More Winners In 20BILLION Coronavirus Cash Splash Are Unveiled
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Nearly $7billion in tax-free cash will be given to small business bosses to keep apprentices in jobs as part of a stimulus package designed to prevent a recession sparked by the coronavirus crisis.
Scott Morrison's emergency measures will cost close to $20billion and will include a huge expansion of the instant assets write-off.
Pensioners and people on welfare will also get a one-off cash injection of $500 in a bid to boost the economy, according to reports, after the stock market suffered its worst slump since the 2008 Global Financial Crisis.
The Treasury expects the coronavirus, which has now infected 128 people in Australia, will see growth drop by 0.5 per cent the March quarter.
Hospital staff are seen helping patients outside the Royal Melbourne Hospital on Wednesday (pictured) as they screen hundreds of people for the coronavirus
Help to retain apprentices, $6.7 billion in tax-free money for small business and an expansion of the instant asset write-off will be offered under a Morrison government plan to boost the economy (stock image)
Economists said whether Australia avoids recession will be determined by the length of time coronavirus crisis continues.
Mr Morrison said he is determined to keep economic growth in positive territory.
'Our targeted stimulus package will focus on keeping Australians in jobs and keeping businesses in business so we can bounce back strongly,' Mr Morrison said.
Under the plan, to be unveiled on Thursday, the government will offer up to $7,000 each quarter for each apprentice employed by a small businesses.
This will help small businesses, such as local building firms, retain existing apprentices and trainees.
As well, they will be able to re-employ apprentices and trainees who lose positions because of any coronavirus downturn.
A passenger wearing a mask and gloves arrives at Sydney Airport on Wednesday morning (pictured) as multiple flights were cancelled
Health Minister Greg Hunt, Australian Prime Minister Scott Morrison and Australia's Chief Medical Officer Professor Brendan Murphy (pictured, left to right) speak on Wednesday
The wage subsidy is worth about $1.3 billion.
Businesses with turnover under $50 million will have access to a tax-free payment of up to $25,000 to help boost cash flow.
Eligible businesses that withhold tax to the ATO on their employees' wages will receive of 50 per cent of the amount withheld, up to a maximum payment of $25,000.
It's estimated the measure will cost $6.7 billion over four years, benefiting almost 700,000 businesses and 7.8 million workers.
The government will also spend $700 million over four years to expand the instant asset write-off.
Currently, the instant asset write-off allows small businesses - those with an annual turnover of less than $10 million - to claim for new or dagang saham indonesia second-hand equipment up to the cost of $30,000.
The threshold will be raised from $30,000 to $150,000 and expand to businesses with an annual turnover from $50 million to $500 million.
It's expected to drive interest in the purchases of cars, utes and trucks, harvesters and tradies' equipment.
'The government has worked hard over the last six and a half years to return the budget to balance so we have the flexibility to respond to the serious economic challenges posed by the coronavirus,' Treasurer Josh Frydenberg said.
'In our response, we have been very careful not to repeat the mistakes of previous stimulus programs and not undermine the structural integrity of the budget.'
There are calls for changes to Newstart to allow casual workers access to paid sick leave (stock image)
