AN EVALUATION OF THE PROPOSED CHANGES TO THE INDIVIDUAL TAX RESIDENCY RULES
MELISSA BELLE ISLE AND BRETT FREUDENBERG
Abstract
Little is known about the knowledge (literacy) of small business owners (SBO). This is of
concern as the capabilities of SBOs may be central to the success of their business. For
example, such literacies might influence the SBO’s ability to manage cashflow, know their
obligations under the tax system and how to interpret the financial position of the business.
This article reports a survey of small businesses in the service sector in terms of their literacy
for financial statements, computer accounting software and business tax, and if there is any
relationship between them. Results demonstrates that there is a linear relationship between
them and that certain demographics are likely to have lower overall literacy.