Zali Steggall (Warringah, Independent) Share this | Link to this | Hansard source

In respect of this bill, there is a particular schedule that I want to focus on, and that is schedule 7. Schedule 7 extends the 20,000 instant asset write-off for small businesses to June 2026. What we are seeing, again, is this eking out, this drip feeding to small business the support they so desperately need year to year to year, rather than finally making this permanent. Rather than giving small business some certainty so that they can manage their cash flow and their commitments knowing that something has been legislated, what we've seen, during the last term of government and this term, is this constant uncertainty. I support the member for Mackellar's call in how we can help small business by having a 20 per cent tax-free threshold for small business and to make the instant asset write-off permanent, and I will come to that in a moment.

The instant asset write-off extension is welcome, but, again, it is too low and the government needs to provide certainty by ensuring that it be permanent. I will be introducing an amendment during consideration in detail, before the third reading, to make it permanent. I'd also like it extended to a level that actually reflects the needs of small businesses, that makes it meaningful in assisting them with their investment within their small businesses and their assets. We need to also ensure we are incentivising small businesses to become more effective and efficient, to reduce waste. Requiring energy efficiency and waste reduction in small business is an important part of this puzzle.

We know small businesses are the lifeblood of so many communities, and Warringah is the same. Recently, I've had the pleasure of meeting with local small businesses across Manly to discuss the staffing and other regulatory changes they are facing. Our local businesses are facing the perfect storm, grappling with higher costs, tight margins and slowing consumer demand alongside an inability to find workers to fill key roles. Whether it's a chef, waitress, landscaper, childcare worker or bus driver, across so many industries, businesses are struggling. The growing shortage of skilled workers is hurting our local businesses' ability to grow and serve the community. This is not just being felt in Warringah. It's being felt all across Australia but more acutely in regional communities, where small businesses drive local economies and the pool of available labour is even smaller. So you would think that they would come in this place or before the media and champion support for more skilled immigration and more workers to come in and support small businesses, but no. In fact, it's quite the opposite.

What small businesses have raised with me are concerns around the complexity and cost of the current visa process, the complexity of the tax systems for small businesses and the burden of successive legislation that's been passed by the Albanese government. Our skilled worker visas can take up to eight months to process, which is far too long for a small business trying to meet immediate demand and fill a role. Local operators have shared their concerns as well, with the GST threshold remaining at $75,000 for small businesses since 2007 without indexation, which has added extra burden as costs continues to rise. That compliance cost is something that continually small businesses raise. So, whilst this amendment to try and make this instant asset write-off again for one year is good, the government seems to be completely deaf to the concerns small businesses have and their continued challenge when it comes to meeting the administrative burden but also the additional cost.

We want to have a strong, ambitious and productive economy. We've heard a lot from the government and the Treasurer about that, but we're not hearing a lot about how to help small businesses achieve that. We need companies to be able to invest and innovate—companies of all sizes—but too often the ear of government is only for big business. They have that scale and ability to deal that small and medium businesses do not. So it was disappointing there wasn't a bigger focus in the Treasurer's productivity roundtable on how we're going to support small and medium businesses to innovate and invest.

I would say, respectfully, that the instant asset write-off levelled at $20,000 is just not going do it. It doesn't cut it. All that does is allow for the write-off of a small investment in an asset for a small business. It doesn't really allow a business to invest in better technology, significant sustainability or waste management, or innovation within a business. So what we need is that certainty and an instant asset write-off that is scalable to the challenge and costs that small businesses are incurring. If we want a strong, ambitious and productive economy where companies and small businesses are encouraged to invest and innovate, then we need to provide certainty, fairness and a regulatory framework that assists us, not shifting goalposts.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

I rise in support of the Treasury Laws Amendment (Strengthening Financial Systems and Other Measures) Bill 2025. Whilst I support the bill in its entirety, it would be natural for me to focus on a part that is particularly important to my portfolio of small business, which is schedule 7. Schedule 7 extends the $20,000 instant asset write-off until 30 June 2026 for eligible businesses. What this measure does is make a real difference to 2.6 million small businesses in Australia. That includes 1.5 million small businesses that are sole traders and who are also benefitting and have also benefitted from our government's tax cuts.

