Our lives are constantly being influenced by the decisions of others. The outcomes of the Federal and State budgets and the impact they have on our businesses should cause us to review our plans for the next twelve months and beyond.
As lawyers we are constantly advising clients about their rights and obligations in their relationships. These relationships arise when buying and selling assets; in changing family circumstances; when undertaking estate and succession planning, when disputes arise in the circumstances of a business or personal relationship including estate disputes. Your plans for the future need always to take into account your legal obligations.
When considering your future plans the following highlights of the NSW 15/16 budget may be relevant.
Some relevant highlights include:
- It is a surplus budget suggesting that the NSW economy is strong;
- A commitment to increase the housing supply so thereby promote availability and affordability.
Infrastructure and Tourism expenditure – means jobs in some sectors.
- A $38 billion commitment towards the development of infrastructure in the areas of roads and transport systems including within the regions.
- The setting aside of more than $40 million to grow regional tourism,
Employment and Small Business support
- Incentives ($27 million over four years) to non-payroll tax paying businesses of a $2,000, “Small Business Employment Incentive” for every additional employee they take on.
- $14 million has been allocated to support the Office of the NSW Small Business Commissioner including the Small Biz Connect program and dispute resolution services.
- $2.3 billion in vocational education and training (VET), which includes a $2 billion investment in TAFE. The investment in TAFE NSW represents an increase of $122 million compared to last year’s budget.
The commitment to infrastructure spending, tourism and the commitment to increase housing supply will see continued activity for the businesses directly involved in these sectors and for some businesses indirectly involved. Small business generally need to plan to determine whether they can take advantage of these budget announcements.
Planning for businesses include reviewing business structures, terms of trade, employment contracts and the business relationships between partners, directors and shareholders.