The treasury Laws Amendment (Enterprise Tax Plan) Bill 2016 has been passed by senate with six government amendments.
The bill originally proposed to reduce the corporate tax rate for small business with an aggregated turnover of less than $10 million to 27.5 percent for the 2016-17 income year.
It is also proposed to progressively extend that lower rate to all corporate tax entities by the 2023-24 income year, and future reduce the corporate tax rate in stages so that by the 2026-27 income year, the corporate tax rate for all entities will be 25 per cent.
Aggregated turnover is the sum of the following:
Your annual turnover for the income year
The annual turnover of any entity connected with you, for that part of the income year that the entity is connected with you
The annual turnover of any entity that is an affiliate of yours, for that part of the income year that the entity is affiliated with you.