❓ The WA Government is addressing small business concerns regarding the GST's negative impact, based on a comprehensive study revealing increased workload and decreased profitability. They plan to advocate for changes at the federal level.
AnsweredQoN 159Legislative Assembly
QuestionView source ↗
GOODS AND SERVICES TAX, IMPACT ON SMALL BUSINESS
I refer to the Government’s election commitment to address small business concerns with the Howard Government’s goods and services tax. What steps has the Government taken to implement that commitment? Mr BROWN
I refer to the Government’s election commitment to address small business concerns with the Howard Government’s goods and services tax. What steps has the Government taken to implement that commitment? Mr BROWN
AnswerView source ↗
I thank the member for the question. Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Mr BROWN replied: I thank the member for the question. Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
I thank the member for the question. Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
[See papers No 352 - 354.]
Mr BROWN replied: I thank the member for the question. Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
I thank the member for the question. Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Identifying the ongoing concerns of small business and pressing the federal Government to address them has been and will continue to be a priority for the Government. As a critical step in identifying and addressing GST issues, the Small Business Development Corporation has recently completed one of the most comprehensive studies done into the impact of the GST on small business. The field work and report on the outcomes of the study were carried out by local independent market research firm Patterson Market Research. A total of 562 small businesses throughout the State participated in the study providing an extraordinarily high 47 per cent response rate. The GST small business impact study examined issues surrounding the implementation of the GST, ongoing record keeping and reporting, and the overall review. I will outline some of the key findings of that study. Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Some 68 per cent of small business operators reported that the performance of their business had been made worse by the GST, compared with 10 per cent who felt it had improved; 71 per cent said that their industry’s performance was worse compared with five per cent who said it had improved; 75 per cent considered the economy to be worse as a result of the GST while just six per cent considered that it had improved. Almost two-thirds of the respondents said that the new tax system had had a negative impact on their business cash flow. The profit margin for more than half of the respondents was negatively affected by the implementation of the GST. The GST-induced price increases were found to have been absorbed by 38 per cent of respondents. Of the small business operators surveyed, 82 per cent indicated that the overall record keeping workload had increased by an average of 37 per cent. Some 81 per cent of respondents indicated that their overall recording workload had increased by an average of 46 per cent. As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
As a first step in having the concerns addressed nationally, I intend to relay these results to the federal Minister for Employment, Workplace Relations and Small Business and state small business ministers at this week’s meeting of the small business ministerial council in Canberra. The WA Government, through the SBDC, will use these results in discussions with the Australian Taxation Office about changes to ease the burden of the GST on small business. During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
During debate on this matter in this House in the past 12 to 18 months, those now in opposition claimed that the GST would have a positive impact on small business. Indeed, the former member for Geraldton said that the GST was a great thing because, as a result, he and his small businesses would be $150 000 better off. Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Several members interjected. Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
Mr BROWN: This is what we have seen. I table the report from Patterson Market Research, the key findings prepared by the Small Business Development Corporation and the impact on small businesses, that indicate yet again that the Opposition has been proved wrong. [See papers No 352 - 354.]
[See papers No 352 - 354.]
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