Greater incentive needed for smaller retailers to invest in new equipment and technology. 

 

The Australian Retail Council has supported the Federal Opposition’s proposed permanent $50,000 instant asset write-off as it would provide a “meaningful boost for small retailers looking to invest.” 

 

The asset write-off figure  is currently up to $20,000.

 

ARC’s chief economist Glenn Fahey said certainty and confidence were critical for retailers operating in a difficult trading environment. 

 

“A permanent $50,000 instant asset write-off for businesses with a turnover of less than $10 million would provide a stronger incentive for small and family retailers to invest in equipment, technology, security and operational improvements that can lift productivity and competitiveness,” he said.

 

“Retailers also support measures that help protect household purchasing power. The Coalition’s proposed income tax indexation would help reduce the impact of bracket creep over time and support discretionary spending. 

 

“We also welcome the Opposition’s stated commitment to simplifying business regulation, because compliance costs remain a major burden for retailers,” he added.