As everyone in here knows—because I hear it head said often enough that people support small business in this House—small business owners are out there every day, and they're working hard. They're working hard to fulfil their dreams. They are your Indian grocer. They are the place you go to to get your eyebrows threaded. They are where you get your Vietnamese pancakes. They are the translators and interpreters who operate with an ABN. They fix your cars. They cut your hair. They cater your birthday parties. They resole your shoes. They help you with your tax returns.

An example of a small business is My Aunt's Handmade Noodles, which I visited the other day with the member for Reid and the local mayor in her electorate. This is a family owned business, run by a formidable mother and daughter duo, and they craft these handmade noodles using time honoured techniques. The passion and care that My Aunt's Handmade Noodles brings to each and every bowl of these perfectly chewy and flavoured noodles is a level of dedication that I see in the small businesses that I visit and that I meet with right across the country.

The Albanese government is backing small businesses just like My Aunt's Handmade Noodles to ensure that they have the support that they need to thrive, because we know that not only are they building a better life for themselves and for their families, but they are also building a better future for Australia. They employ locals. They train apprentices. They give young people jobs, and they keep regional communities alive. They sponsor local sports clubs, and they donate to school raffles as well. They are not just the engine room of the economy, as is often said; they are also often the beating hearts of communities. That's why our government developed Australia's very first National Small Business Strategy.

You would think that an intimate understanding of small business would necessitate a strategy that brings together all levels of government to look at how we can collectively support small businesses to grow and to thrive. You would think that this is something that would have been done a very long time ago, but, in fact, this was done by this government, the very first National Small Business Strategy, bringing together different levels of government and focusing on three key areas: levelling the playing field for small businesses, easing the pressure on small businesses and supporting small businesses to grow.

The extension of the instant asset write-off is a really key part of our commitment under this national strategy. What it means is that small businesses with an aggregate annual turnover of less than $10 million will continue to be able to immediately deduct eligible assets costing less than $20,000. That's $20,000 per asset, not just once but right across the business. Let's have a look at what that means. What that means is that restaurants, cafes, grocers, hairdressers, tradies, accountants and small retailers can actually start to buy the equipment that they need today to keep their businesses going, today and into tomorrow. No matter where I go, when I speak to small businesses, the one thing that constantly comes up is how important the instant asset write-off is in helping them grow and modernise and the extension of the instant asset write-off, giving these businesses the confidence to plan, to budget and to invest as well.

For small businesses looking to grow, the instant asset write-off frees up cash flow so that they can purchase new equipment that allows them to expand their operations or open new locations. At a recent roundtable that I attended in the member for Swan's electorate, in Belmont, a group of small businesses there told me that managing cash flow was one of their biggest daily challenges. Really, that makes sense, doesn't it?

Andrew Giles (Scullin, Australian Labor Party, Minister for Skills and Training) Share this | Link to this | Hansard source

It does.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

It certainly does. They also told me that the instant asset write-off and the extension of the write-off helps them to manage those challenges of daily cash flow. An example is the Indian grocer who buys a freezer so that their business can not just expand but also diversify and start selling naan breads that people can take home and cook at home. If anyone has not tried them yet, I highly recommend them. For small businesses needing to repair or replace items in order to continue to operate safely or efficiently, the write-off allows them to claim the full deduction immediately. That then eases the financial pressure to maintain day-to-day operations—for example, you might have a small manufacturer replace some machinery in order to avoid production stoppages. For small businesses wanting or needing to modernise, the ability to upgrade technology or equipment can improve efficiency, reduce costs and indeed enhance competitiveness.

For startups and new small businesses, the write-off provides immediate financial relief, helping new businesses invest without having to build up profits. An example would be a startup online retailer buying storage equipment or a young photographer, who is embarking on a career as a sole trader, going out and buying a new professional camera and lens. The expansion of the write-offs gives them the ability to buy what they need today. The items might be small in nature, but, when we look at small businesses, the diversity of small businesses, the breadth of small businesses and the fact that a large number of small businesses are indeed sole traders who do not operate from a physical premises, the instant asset write-off—though it can provide for small items—can actually make a humungous difference to these small businesses. And I don't think we should be dismissing the impact that the instant asset write-off has for the small businesses that, often, we don't think about.

