There are some really stimulating insights in this Smart Company article. It’s called Coronavirus Stimulus: Tax Tips for Self-Employed People and Small Business Owners.
In it, Mark Chapman shares some interesting perspectives. Here’s one that we thought was worth taking note of:
The federal government has already acknowledged the measures announced last week won’t be sufficient to keep the small business sector afloat, and it appears more stimulus measures will be announced imminently as the economic clouds darken.
Whilst additional tax deductions and reductions in compliance burdens are welcome, these sorts of measures don’t really address the fundamental problem, which is a collapse in customer demand and a drying up of cashflow.
The next round of stimulus must be aimed at boosting customer demand and injecting cash into struggling businesses so they can carry on trading through the downturn, and hopefully return to profitability once some degree of normality returns.
Take a look at the rest of the article a read to learn more…