Treasurer Dominic Perrottet has announced the NSW Government will lift the payroll tax threshold to $1 million over the next four years, allowing relief for small businesses across the state.
|NSW Treasurer Dominic Perrottet. Image: The Australian|
The Hunter Business Chamber is welcoming news, with Chief Executive, Bob Hawes, saying this is a great move by the State Government.
"Payroll tax is a tax on jobs and job creation and serves as a disincentive to employ more people," he said.
"An increase from $750,000 to $850,000 will be seen in the first year, and then $50,000 increments per year for the next three years."
It's set to benefit nearly 40,000 NSW businesses, with some to save over $13,000 per financial year by 2022.
Mr Hawes believes this couldn't come at a better time for the Hunter region's small businesses, with the current process of revitalising Newcastle underway.
"The Hunter region, compared to the whole state of NSW do have a high incidence of small businesses, so the significance for those organisations will be able to keep doing what they do best, without having to worry about compliance," he said.
"Being penalised for creating new jobs is just ridiculous."