Tax Laws Amendment (Small Business Measures No. 1) Bill 2015 was passed by parliament on 15 June 2015 and is awaiting royal assent. It will reduce the company tax rate from 30 per cent to 28.5 per cent for not for profit companies that are small business entities for the income years starting on or after 1 July 2015.
A not for profit company is a small business entity if its aggregated turnover is less than $2 million.
The company tax rate and shade-in taxable income limit for not for profit companies that are small business entities will be changed. The current rates and limits will still apply to all other not for profit companies.