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Shepparton's small businesses, tradies and apprentices among beneficiaries of stimulus package

Mar 13, 2020

Small businesses, apprentices and tradies are among the beneficiaries of the Federal Government’s $17.6 billion stimulus package.

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The stimulus package will provide vital support to keep businesses afloat in the wake of the damaging effects of the coronavirus.

Victorian Chamber of Commerce and Industry chief executive Paul Guerra said the stimulus package would not solve the coronavirus problem, but would help ease the cashflow hardship many businesses were facing and help them to pay bills, pay staff and stay in operation.

“During these tough times, it is vital that businesses are given the help they need to keep their employees and survive — until the coronavirus is contained and our economy can rebound,” he said.

“We know this is going to be a challenging time for Victorian businesses.

“Our regions are still reeling from the bushfires and are worried coronavirus will cripple them.

“The $1 billion announced to assist severely affected regions and communities is crucial to rebuild those hard-hit areas that are reliant on industries such as tourism, agriculture and education.”

The package’s focus on supporting small businesses through cash payments, wage subsidies for apprentices and trainees and a significant expansion of the instant asset write-off is designed to support keeping employees in jobs, and help the Australian economy bounce back.

Businesses with a turnover of less than $50 million will be eligible for a tax-free payment up to $25 000 to help strengthen cashflows, which in industries such as travel, tourism and retail are under intense pressure from widespread booking cancellations, declining orders and softening consumer demand.

The expanded instant asset write-off available to businesses with a turnover of up to $500 million and for much bigger items worth up to $150 000 will help businesses bring forward investment in productivity enhancing plant, equipment and technology needed to stay competitive.

Small business employers of Victoria’s 30 000 apprentices will receive wage assistance of up to $7000 per quarter.

This will help the businesses retain their existing apprentices and trainees, as the wage subsidy will also be open to employers of any size that re-employ someone who loses their position as a result of the coronavirus downturn.

Casual workers unable to attend work due to coronavirus will be eligible to apply for the Government’s sickness payment.