I'm going to be very honest here and say that we don't think about our translators and interpreters as small businesses yet they operate with ABNs. We don't think about those small businesses for whom a relatively small piece of equipment is actually essential to them being able to establish their business, start up their business, grow their business or continue their business. For that reason, this measure supports fairness, because big corporations can more easily absorb shocks. They can more easily access finance and they can more easily take advantage of complex depreciation systems. Small businesses don't necessarily have that luxury. They don't have the luxury of being able to wait years to recover a cost through depreciation. They don't have big reserves to dip into when something breaks or needs repair or replacement.

The instant asset write-off lets small businesses reinvest and expand and employ people in their local communities. It's the difference between putting off an upgrade and improving businesses today. And I know, from speaking to business owners right across Australia, that this is one of the most impactful ways that we can back small businesses and help them through. But I also know that this doesn't fix every problem for every small business and that there is more to do. Another issue I hear about among small businesses wherever I go is about red tape. I know it's a bit of a motherhood statement, red tape, so I've charged the small businesses that I meet with to actually give me some examples of what red tape means.

Inevitably and consistently, what small businesses come back to me with is that red tape is a kind of shorthand for the fact that small businesses have to navigate three levels of government, often all at once. It can be confusing. It can be time-consuming. Sometimes they have to apply more than once or more than twice for permits and so forth. That's what I'm hearing from small businesses everywhere, and that's something that we want to tackle as well. The National Small Business Strategy outlines how governments will work together. That is the key here: governments working together to support small businesses by removing some of the complexities, making it easier for them to operate and creating environments in which they can operate and therefore thrive.

We are working with state governments to basically cut the clutter for small businesses—actively working and looking, together, for ways to reduce or eliminate this red tape or these layers and layers of compliance, without reducing or impacting quality. It's a big job and it is ongoing, but the enthusiasm of all the ministers from the different jurisdictions is inspiring. I would like to thank them and commend them for their passion for supporting small businesses in line with the federal government's own passion for supporting small businesses.

We are also working to level the playing field for small businesses, ensuring that the power imbalances that they face when dealing with larger businesses are addressed, recognising that they often lack market power as well, and increasing the pressure on large businesses with poor payment practices by highlighting the best and worst payment performers and strengthening communication challenges to promote prompt payment as an environment, social and governance obligation.

In closing—small business is big business. That's what it is. There are over 2 million small businesses around Australia. They employ over 5 million Australians, and 1.5 million of those are sole traders. If we don't back in small businesses, it means that we're also not backing in communities. It also means that we're not backing in economies where small businesses form the backbone of those economies. We understand that small business is at the heart of community and that small business isn't just about the economy; it's about people: the people who run small businesses every day, the people who dedicate their blood, sweat and tears to growing a business not for themselves but as a legacy, often for their families, and so that they can contribute. We recognise, I might add, as Minister for Multicultural Affairs as well, that over 30 per cent of small businesses are started by migrants. In my state of Western Australia 40 per cent of small businesses are started by migrants.

In extending the $20,000 instant asset write-off, we're not just supporting businesses but also backing people: people who take risks, people who work long hours and people who keep local economies alive. Labor will always stand with them because we know and understand that every piece of equipment, every tool and every shopfront opened represents something bigger. It represents confidence and the chance to build a better future. That's what this measure delivers, and that's what this government delivers.

Allegra Spender (Wentworth, Independent) Share this | Link to this | Hansard source

I rise to speak on Treasury Laws Amendment (Strengthening Financial Systems and Other Measures) Bill 2025, which, on balance I believe introduces some broadly sensible measures. I will not speak to all those measures however today.

Schedule 1 of this legislation brings cash settled equity derivatives under the beneficial ownership disclosure legislation, acknowledging that alternative financial products can have similar effects on owning assets. While this change will create some additional compliance requirements for holders of derivatives, I believe it is broadly consistent with greater transparency in Australia's financial market and is broadly supported.

