What does the Budget mean for your business?

Small Business Energy Incentive

The Australian Government is introducing a tax break to help small businesses electrify and save on your energy bills. Businesses will be able to make investments like:

• electrifying your heating and cooling systems
• upgrading to more efficient fridges and induction cooktops
• installing batteries and heat pumps.

Businesses with annual turnover of less than $50 million will have access to a bonus 20 per cent tax deduction for eligible assets supporting electrification and more efficient use of energy, from 1 July 2023 until 30 June 2024.

Up to $100,000 of total expenditure will be eligible for the incentive, with the maximum bonus tax deduction being $20,000 per business.

The Australian Government is partnering with state and territory governments to deliver up to $3 billion of electricity bill relief for eligible small businesses.

From July 2023, this plan will deliver up to $650 for eligible small businesses, however the total amount of bill relief will vary across our states and territories.

The Government will also fund measures to help protect small businesses against cyber threats through a $23.4 million program to help them train in-house cyber wardens. The program will be delivered by the Council of Small Business Organisations Australia.

A new $392.4 million Industry Growth Program will provide advice and matched funding for small to medium-sized businesses and start-ups to develop new products and services to grow their operations.