itself, the broader community, and school programs, will inspire others and future generations.
Business planning and goal setting must take into account external factors such as parenthood, part-time work, and school commitments, which may extend the timeline for achieving business goals. Members also highlighted collaboration among women and the formation of support networks as key to business success.
There was also a call to educate women on what it means to be in business, as many may be engaging in business leadership activities without realizing they are in business, which has associated federal and state obligations.
Finally, members noted that women entering gender-segregated industries often do so to fill gaps identified in their communities or sectors. This presents an opportunity to foster solidarity and build a supportive fraternity among women within these industries.
Small Business Future Tax Administration
The Australian Taxation Office (ATO) invited members to share insights on how digitalisation and digital solutions could evolve to better support and enhance conversations between small businesses and their intermediaries to ensure that issues are identified and addressed prior to lodgment.
Members emphasised that digital solutions should be embedded within the natural systems used by small businesses, rather than requiring engagement through separate ATO platforms.
The current process of preparing raw data to meet digital service provider (DSP) system requirements demands significant time and effort from both small businesses and their intermediaries.
Transparency of ATO-held data would support small businesses and their intermediaries in meeting obligations, while also enabling compliant businesses to focus on their operations without unnecessary administrative burden. Additionally, such transparency could serve as an incentive for DSPs to develop more practical and effective digital tools.
Members stressed that intermediaries will continue to play a vital role in supporting small businesses. Therefore, any digital solutions developed must be designed not only with small businesses in mind but also to assist intermediaries in delivering the support their clients need.
Non-agency member updates
Members were invited to share feedback and observations from their communities, industries, and broader networks. A recurring concern was the fear surrounding changes to super, particularly the $3 million cap and its tax implications. Members also noted staffing pressures, with businesses struggling to acquire personnel who possess both the necessary motivation and skill set.
There is an expectation that consumer confidence may improve following the upcoming election and that there will be a reduction in interest rates. However, micro businesses continue to face significant challenges, including red tape, limited access to finance, and compliance burdens. EFPTOS and merchant fees remain a persistent concern.
Natural disasters have fostered a stronger sense of community, encouraging people to support local businesses.
The recent tax law change denying deductions for ATO interest charges has had notable ramifications for the small business sector. Some members suggested that a general interest charge (GIC) amnesty would be beneficial.
Members raised concerns about misleading advertising and questionable practices related to GIC and shortfall interest charge (SIC). Certain market players are promoting high-interest loans to pay off tax debts, claiming these loans are cheaper than the GIC and suggesting they are tax deductible.
Members suggested the ATO is not adhering to its own compliance regime, including noting instances where disclosure notices were not sent before reporting small businesses to credit reporting bodies.
Members described the research and development (R&D) tax incentive as complex and difficult to navigate. They proposed that changes to the turnover threshold and the definition of R&D could improve accessibility. They also expressed apprehension regarding the Tax Agent Services Act 2009 and its implications for tax agents.
The Small Business Debt Helpline has experienced a 40% increase in call volume compared to the same period last year, indicating rising demand for support. In the retail sector, businesses are overwhelmed by compliance requirements from multiple federal and state regulators, contributing to a rise in insolvencies.
Although Payday Super is not yet law, members foresee stressors related to time, motivation, and compliance. The requirement to pay super with every pay run is expected to significantly impact cashflow, particularly for small businesses that already struggle to manage financial obligations. Members raised concerns about the lag between super payments and their deposit into employees’ super accounts. Faster deposits would offer greater reassurance to employees.
International factors, such as tariffs, are creating uncertainty across industries and affecting confidence in investing in Australian business opportunities.
There is strong interest in the outcome of the Bendel case (Full Federal Court decision) and its potential impact on the ATO’s treatment of trusts and Division 7A, given that many businesses are structured in this way.
Within the health system, members highlighted a lack of encouragement and early training for individuals entering the profession to establish private practices. This issue is forecast to become a significant industry challenge within the next 5 to 10 years. The representative from the Rural Doctors Network expressed appreciation to the Council of Small Business Organisations Australia for its work with the health small business interest group.
Agency member updates
Treasury
Treasury has engaged with the newly appointed Minister to discuss legislative priorities.
As of 27 March 2025, 2 key measures have been enacted:
- the $20,000 instant asset write-off for small business entities, extending the write-off limit until 30 June 2025
- denying deductions for ATO interest charges, meaning taxpayers can no longer claim deductions for GIC and SIC incurred on or after 1 July 2025.