Schedule 3 changes the reporting period of the Financial Regulator Assessment Authority from two years to five years. This measure does raise some concerns for me, as the FRAA was only established in 2021 and has delivered only one report for each regulator in 2022 and 2023. I understand that frequent reporting and analysis provides limited time to implement changes prior to another assessment. However, I am concerned that five years may be too far in the other direction, without sufficient data points to indicate that the difficulties with this reporting regularity outweigh the reduction in regulator accountability.

This is because I do have some concerns about the performance and effectiveness of regulators. I repeatedly hear from members of the business community and my electorate that regulators are not always meeting their requirements and responsibilities. In some cases, they are taking months or years to respond to cases and using workarounds, such as requests for additional information, to reset the clock to meet their reporting requirements. As one executive said to me, regulators have no natural predators, and, if the government is not able to hold them accountable for their effectiveness, there is a significant chance that they are causing damage by poor standards of support for the business community. This change in the legislation will put a greater onus on other parliamentary mechanisms of accountability, such as the committees' reviews of regulators, to ensure that the regulators are held to account.

Finally, I'd like to speak mainly to schedule 7, which extends the instant asset write-off of $20,000 for another financial year. Here we are again. Since I've come into this parliament, we have passed this instant asset write-off measure three times now, coinciding with each financial year since 2023. We have come to expect this amendment each year, yet we refuse to make it permanent. Despite the regularity with which this measure is passed, businesses still can't rely on it, because it is politicised, weaponised, senselessly debated, thrown in with other controversial measures, and held up for months in this parliament until the government finally relents.

In the financial year 2024-25, we passed this measure on the final sitting day of the financial year. So let's think of the timing here and what that means. This instant asset write-off is meant to incentivise businesses to invest, but the legislation for this incentive passed on the last sitting day of that financial year, which from memory was back in April—so a mere couple of months before the end of that financial year. So, for most businesses, over the previous 10 months this had provided no incentive to make that investment, because of that uncertainty—or, on the other side, businesses had actually made some purchases, having listened to the government make an announcement about this instant asset write-off, without really being aware that it hadn't actually passed through the parliament, so they were undertaking an enormous amount of risk in their own business.

This really makes no sense. People are caught between two stools. In 2025, it was the last sitting day of the financial year. In the last term, this happened only because the crossbench put significant pressure on the government and the opposition to come to the party and pass the legislation, because it wasn't on the agenda and we were coming literally to the last two days of the sitting calendar. The Senate was about to rise, and the legislation was just not going to go through. Again, there would have been an election. Again, we don't know what would have happened. Australian small businesses would have been left in the lurch. Businesses just can't make decisions under these conditions. It's just not fair.

As such, numerous small businesses and tax groups have called on the government to make this policy permanent, or at the very least make it more permanent, so that small businesses can plan ahead and have more confidence in the scheme. If we agree in this House, as I believe we do, that the measure is worthwhile, let's deliver the certainty that businesses need to invest.

One question is really: is it because there are not more interesting or innovative policies that the government could announce to support small businesses that they just have to roll this out every single year? If that is the case—if they don't have ideas on how to support small businesses—I'm happy to share a couple of ideas that I and others on the crossbench have put forward.

The first is to increase the threshold for the definition of a small business in the Fair Work Act from 15 to at least 25 people. Let me tell you why. The past five years have been tough on small businesses. COVID-19 lockdowns, followed by high inflation and high interest rates, eviscerated consumer demand. We are only now seeing some relief from this, five years on. Furthermore, the government has made, in my opinion, some retrograde choices on industrial relations legislation that have increased the complexity and created disincentives for small businesses to hire employees and expand their businesses. If the government would raise their threshold with a simple adjustment, it would relieve over 40,000 small businesses of the regulatory red tape burden designed for big corporates with hundreds or thousands of employees.

