The Government announced that it will bring forward tax cuts for companies with an annual turnover of below $50 million in the next sitting of Parliament. The current tax rate for most SME companies will be cut from 27.5% to 26% in 2020-21 and 25% in 2021-22. The existing law states that the 25% tax rate will commence in 2026-27.
 
For unincorporated businesses like Trusts, it is proposed that the tax discount will be raised from 8% to 13% in 2020-21, and 16% in 2021-22. The existing law states that the 16 per cent tax discount will commence on 2026-27.
 
The proposal is subject to passage through parliament.