The government’s long awaited tax discussion paper says Australia has a relatively low tax burden compared to other developed countries but its system faces “challenges from a changing world”.
Can everyone be a winner from comprehensive tax reform?
Image sourced from Shutterstock.com
Under Australian law, changes to the GST are said to be not permitted unless the states agree to the changes. In reality, the GST lock-in mechanism is legally meaningless and unenforceable, though it may…
History tells us it’s better for countries to get their GST right to start with, rather than try to broaden the base later.
Natalie Boog/AAP
Value added tax (VAT), virtually non-existent before 1960, has been the predominant form of consumption tax since the mid-1980s. Given that more than 160 countries now have a VAT, it is hardly surprising…
Many stubbornly believe a bigger pot of GST revenues, like the magic pudding, will regenerate.
PeraCultured/Flickr
Australia’s latest GST debate may be the political version of The Magic Pudding. We stubbornly believe that a bigger pot of GST revenues will regenerate – in whatever flavour is desired – like Alfred the…
Shifting the tax burden to wage earners in the middle is a costly and outdated approach to tax reform.
Dave Hunt/AAP
Many developed economies have experienced a significant increase in inequality in recent decades. Survey data for Australia show that the share of the top 10% of the income distribution, and more markedly…
Australia’s GST is considered a regressive tax, so the idea of extending it to fresh food is considered unfair. A more detailed analysis reveals it’s not that simple.
Charlotte90T/Flickr
With the federal government’s review of taxation about to get underway, many are expecting Australia’s Goods and Services Tax to be up for change. In this GST series we take a closer look at the evidence…
The first incarnation of the now-gone mining tax focused on economic rent. Is targeting powerful rent seekers too hard?
AAP/Kim Christian
Tax is back in the spotlight with coalition MPs and the Australia Institute talking about getting rid of some of the exemptions to the GST. There has also been a lot of talk about whether or not corporate…
Prime Minister Tony Abbott needs to contain the backbiting and discontent in the higher reaches of his government.
AAP/Lukas Coch
After getting a serious bollocking from Ray Hadley on Thursday, Tony Abbott told the Sydney shock jock that he’s determined to be “a better prime minister with a better government and a more effective…
To prevent future pain, the government can’t put off tough decisions on tax.
Lukas Coch/AAP
The government’s recent budget outlook (MYEFO) confirmed that the Australian government budget is rotten at the core. The government is hopelessly living beyond its means, with expenditure greater than…
Clive Palmer was totally opposed to the government’s “direct action” climate policy only a few months ago. Now he’s voting for it.
AAP/Alan Porritt
In a move that channels John Howard, Tony Abbott has put changing the GST on the political agenda, just over a year after assuring the public it would not be altered, “full stop, end of story”. In the…
Prime Minister Tony Abbott has pressed the need for a broad overhaul of the federation.
AAP/Paul Miller
Tony Abbott has declared he will make the case for changing the tax system and the federation, but said the outcome will depend on community acceptance. Again striking a cautious note as he tries to pave…
Victorian Premier Denis Napthine faces an uphill battle at November’s state election.
AAP/Lukas Coch
On the ropes already and facing the polls on November 29, the Victorian Liberals have yet again been knocked by their federal colleagues. Tuesday’s move to reintroduce fuel indexation by the tariff route…
A review of federalism and taxation should begin with recognising the value of what we have created as a nation.
Flickr/Ross Thomson
The reform of Australia’s federation is under review. So far in our special series, leading Australian academics have discussed the future of the federation when it comes to taxation, education and health…
The way we are governed has changed radically from the world of the Constitutional founders.
Flickr/Alison Young
The reform of Australia’s federation is under review, with a White Paper process currently underway. In partnership with the Australian National University’s Tax and Transfer Policy Institute at the Crawford…
There have been instances of successful federalism - how do we return to these?
Flickr/monkeyc.net
When our two major levels of government work in partnership, our Federation can function well. The standout period for cooperative federalism was the Hawke/Keating term of government, producing the National…
An unintended consequence of competitive federalism has led states to abandon high benefit-cost ratio projects for inferior ones.
AAP/Alan Porritt
Calls to lift the GST rate to placate the states financial challenges will serve to only exacerbate an already severe vertical fiscal imbalance and prolong a deeply unsatisfactory chapter in Australia’s…
Realistic reforms to federal-state financial relations are possible with the right amount of political will.
AAP/Alan Porritt
The federal budget reignited debate over federal-state relations with a decision to cut $80 billion funding for the state responsibilities of schools and hospitals over the coming years. So how can federal-state…
Most Australians already fail to meet the recommended daily intake of fruit and vegetables.
Strikkelise/Flickr
Recent calls by Australian government ministers and senior officials to broaden the goods and services tax (GST) base to include fresh fruit and vegetables would make the population’s diet go from bad…
Australia’s state premiers are avoiding a GST discussion.
Daniel Munoz/AAP
This past Tuesday was another bad day for Australian federalism: the Abbott government’s first budget announced the axing of the COAG Reform Council and the withdrawal of a promised A$80 billion from health…