I've run a business. I've run a small not-for-profit with around 15 employees that grew to around 25 employees. I've run a business with more than 100 employees. I've worked in businesses with thousands of employees. They are quite different beasts. It does not make sense for each of those businesses to be under the same regulatory burden. Frankly, they just don't have the same resources to manage all the regulation that bigger businesses do. I think that needs to be reflected in the scope of the legislation and the scope of the regulation that affects small businesses.

Secondly, I believe that the government should strengthen the payment system reporting times regulation by making fast payee designation a requirement of procurement, as they do in the United Kingdom. Under the Payment Times Reporting Scheme, large businesses and some government enterprises that have an annual taxable income of more than $100 million, known as reporting entities, must report every six months on their payment times and terms for small business. But, apart from naming and shaming the businesses that are slow payers, this scheme doesn't really have a lot of teeth and consequently has barely shifted the dial on payment reporting times more than 30 days. Multiple reviews have highlighted the scheme's ineffectiveness in terms of changing those behaviours.

The change I propose is a modest one, given that we already collect all the data that is required. Furthermore, it would act as a real setting of expectations by large businesses, with currently about 15 per cent of government contracts held by some of these large-business slow payers. It's pretty simple. If, as a big business, you are a slow payer—if you are not paying your small businesses, your suppliers, on time, within 30 days—then you shouldn't expect to be able to access government contracts. That could make a real difference to small businesses and smaller businesses that are struggling with working capital, struggling to stay afloat. This is something simple that the government could do now, and I urge the government to act on this example, because it is something that could make a difference right now to small businesses that are struggling with working capital.

This type of proposal has been recommended both by the 2023 Emerson review of payment times reporting and by the payment times and practices inquiry of 2017. All we need is a government that is willing to act and to back small businesses to make sure they are paid on time and have access to working capital so they can continue to invest in themselves and also invest in their employees.

In conclusion, this legislation implements broadly sensible changes, and, as such, I will not stand in its way. But I am concerned that the government, and indeed regulators, have made an insufficient case for increasing the reporting period from two to five years. Lastly, I am disappointed that we do not have a stronger agenda from the government on supporting small businesses, because they need it. There are some great ideas out there on the table. It is time for the government to step up and to act.

Julie-Ann Campbell (Moreton, Australian Labor Party) Share this | Link to this | Hansard source

Higher taxes, lower wages, cuts to health care, sky-high inflation, nuclear-high electricity prices: these are the legacies and the plans of those who sit opposite. Every single one of these things makes it tougher for everyday Australians, who are living at an incredibly challenging time for cost of living. The Albanese Labor government has been focused on making sure the economy and the financial systems that sit around and are regulated by government must work for everyday Australians, every single day. That means we need financial systems that are resilient. That means we need financial systems that are trusted. And that means we need financial systems that are stable.

When we talk about the foundations of stronger productivity and public trust in our financial system, three pillars stand out as absolutely essential: investment, transparency and accountability. Investment is the engine that drives economic growth. It provides the capital that businesses need to innovate, to expand and to create jobs—ultimately, boosting productivity and improving the quality of life for our local communities. Investment alone is simply not enough. The system needs to be transparent, and when financial information and dealings are clear, accurate and accessible it builds trust into that system. Transparency allows investors, policymakers and the public to make informed decisions, and it helps prevent fraud and corruption. That confidence is absolutely critical. It is part of being accountable, which ensures that those managing public and, indeed, private funds are held responsible for their actions. This in turn promotes ethical leadership, good governance and compliance with the rules that protect everyone in our community.

These pillars of investment, transparency and accountability support a broader structure of a strong and resilient financial system—a system that is efficient, a system where funds move quickly and affordably to where they are needed the most, a system that is resilient and able to withstand shocks and recover with confidence and a system that is inclusive, ensuring that everyone has access to financial services and opportunities. It must also be innovative, embracing new technologies to stay competitive and to stay relevant, and stability is crucial in giving people and businesses that confidence to plan for the future. It doesn't matter if you are a small business, a big business or a family—being able to plan for the future is always important, and our systems must reflect that. And, above all, it has to be sustainable.

