THE NEWS WRAP: Treasurer hints at tax relief for struggling businesses

Businesses that have suffered due to the sky-high Australian dollar could be offered tax relief, Treasurer Wayne Swan has hinted.

Speaking ahead of a tax summit in October, Swan said that the Government wanted to take measures to help businesses and “keep them competitive” in the current trading environment.

However, he ruled out any change to the GST regime.

Woolworths close in on Coles

Woolworth is starting to close in on the sales of its arch rival Coles, prompting shares in Coles’ parent company Wesfarmers to fall to a 12-month low.

Coles reported food and liquor sales of $6.18 billion in the last quarter, although its lead over Woolworths has dropped to 1.2% compared with a 4.2% gap at the end of the first quarter last year.

ACCC acts on Spanish scammer

The Australian Competition and Consumer Commission has won a declaration from the Federal court that a company deliberately scammed other small businesses for more than three years.

Spanish-based European City Guide conned small firms for as much as $1,600 each to sign up to what appeared to be a compulsory Federal Government scheme.

Overnight

The Dow Jones Industrial Average was down 62.44 points to 12,240.11. The Australian dollar was down to 110.29 US cents.