I’m pleased to see pressure building on the federal government to retain the small business instant asset write-off. Killing the tax break with just a few weeks notice is poor policy in my view given that plenty of far greater and more direct financial assistance is not being cut or even reviewed.
The ACCI made a strong pitch yesterday for retention of the break and that story has been picked up by a bunch of media outlets today.
I understand the government pursuing its ideology but part of their election pitch was that they would support small business. This move has the opposite effect. An economist I heard this afternoon said that scrapping the benefit would have a higher cost to the economy than keeping it.