Many small business are failing to see the upside in the government's new budget - while the banking industry is calling a new tax on the sector - a direct attack on jobs and growth. SBS Finance editor Ricardo Goncalves explains and same is presented by Anita Barar
Last year - Australia's big banks posted 30 billion dollars in profits - more of that - will now go to the government.
Anna Bligh - CEO of the Australian Bankers' Association isn't happy about that.
Australia's big 4 banks, ANZ, the Commonwealth Bank, NAB and Westpac along with Macquarie - will need to pay a 0.06 per cent levy on various borrowings which which will earn the government 6- point- 2 billion dollars over 4 years.
CMC Markets Analyst Ric Spooner says it will impact their bottom line.
The Bankers' Association Anna Bligh says no business can absorb a tax.
Allan McKeown, CEO of Prosperity Advisors says higher interest rates will likely be applied to small businesses - which will also have to pay a foreign worker levy.
Some are failing to see the upside in the budget, like Hans Christian Berents, co-owner of flower delivery business Little Flowers in Sydney
Small and medium businesses, with an annual turnover of 10 million dollars will be given an extra 12 months to take advantage of the 20- thousand dollar instant asset tax write-off scheme but for some small, like Mr Berents, it's not enough.
CEO of Prosperity Advisors Allan McKeown, adds cash flow concerns, haven't been addressed.
