Australia

Small, medium business tax cuts assured

Prime Minister Scott Morrison says small and family businesses know the coalition supports them, including through its plans to cut their taxes.

Prime Minister Scott Morrison says he's not surprised big businesses and energy companies are turning against his government, because they know the coalition will "take them to task".

But Mr Morrison says family businesses know the coalition has got their back, as it has brought forward plans to cut their taxes.

"The top end of town might have their disagreements with us from time to time, but what we do is we back small and family businesses, medium sized businesses," he told ABC TV on Friday.

"They are the businesses all across Australia, and what we're doing for those businesses is getting their taxes down and we're going to get their electricity prices down."

His comments come amid continued pressure on the government by business lobbyists to form an energy policy that will deliver certainty.

Mr Morrison said the coalition's current policies already do that, but its plans to take on big energy companies, in order to bring down prices, may have gotten them offside.

"I'm not surprised the big end of town and the big energy companies are turning against us because frankly, they know that we will take them to task," he said.

Mr Morrison on Thursday announced his government would bring forward tax cuts for companies with annual turnovers less than $50 million.

Those companies will have their tax rate cut to 26 per cent in 2020/21, then 25 per cent the following year, under legislation that will be introduced to parliament next week.

Labor remains coy about whether it will support the move.

"We'll look at the detail of what they've announced," opposition frontbencher Anthony Albanese told the Nine Network on Friday.

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