As pointed out in other threads there is a lot of money being put on the table by the federal government.
The legislation will likely be well intended but loose. In fact so loose human nature will work out how to game it.

I propose that all money targeted at businesses be provided with the caveat that it will be open to the Pub Test.

The intention will be that if the reasonable business person/owner deems it to be having a steal and miss-appropriated then the perpetrator is going to be prosecuted or re-pay immediately with a minimum jail term of say 12 months with no exceptions.

The panels to be setup by...
This is open for your input if you like the idea.

Must be made up of people exposed to the same temptations but who had the morals to do the right thing by the intention not the letter of the legislation... Not a lynch mob but a not wiping your ar--se in my face mob
Perhaps the small business council nominates??

I for one will be contacting my MP to request this with modifications of the well intention-ed posters..
the floor is yours..
Cheers
AP

AP, are you actually aware of HOW the money is being "given" to business? It's purely a discount on their PAYG payable ie they have to to be paying employees and withholding PAYG tax then reporting that tax to the ATO (via single touch payroll and then their BAS) and then the ATO doesn't make them pay it to them. There's some loans being made available with the government guaranteeing 50% of the loan value but it's hardly a "handout" that they can blow at the casino. It's a good package really if the business can last long enough to be using it.

Select to expand quote

Paddles B'mere said..
AP, are you actually aware of HOW the money is being "given" to business? It's purely a discount on their PAYG payable ie they have to to be paying employees and withholding PAYG tax then reporting that tax to the ATO (via single touch payroll and then their BAS) and then the ATO doesn't make them pay it to them. There's some loans being made available with the government guaranteeing 50% of the loan value but it's hardly a "handout" that they can blow at the casino. It's a good package really if the business can last long enough to be using it.

I got sent an email from a certain charter boat company saying the 150k writeoffs to business can be used to buy a charter boat. That wouldn't pass the pubtest but it seems it would pass the ATO test which would be pretty sad.

The issue I have with it is, it doesn't matter if your business is suffering or killing it, they all get the same deal. ie. bottle shop vs pub/restaurant. Who really needs it?

Yeah sure Bara, you can write off a $150k charter boat if you operate a charter boat business, that's just like a printing business buying a new printer or an accounting practice buying a new computer. But first you have to be able to borrow or stump up $150k to get the boat, then you have to have a legitimate business use for the boat so it can actually make money and you will avoid ATO scrutiny. Remember that the "write off" is only a reduction of your taxable income for the period and isn't you getting a $150k boat for free. For example if our accounting business attempted to write off a $150k boat as a business expense the ATO computing system would flag us in a jiffy and we would expect a visit