Overview

• The Coalition has proposed allowing small businesses to claim up to $20,000 annually in tax deductions for business meals and entertainment, excluding alcohol, to support the hospitality sector.
• Treasury analysis, released by Treasurer Jim Chalmers, estimates the policy could cost between $1.6 billion and $10 billion annually, depending on business uptake.
• Opposition Leader Peter Dutton argues the plan will aid small businesses recovering from economic challenges and increase productivity by encouraging networking.
• The Albanese government criticizes the policy as fiscally irresponsible, claiming it would burden taxpayers without clear offsets to fund the initiative.
• Shadow Treasurer Angus Taylor has promised transparency on policy costings before the next election but has accused Labor of politicizing the public service by using Treasury to attack the opposition.