Empty pockets no excuse to show up to budget empty-handed

• CPA Australia’s top five budget recommendations
• Government needs to focus on bang-for-buck initiatives 
• Federal Budget should include a Climate Change Statement
• Small businesses and charities need specialised financial support

The Federal Government has indicated it faces serious budget constraints. CPA Australia agrees that concerns over the budget deficit are legitimate but says the government must nonetheless intervene to support businesses.

“The Federal Government may believe it has empty pockets but that doesn’t mean they can show up to the budget empty handed,” CPA Australia spokeswoman Dr Jane Rennie said.

“We expect the government to find clever workarounds to budget constraints. We want policy initiatives in the budget which offer an outsized bang for every buck spent.”

Ahead of next month’s budget, Australia’s leading professional accounting body, CPA Australia, has made a budget submission to government. In it, we identify a range of low-cost measures which would deliver good bang for their buck.

These include measures helping businesses and charities seek professional advice, funding for an advertising campaign to attract international students and assessing the impact of budget measures on climate change. 

“Not all support needs to be purely financial. Reducing red tape and reviewing poorly performing policies, for example, are steps that can set Australia up for long-term success,” she said.

“Encouraging businesses and charities to get advice from trusted professionals is a quick way to improve productivity and sustainability. At the same time, we need ambitious policies to address environmental and employment challenges.”

CPA Australia’s top five Federal Budget recommendations are:

1. Tackle worker shortages
   “We want visas to be more affordable for international students. Funding should be set aside to launch an advertising campaign to attract international students to Australia. We also need to encourage older people back into the workforce by offering training and increasing the amount that can be earned before the pension is reduced.”
2. Climate change analysis 
   “We’re calling on the government to introduce climate change impact analysis into the budget process and for the creation of an annual Climate Change Budget Statement. Strengthening the economy and the environment are inextricably linked.”
3. Business assistance
   “Accountants tell us that their clients often can’t afford to pay for advice or give it a low priority. Our research shows that businesses which seek advice are more likely to grow and thrive. We want the Federal Government to roll out support programs to encourage businesses to seek advice from professionals, such as accountants. This would benefit businesses immediately and pay economic dividends in the long run.”
4. Support for charities
   “Right now, Australia’s charities and not-for-profits are facing a shortage of volunteers and donations. Yet too often charities are left out of the budget despite playing a critical role in supporting the nation through tough times. We’re calling for financial support for this sector to increase their take-up of technology and ability to seek professional advice.”
5. Full review of the tax system including GST
   “Tax reform is crucial if we want to lift living standards and support public services into the future. We want the Federal Government to commit to a full review of the tax system. Failing to reform the tax system will leave our children and grandchildren with a growing pile of problems.”

Read CPA Australia’s Federal Budget Submission.

Media contact

Jennifer Duke, External Affairs Lead on +61 438 502 389 or email: [email protected].