Business lobby backs tax boost to bolster productivity

Bran Black says tension following the threat of US tariffs reinforces the need for a good economy. (Bianca De Marchi/AAP PHOTOS)

Greater tax incentives should be handed out to companies to boost investment amid global uncertainty and a downturn in productivity, Australia's business lobby has urged.

In its submission to the federal government ahead of the federal budget, the Business Council of Australia has called for a investment allowance of 20 per cent to all companies.