The Australian Dental Industry Association—on behalf of Australian dental product manufacturers—is calling on the Australian parliament to pass in full the Government’s plans to cut company taxes from 30 to 25 per cent for all companies by 2026-27.
This is in light of recent proposals in the US to cut company taxes from 35 to 20 per cent.
Parliament has already passed a company tax cut that provides businesses—which have a turnover of less than $10 million—with a reduction in their tax rate to 27.5 per cent. (In addition, over the next 10 years, the company tax rate will drop to 25 per cent for businesses with an aggregated turnover of less than $50 million.)
“ADIA is calling on parliamentarians of all persuasions not only to state their commitment to this plan, but also commit to cutting company tax to 25 per cent for all businesses within a decade,” ADIA CEO Troy Williams said.
“Dental product manufacturers are not alone when competing for overseas capital to fund research and development in the medical technology sector,” he added.
“A lower corporate tax rate provides a competitive platform for Australian businesses to reach out and successfully attract overseas investment.”
In supporting cuts to taxation, ADIA has drawn attention to the challenges that local dental product manufacturers face when getting new patient diagnostic and treatment solutions to market, noting that compared to many of their overseas competitors, Australian dental product manufacturers face higher wages, higher commercial property lease costs, higher freight charges and higher corporate taxes.
“The cuts to company tax rates helps create an environment that helps Australian dental product manufacturers become more globally competitive,” Williams concluded.
Based on information sourced from the ADIA website.
