The Minister for the Status of Women, Kate Ellis and the Minister for Small Business, Nick Sherry have announced that the Australian Government will contribute $20,000 to a project promoting greater participation of women in Australian trade and business.

With more than 700,000 female business operators in Australia, businesswomen make a powerful contribution to the Australian economy.

The Australian Women’s Chamber of Commerce, an organisation which was established in 2010 to advocate on behalf of women in business, will manage the National Businesswomen Research Project to help promote women’s participation in more small to medium enterprises.

As of 1 July 2011, the government’s new flood levy will be put in place and will be used to assist communities to recover from recent natural disasters. The levy will apply for the 2011-12 income year and will be paid by all taxpayers earning over $50,000 who were not affected by a declared natural disaster. Tax rates are as follows:

• Income of $0 – $50,000 = exempt.
• Income of $50,001 – $100,000 = 0.5 cent for each $1 over $50,000.
• Over $100,000 = $250 + 1 cent for each $1 over $100,000.

The Federal Government’s Carbon Tax Scheme will, provided that legislation is passed, come into effect from 1 July, 2012 and could hurt businesses nation-wide.

Under the scheme, any facility that produces at least 25,000 tonnes of carbon dioxide equivalent per year will face a levy of $23 per tonne on emissions. Although aimed at the country’s top polluters, price increases passed on to consumers by large gas and electricity companies will mean that Australian businesses will suffer a hit.

Small businesses need to start work to reduce their energy footprint in order to pay their future power bills.

On 1 January 2011, the definition of what constitutes a small business changed. Businesses must now have fifteen or less employees – including full time, part time and regular casual employees – to be considered a small business.

Companies no longer regarded as ’small business’ will not be able to rely on the small business unfair dismissal exemption. this means that employees will now qualify for such coverage after six months of employment, as opposed to the previous twelve.

A recent decision in the New South Wales Court of Appeal is a reminder for businesses throughout the country to ensure that bonus provisions in contracts of employment properly reflect the intent of both parties.

• It may now be considered breach of contract to not set performance criteria and not assess employee performance, when a contract states that you will do so.
• Making a bonus ‘discretionary’ will not excuse an employer from other obligations to consider how a bonus might be assessed.
• If a bonus is able to be withheld at the discretion of the employer, even if the performance objectives have been achieved, the contract must clearly state that as the case.

As of 1 July 2011, businesses which fail to fulfill the Federal Government’s new ‘paid parental leave’ obligations will receive penalties imposed by the Fair Work Ombudsmen.

Businesses should update their payroll systems to make sure they are fulfilling all relevant obligations. These include:

• Withholding tax from Parental Leave Pay under the usual PAYG withholding arrangements.
• Include Parental Leave Pay in the total amounts on their employee’s annual payment summaries.
• Provide bank details, employee’s usual pay cycle and pay cut off details to the Department of Human Services Family Assistance Office.