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This study examines the impact of the introduction of the Goods and Services Tax (GST) on small business in Australia in the context of the experiences faced in similar countries overseas. Using a case study methodology, data was gathered from six small businesses that were observed throughout the introductory period of the new tax system. In particular, this article considers the costs for small businesses in complying with the new tax system. Businesses reported actual GST compliance costs ranging from $3,331 to $30,140 per business in the cases examined. For the two smallest businesses, their compliance costs amounted to over 3% of the firm's reported annual turnover. The study also identified significant on‐going record keeping and accounting costs that are required by small businesses in order to meet their GST obligations. These findings indicate that governments need to be more aware of the impact of tax reforms on small businesses if they wish to implement changes with minimal adverse impacts on business operations.

Internationally, a certain market failure has become apparent in terms of the effective engagement of small business owner‐managers in business support programs, and in the wider concept of life long learning. There exists a cultural gap between support agencies and the small business sector’s perceptions of the utility of formal support and learning interventions to the business performance of their business. Therefore, this paper extends knowledge and understanding within this context relative to what constitutes small business owner‐managers’ learning disposition, means, obstacles and organisation to be confronted and what form of new ’architecture’ needs to be designed to support learning. A theoretical framework supports the analysis of findings from a research project based in Melbourne, Australia, which serves to illuminate pertinent issues towards informing more sensitised support interventions. Specifically, the attribute of a learning culture was identified as a factor contributing to growth in small businesses, and may represent a distinguishing characteristic between effective and non‐effective economic performers.