The Treasury Laws Amendment (Strengthening Financial Systems and Other Measures) Bill 2025 contains seven schedules which bolster the components that I have just spoken about, and it's an important piece of legislation that will strengthen confidence in our markets, enhance the operation of regulators and boost long-term economic growth. Schedule 1 of the bill focuses on delivering the first stage of Labor's commitment to develop a public beneficial ownership register as part of our multinational tax integrity package. At present, Australia lacks a comprehensive and consistent system for gathering, verifying and maintaining beneficial ownership data across all corporate entities. It's something that we need. It's something that's important. It's something that needs to change.

A beneficial owner refers to the real individual who ultimately possesses or controls a company, trust or asset, even if they are not listed as the legal owner. There are valid reasons for separating legal and beneficial ownership, but intricate ownership arrangements can be exploited to conceal true ownership, enabling activities such as tax evasion, money laundering and other illicit financial conduct. Again, people must have the confidence to know that these systems are fair, and they must have the confidence to know that unscrupulous people cannot take advantage of flaws in systems. The current gap undermines corporate transparency and creates vulnerabilities in the regulatory framework, which can be exploited by bad actors and hinder the effectiveness of enforcement agencies.

The Albanese Labor government's reforms will establish a robust and centralised framework for beneficial ownership disclosure. It will also align us with the Financial Action Task Force, and the FATF outlines global benchmarks for legal and regulatory measures to combat money laundering, terrorism financing and the misuse of corporate structure. The amendments provide ASIC with enhanced enforcement capabilities. ASIC will have more flexibility to identify what needs to be disclosed and how it needs to be disclosed. Compliance will be incentivised through the potential increased penalties for nondisclosure and freezing notices.

The increased transparency means that the public, journalists and academics will have access to the information on who really controls the companies operating in this country. These reforms follow on from Labor's commitment to transparency, with public country-by-country reporting, requirements for information on subsidiaries, tax residency and increased accountabilities for companies bidding for government tenders.

Schedule 2 of this bill concerns the changes Labor is making to help the not-for-profit sector to be more transparent and more trustworthy. One of the key updates in the new bill gives the Australian Charities and Not-for-profits Commission the ability to share information about investigations, either new or ongoing, if doing so could help prevent serious harm. This idea isn't new. It was part of a previous bill that lapsed in the previous parliament, as we've heard. This government is bringing it back because it is important that the generosity of Australians is matched with trust in our charitable organisations. When Australians put their hands into their pockets and take out their hard earned cash to give to charity, they need to know, they need to have confidence, they need to be sure, that that money is being used in a proper way. This change means that the ACNC can let the public know when it's looking into serious concerns about a charity, which helps reassure donors and the community that action is being taken. It's a way to strengthen oversight and to build trust, encouraging more people to support charities through donations and, of course, through volunteering.

Of course, there are strong safeguards in place. The ACNC can only disclose information if it passes the public-harm test—if the issue is already known publicly or if the risk of harm is serious enough to justify speaking out. If the issue isn't already public, the rules are stricter: the charity must be notified and it has the right to challenge the disclosure.

This reform is just the first step in a bigger plan to update secrecy rules around charities. As promised in the 2023-24 budget, the goal is to help double philanthropic giving by 2030. These changes are part of making the sector more open, they're part of making the sector more accountable and they're part of making the sector more trusted, to drive towards that goal. It is part of Labor's broader agenda in the not-for-profit sector, which includes implementing new pathways to deductible-gift-recipient status, consolidating fundraising guidelines and ensuring voices from the sector are part of the ACNC board.

The third schedule of this bill changes how frequently the FRAA can review ASIC and the Australian Prudential Regulation Authority, APRA. Currently, reviews are biennial, but this bill proposes a review every five years. The benefits of this are twofold. Firstly, it will enable the FRAA to conduct more thorough and comprehensive reviews. Secondly, it will support ASIC and APRA to have enough time to respond to and implement review recommendations. The minister will continue to have the power to appoint the FRAA members and will also be able to call for ad hoc reviews of either ASIC or APRA.

