Today the Federal Government announced a $17.6 billion stimulus package designed to limit the damage coronavirus has on the economy.
Today the Federal Government announced a $17.6 billion stimulus package designed to limit the damage coronavirus has on the economy.

Calls to spend stimulus cash in Gladstone

The Gladstone Chamber of Commerce and Industry wants to see one off cash payments spent at local businesses.

Today the Federal Government announced a $17.6 billion stimulus package designed to limit the damage coronavirus has on the economy.

It includes a one-off payment of $750 for pensioners, people on social security and other income support recipients.

Chamber president Joe Smith said the objective of the measure was to stimulate spending, but there was no guarantee it would flow through to retail businesses in Gladstone.

"Hopefully the majority of it goes back into local retail," he said.

His message to residents receiving the payments was to keep the money in the region.

"Please use that $750 to buy from a local business and put that money back in our community," he said.

The Rudd Government delivered one-off payments of $900 to taxpayers in the wake of the 2008 Global Financial Crisis.

Mr Smith said the lessons learnt from last time was lot of money went back to the government via indirect taxes.

The stimulus package also includes measures designed to keep apprentices in work and support small and medium businesses.

Eligible small businesses can apply for a wage subsidy of 50 per cent of apprentices or trainees wages for up to nine months.

Small to medium businesses will benefit with an increase to the instant asset write off threshold from $30,000 to $150,000 and accelerated depreciation deductions.

There will also be incentives of between $2000 and $25,000 for about 690,000 eligible businesses.

According to the Federal Government, "businesses will receive payments of 50 per cent of their Business Activity Statements or Instalment Activity Statement from April 28".

"That one will definitely have an effect," Mr Smith said.

He had spoken with Federal MP Ken O'Dowd about an increase to the asset write off last year and was pleased to see it raised to $150,000.