NECA calls for state governments to give businesses a ‘hand up, not a hand out’ by abolishing payroll tax

The National Electrical and Communications Association (NECA) again calls on all state governments to immediately abolish payroll tax for all small and medium businesses to help combat the continued economic turmoil caused by COVID-19.

Suresh Manickam, CEO of NECA, said:

“NECA calls on all state governments to back local businesses by urgently removing payroll tax.

“We are not asking for a handout, we are asking for a hand up, in what are extraordinary times. Payroll tax is a both a disincentive to employment and a barrier to economic growth. Now more than ever we need to consider all avenues to build confidence in the economy, encourage small and medium enterprises to create additional opportunities for work.

“The abolition of payroll tax by any state government would be a bold move that would send a very clear message to the rest of the country and our overseas trading partners that the state is providing a distinct advantage for business”.

NECA has long called for Governments around Australia to recognise the importance of payroll tax relief, which is also reflected in the Henry Tax Review recommendations.

ENDS