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  • Michalia Cash named as the new Small Business Minister. (Supplied)
From Michaelia Cash being named the new Small Business Minister to the ATO cracking down on the car sharing economy, here’s what’s making news this week.
Source:
SBS Small Business Secrets
30 Aug - 4:32 PM  UPDATED 6 Sep - 1:50 PM

Small Business Portfolio returns to Cabinet

The Small Business Ombudsman and the Council for Small Business Australia are welcoming the return of small business to cabinet, believing it signals the importance of the sector to Australia’s economy.

The Australian Retailers Association has also welcomed the move, saying putting small business back into cabinet will help Australia’s retail industry.

The Ombudsman and Council are congratulating Michaelia Cash on her appointment as the small business minister.

The appointment makes Minister Cash the fifth small business minister in three years.

Small business will be a key election issue for the Coalition and Labor, with Prime Minister Scott Morrison confirming he will offer a "new and exciting" tax policy for small and medium-sized companies.

This comes in the wake of the Senate blocking the Coalition's big business tax cut plan.

Car Sharing Economy under ATO Spotlight

The car-sharing economy will be part of an Australian Taxation Office crackdown on niche areas of the tax landscape.

Startups like Car-Next-Door and Drive-My-Car allow people to rent out their cars to app users.

The services have become a popular way for people to earn a bit of extra cash.

The tax office is reminding providers, that any income earnt through the car-sharing economy can be taxed no matter the amount.

The ATO is also cracking down on what expenses can be claimed if you are renting out a car.

Platform memberships and fees, or general car running expenses in line with the rental agreement apply.

“Any expenses claimed must relate directly to the renting, hiring or sharing of your car,” explains the ATO.

Car-Next-Door says the focus from the ATO is good news for their users as they now have clarification of exactly what expenses they can claim.