Lock in small business tax cut first: AIG

Industry is proposing a compromise over company tax cuts, suggesting the Turnbull government put off a campaign to give relief to big business until the next election.

Australian Industry Group chief Innes Willox believes the coalition should put its initial tranche of legislation to parliament in the next two months, dropping the rate from 30 to 27.5 per cent for small and medium-sized companies by mid-2019.

"It would be better to compromise and lock in an achievable near-term goal while setting in train a more substantial evaluation of how we can build a more competitive tax system," he writes in The Australian Financial Review on Wednesday.