Schedule 4 makes small but important changes to laws managed by Treasury, and these tweaks help make sure the laws work the way they were meant to. It's part of an ongoing commitment to keep our tax and financial systems running smoothly. These updates fix drafting errors, clarify wording and implement administrative improvements. They have been flagged by Treasury, other government agencies and legal drafters.

Similar to schedule 4, schedule 5 deals with technical adjustments that require some urgency. These changes are needed quickly to keep key government programs functioning properly. They fix problems caused by earlier legislative changes that didn't work as intended. When we make laws, we need to make sure that they work as intended. Without these fixes, some programs could face delays or disruptions.

Schedule 6 of the bill extends the rules that help ensure Australians receive fair treatment in the energy market. Known as the prohibiting-energy-market-misconduct provisions, the PEMM provisions, these rules give the ACCC the power to investigate and act against energy companies that simply aren't playing fair. The extension until 2031 will ensure that consumers receive protection and that affordability and fairness are upheld as we undergo energy transition.

The final part of this bill will help small businesses invest and grow by extending the $20,000 instant asset write-off for another year until 30 June 2026. This means that small businesses can continue to claim a full deduction for the cost of eligible assets—not just one asset but eligible assets—under $20,000 as long as they are first used or installed by that date. The limit applies to each asset, so businesses can claim multiple purchases separately. We heard Minister Aly talk about this earlier. She talked about it in the context of the fact that this Labor government, the Albanese Labor government, has also introduced the first National Small Business Strategy, which is designed to make sure that small businesses have clarity on this government's vision, that small businesses have a voice and that that voice is clarified in a strategy which includes critical reforms like this.

Up to 4.1 million small businesses—817,000 in my home state of Queensland—will benefit from improved cash flow and reduced compliance. In my electorate of Moreton, on Brisbane's south side, we have so many small businesses. We have many small businesses that are driven by our multicultural communities. Whether it's a small business selling newspapers, serving coffee, or operating as a restaurant in some of our key areas for small business like Sunnybank, it's important that they are part of this and it's important they have benefits to them as small-business owners.

This is part of a suite of support for small business that includes energy relief, cutting red tape and boosting competition through the $900 million National Productivity Fund and extending unfair trading practice protections. Labor has also provided over $60 million to support small businesses to enhance their cybersecurity measures, and this government wants to see the small-business sector thrive. The targeted support offered by this bill balances practical assistance with responsible economic management.

The Treasury Laws Amendment (Strengthening Financial Systems and Other Measures) Bill 2025 reinforces the foundational pillars of investment. It reinforces the foundational pillars of transparency and it reinforces the foundational pillar of accountability. Each one of those is critical to building a resilient and trustworthy financial system.

This bill 's seven schedules translate these principles into practical action. Key reforms include the creation of a public beneficial ownership register to enhance corporate transparency, stronger oversight of charities to protect public trust and more strategic reviews of financial regulators. Fundamentally, technical amendments will ensure smooth legislative function while extended protections in the energy market and support for small businesses will demonstrate that Labor's commitment to fairness and economic resilience is paramount. They collectively strengthen our financial architecture and promote long-term transparency.

Andrew Leigh (Fenner, Australian Labor Party, Assistant Minister for Productivity, Competition, Charities and Treasury) Share this | Link to this | Hansard source

What a terrific speech we just heard from the member for Moreton. I would like to thank her and all those members who have contributed to the debate: the members for Fairfax, Bennelong, Monash, Maribyrnong, New England, Griffith, Mackellar, Curtin, Barton, Ryan, Cowan, Wentworth, Warringah and Chifley. There have been wide-ranging speeches focusing on stories and on policy, and the House has been better for the debate and the important conversation about charities, which too rarely comes to this House.

The Treasury Laws Amendment (Strengthening Financial Systems and Other Measures) Bill 2025 brings together a suite of measures aimed at strengthening confidence in our markets, improving the performance of regulators and supporting long-term economic growth. It covers corporate disclosure, charity regulation, financial oversight, energy market protections and taxation. A standout provision for small business is the extension of the $20,000 instant asset write-off until the middle of 2026. By allowing immediate deductions, we lower the barrier to investment and help ensure Australian workers have the tools they need to thrive.

