Business tax cuts budget priority: report

Colin Brinsden, AAP Economics Correspondent
AAP

The Australian Industry Group says cutting business taxes must remain a high priority for the May 8 budget.

Releasing a survey of large and small businesses, they put corporate tax cuts ahead of infrastructure spending, bringing the budget back to balance and measures to address current and future skilled shortages.

Ai Group's chief executive Innes Willox said these priorities have been consistent over the past five years.

The survey found most rank the reduction of the business tax burden as either top or the second highest priority.

"This is an unambiguous expression of support for the government to stay on course with the proposed phase-down in the corporate tax rate over the coming decade," Mr Willox said in a statement.

He said this should be the centrepiece of a program of far-reaching and comprehensive tax measures, including personal tax reform targeted to lower and middle-income households.

"Business will assess next month's budget against these priorities and will be encouraging all sides of politics to support policies that underpin the business investment and improved productivity required to lift community living standards," Mr Willox said.