The Australian Chamber of Commerce and Industry (ACCI) urged the federal government to continue with its planned business tax breaks amidst the emerging possibility that the government would not be able to forge a deal with resources companies on its proposed resource super profits tax.

However, Prime Minister Julia Gillard expressed optimism that her government would eventually reach an agreement on the controversial tax, which carries provisions for allocation of some collected revenues for payment of the proposed two percent cut in company tax rate and further assistance on small businesses which planned to write-off assets.

ACCI chief executive Peter Anderson called on the government to implement the measures regardless of the result of its talks with mining companies.

Mr Anderson underscored the fact that the planned tax relief is essential for the country's economic recovery and more so "it is essential if the private sector is going to take up the slack as the public stimulus withdraws from our economy."

Reports are ripe that BHP, Rio Tinto and Xstrata met with Ms Gillard yesterday to discuss the mining tax though no confirmations were offered by all parties concerned as of press time.

However, Queensland ALP chief Andrew Dettmer informed media people in Brisbane that the prime minister arrived late for fund-raising dinner last night, supposedly coming from the talks held with the country's three mining giants.

Along this line, speculations are circulating that Ms Gillard would announce a major news about the talks by today but a senior minister clarified that the prime minister is not following a specific timeline for such announcement, without dispelling her rumoured discussions with the three companies.