ATO
The ATO’s Getting it right current quarter campaign is focused on supporting new businesses to be ready for business. It includes targeted efforts around fringe benefits tax and a continued focus on ride-sourcing compliance.
The ATO is prepared to act in response to recent natural disasters, particularly the floods in New South Wales, once the Australian Government Disaster Recovery Payment (AGDRP) and affected locations are officially announced. The ATO continues to collaborate with the NSW State Small Business Commissioners on support and ensuring ATO staff are equipped with the necessary tools and information to support small businesses in impacted communities.
Post meeting update: Following the meeting, the AGDRP was announced, and the ATO has enacted administrative levers to assist taxpayers accordingly.
The ATO’s Vulnerability Framework and Small Business Resilience Framework will be tabled at an out-of-session meeting of the Small Business Stewardship Group on 1 July 2025.
Australian Small Business and Family Enterprise Ombudsman
On 27 May 2025, the Australian Small Business and Family Enterprise Ombudsman (ASBFEO) released its quarterly Small Business Pulse reportOpens in a new window.
The Ombudsman made a submission to Treasury’s consultation on the Payday Super Exposure Draft, raising concerns that the proposal may not effectively achieve its intended goals of improving compliance and reducing the superannuation gap.
To further support small businesses, ASBFEO has scheduled a stakeholder workshop for 4 June 2025. This session will bring together industry and government stakeholders to collaborate on key messaging and the development of new franchising information and guidance materials.
Attendees
|
Organisation |
Member |
|---|---|
|
ATO |
Will Day (Co-chair), Small Business |
|
ATO |
Anna Longley, Frontline Risk and Strategy |
|
ATO |
Fawad Abro, Enterprise Solutions and Technology |
|
ATO |
Rowan Fox, Individuals and Intermediaries |
|
ATO |
Usha Narain, Superannuation and Employer Obligations |
|
Australian Chamber of Commerce and Industry |
Jodie Trembath |
|
Australian Retailers Association |
Ben Cornel |
|
Australian Small Business and Family Enterprise Ombudsman |
Bruce Billson (Co-chair) |
|
Chartered Accountants Australia and New Zealand |
Karen Liew |
|
Council of Small Business Organisations Australia |
Adele Sutton |
|
Direct Selling Association of Australia |
Nina Rossi |
|
Institute of Certified Bookkeepers |
Matthew Addison |
|
Rural Doctors Network |
Richard Colbran |
|
Small Business Debt Helpline |
Angela Harlen |
|
Small business operator |
Donna Niazov |
|
Small business operator |
Helen Davis |
|
Small business operator |
Paul Meissner |
|
Small business operator |
Shannon Smit |
|
Small business operator |
Tony Sama |
|
Treasury |
Anthony Seebach |
|
Treasury |
Johanna Davis |
|
UNSW Tax & Business Advisory Clinic |
Tony Martins |
Guest attendees
|
Organisation |
Attendee |
|---|---|
|
ATO |
Angela Allen, Small Business |
|
ATO |
Anita Challen, Frontline Risk and Strategy |
|
ATO |
Gary Busby, Frontline Risk and Strategy |
|
ATO |
Katherine Philp, ATO Corporate |
|
ATO |
Michael Morton, Small Business |
|
ATO |
Renee Jones, Frontline Risk and Strategy |
|
ATO |
Rob Heferen, ATO Executive |
|
ATO |
Tony Poulakis, Small Business |
|
ATO |
Travis Deane, ATO Corporate |
|
Australian Chamber of Commerce and Industry |
Sushmitha Kasturi |
Apologies
|
Organisation |
Member |
|---|---|
|
ATO |
Elissa Walker, Small Business |
|
Australian Automotive Aftermarket Association |
Lesley Yates |
|
Australian Veterinary Association |
Moss Siddle |
|
Indigenous Business Australia |
Chris Germain |
|
Institute of Public Accountants |
Tony Greco |
|
Real Estate Institute of Australia |
Jock Kreitals |
|
Restaurant and Catering Industry Association |
Suresh Manickam |
|
Small business operator |
Lisa Dwyer |
|
Supply Nation |
Kate Russell |
|
UNSW Tax & Business Advisory Clinic |
Ann Kayis-Kumar |