The bill also reinforces the importance of transparency. In the corporate sector, clearer ownership information supports fairer decision-making and better governance. For civil society, empowering the charities regulated to speak publicly when misconduct is suspected helps maintain trust in the sector. In both business and the not-for-profit world, transparency is the oxygen that accountability needs. Additional provisions ensure robust reviews of financial regulators, maintain consumer protections in the energy market and make technical amendments to keep the law operating as intended. Together those reforms promote investment, transparency and accountability, the foundations of stronger productivity and public confidence.

Let me briefly give the House an overview of the schedules. Schedule 1 improves transparency of ownership of some of Australia's biggest and most influential businesses. These amendments close loopholes and disclosure requirements and provide the Australian Securities and Investments Commission with the tools it needs to quickly and efficiently encourage and shore up compliance. They also bring Australia into greater alignment with the corporate ownership disclosure requirements over a number of comparable jurisdictions. The changes will improve market efficiency by reducing information asymmetry and increasing market integrity, improving investors' access to information and supporting a more efficient allocation of resources. They will also better support company directors and other interested stakeholders to identify when a person or group of associates might be building up an influential stake in their company.

Schedule 1 to the bill further supports corporate transparency by providing greater access to beneficial ownership information to interested members of the public, including providing journalists and academics, who play a key role in initiating and encouraging public debate, with fee-free access to tracing notice registers. Overall, a stronger beneficial ownership disclosure regime will assist regulators and law enforcement to address tax evasion, money laundering and other financial crime facilitated by complex ownership arrangements.

Schedule 2 to the bill allows the Australian Charities and Not-for-profits Commission to disclose information about new or ongoing investigations where necessary to prevent or minimise the risk of significant harm. This reform will allow the Australian Charities and Not-for-profits Commission to assure charities and donors that it is acting on issues of public concern and strengthening compliance to build the necessary public trust and confidence for donors and philanthropists to increase their support for the sector.

Schedule 3 changes the frequency of the Financial Regulator Assessment Authority's review cycles from biannually to every five years. This change will enable the authority to conduct more comprehensive reviews into our financial system regulators and allow the Australian Securities & Investments Commission and Australian Prudential Regulation Authority sufficient time to respond to recommendations made by the authority.

Schedules 4 and 5 to the bill make minor machinery and other technical amendments to various laws in the Treasury portfolio to ensure those laws operate in accordance with policy intent, improve administrative outcomes, remedy unintended consequences and correct technical and drafting defects.

Schedule 6 to the bill will maintain protections for consumers and constrain market misconduct through extending the sunset date of the Treasury Laws Amendment (Prohibiting Energy Market Misconduct) Act provisions to 1 January 2031. The amendment supports the ongoing efforts to improve electricity affordability and protect consumers in the energy market and complements other initiatives as part of the energy transition.

Schedule 7 of the bill extends the $20,000 instant asset write-off until 30 June 2026. This will improve cashflow and reduce compliance costs for small businesses.

We are heading now towards votes on two second reading amendments and a substantive amendment. To save the time of the House, let me say that the government will not be supporting those second reading amendments and substantive amendment. I won't go to all of the specifics of those second reading and substantive amendments. But I note that, in the case of the second reading amendment moved by the shadow Treasurer, he is wrong to say that this will reduce the scrutiny of ASIC and APRA. Indeed, this will provide more scrutiny through carrying out better reviews and allowing those organisations the time to respond to the important outcomes of the reviews. To the amendment moved by the member for Wentworth, we share the goals of tax reform, productivity and boosting the uptake of renewable energy, but we prefer other means through which to achieve that. The respect that this side of the House holds for the member for Wentworth was reflected in her important participation in the economic reform roundtable, which took place in the cabinet room recently. I commend the bill to the House.

Milton Dick (Speaker) Share this | Link to this | Hansard source

The question before the House is that the amendment moved by the honourable member for Mackellar be agreed to.

Milton Dick (Speaker) Share this | Link to this | Hansard source

The question before the House is that the amendment moved by the honourable member for Fairfax be agreed to.