Small businesses will be able to access a capped tax deduction of $20,000 for business-related meal and entertainment expenses if the Coalition forms Government after this year’s Federal election.
Federal Liberal leader Peter Dutton said small businesses, with a turnover of up to $10 million, would be eligible to claim the deduction, which would be exempt from the Fringe Benefits Tax and exclude alcohol.
Mr Dutton said a Liberal-National Coalition Government would implement the measure for an initial two years, if elected at the yet-to-be-called Federal poll, which must be held before May 17.
“This is a win for the small business spending the money on their staff or clients, and a win for the hospitality venues who will see an increased spend in their businesses,” he said.
“Cafes, restaurants, clubs and pubs are the lifeblood of so many local economies around the country.
“Hospitality is a huge part of the economy and yet like so many businesses at the moment, they are hurting.”
