WA Treasurer defends the state's compliance with the GST agreement, criticising the federal Treasurer's interpretation and highlighting WA's tax reform efforts and commitment to further review, independent of federal influence.

AnsweredQoN 341Legislative Assembly
Asked
30 June 2005
Portfolio
Treasurer

QuestionView source ↗

Will the Treasurer update the house on the progress of the goods and services tax agreement with Canberra and the state government’s continued commitment to taxation reform? Mr E.S. RIPPER

AnswerView source ↗

Mr Speaker, 1 July marks the day on which Western Australia honours the goods and services tax agreement with the commonwealth, on time and in full. Despite the huffing and puffing from the federal Treasurer, Peter Costello, the fact remains that the agreement called for the abolition of three taxes. We have abolished financial institutions duty and stamp duty on quotable marketable securities and from tomorrow we will abolish debits tax. The GST agreement with Canberra has been honoured 100 per cent, and any threats of reprisal from the federal Treasurer are not justifiable and are based on the deliberate misrepresentation of the intergovernmental agreement and, indeed, a deliberate misrepresentation of the English language word “review”. Let me quote from the Collins Australian Pocket Dictionary . The principal meaning of the word “review” is “to examine again”. Perhaps I should send a copy of the dictionary to Mr Costello so that he can develop a true understanding of the agreement that was signed by the Prime Minister and the Premiers in the term of our coalition predecessors. I do not have to rely on only a dictionary definition and a common understanding of the meaning of the word “review”, because we have independent legal advice that supports our view that we have more than met the terms of the agreement. We have an impressive record of financial management and tax reform. We have scrapped three of the taxes that were listed for review in the IGA. In last month’s budget we tackled another of those taxes listed for review by abolishing mortgage duty on refinancing for owner-occupiers and small businesses. We have done more than deal with the three taxes required to be abolished. Three out of the six that were listed for review have gone. We have also dealt with two taxes that were outside the intergovernmental agreement in the first place. We have abolished stamp duty on life insurance and workers’ compensation insurance premiums. No-one should say that the IGA covers the entire field of tax. What is lacking in the Canberra approach is any recognition of our socially responsible stance on poker machines, through which this state forgoes more that $200 million in revenue each year. Our state is the lowest taxing of all the states. We do not rest on this issue. The job is not over. Next week, I will release the terms of reference for the state tax review. We will be consulting with the community. The review will shape tax reform and tax relief in this state over the next five years. It will be based on the highly successful business tax review process that we undertook in our first term of government, but there will be a wider aim to address the impact of taxes on not only businesses but also all Western Australians. Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
Mr E.S. RIPPER replied: Mr Speaker, 1 July marks the day on which Western Australia honours the goods and services tax agreement with the commonwealth, on time and in full. Despite the huffing and puffing from the federal Treasurer, Peter Costello, the fact remains that the agreement called for the abolition of three taxes. We have abolished financial institutions duty and stamp duty on quotable marketable securities and from tomorrow we will abolish debits tax. The GST agreement with Canberra has been honoured 100 per cent, and any threats of reprisal from the federal Treasurer are not justifiable and are based on the deliberate misrepresentation of the intergovernmental agreement and, indeed, a deliberate misrepresentation of the English language word “review”. Let me quote from the Collins Australian Pocket Dictionary . The principal meaning of the word “review” is “to examine again”. Perhaps I should send a copy of the dictionary to Mr Costello so that he can develop a true understanding of the agreement that was signed by the Prime Minister and the Premiers in the term of our coalition predecessors. I do not have to rely on only a dictionary definition and a common understanding of the meaning of the word “review”, because we have independent legal advice that supports our view that we have more than met the terms of the agreement. We have an impressive record of financial management and tax reform. We have scrapped three of the taxes that were listed for review in the IGA. In last month’s budget we tackled another of those taxes listed for review by abolishing mortgage duty on refinancing for owner-occupiers and small businesses. We have done more than deal with the three taxes required to be abolished. Three out of the six that were listed for review have gone. We have also dealt with two taxes that were outside the intergovernmental agreement in the first place. We have abolished stamp duty on life insurance and workers’ compensation insurance premiums. No-one should say that the IGA covers the entire field of tax. What is lacking in the Canberra approach is any recognition of our socially responsible stance on poker machines, through which this state forgoes more that $200 million in revenue each year. Our state is the lowest taxing of all the states. We do not rest on this issue. The job is not over. Next week, I will release the terms of reference for the state tax review. We will be consulting with the community. The review will shape tax reform and tax relief in this state over the next five years. It will be based on the highly successful business tax review process that we undertook in our first term of government, but there will be a wider aim to address the impact of taxes on not only businesses but also all Western Australians. Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
Mr Speaker, 1 July marks the day on which Western Australia honours the goods and services tax agreement with the commonwealth, on time and in full. Despite the huffing and puffing from the federal Treasurer, Peter Costello, the fact remains that the agreement called for the abolition of three taxes. We have abolished financial institutions duty and stamp duty on quotable marketable securities and from tomorrow we will abolish debits tax. The GST agreement with Canberra has been honoured 100 per cent, and any threats of reprisal from the federal Treasurer are not justifiable and are based on the deliberate misrepresentation of the intergovernmental agreement and, indeed, a deliberate misrepresentation of the English language word “review”. Let me quote from the Collins Australian Pocket Dictionary . The principal meaning of the word “review” is “to examine again”. Perhaps I should send a copy of the dictionary to Mr Costello so that he can develop a true understanding of the agreement that was signed by the Prime Minister and the Premiers in the term of our coalition predecessors. I do not have to rely on only a dictionary definition and a common understanding of the meaning of the word “review”, because we have independent legal advice that supports our view that we have more than met the terms of the agreement. We have an impressive record of financial management and tax reform. We have scrapped three of the taxes that were listed for review in the IGA. In last month’s budget we tackled another of those taxes listed for review by abolishing mortgage duty on refinancing for owner-occupiers and small businesses. We have done more than deal with the three taxes required to be abolished. Three out of the six that were listed for review have gone. We have also dealt with two taxes that were outside the intergovernmental agreement in the first place. We have abolished stamp duty on life insurance and workers’ compensation insurance premiums. No-one should say that the IGA covers the entire field of tax. What is lacking in the Canberra approach is any recognition of our socially responsible stance on poker machines, through which this state forgoes more that $200 million in revenue each year. Our state is the lowest taxing of all the states. We do not rest on this issue. The job is not over. Next week, I will release the terms of reference for the state tax review. We will be consulting with the community. The review will shape tax reform and tax relief in this state over the next five years. It will be based on the highly successful business tax review process that we undertook in our first term of government, but there will be a wider aim to address the impact of taxes on not only businesses but also all Western Australians. Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
We have an impressive record of financial management and tax reform. We have scrapped three of the taxes that were listed for review in the IGA. In last month’s budget we tackled another of those taxes listed for review by abolishing mortgage duty on refinancing for owner-occupiers and small businesses. We have done more than deal with the three taxes required to be abolished. Three out of the six that were listed for review have gone. We have also dealt with two taxes that were outside the intergovernmental agreement in the first place. We have abolished stamp duty on life insurance and workers’ compensation insurance premiums. No-one should say that the IGA covers the entire field of tax. What is lacking in the Canberra approach is any recognition of our socially responsible stance on poker machines, through which this state forgoes more that $200 million in revenue each year. Our state is the lowest taxing of all the states. We do not rest on this issue. The job is not over. Next week, I will release the terms of reference for the state tax review. We will be consulting with the community. The review will shape tax reform and tax relief in this state over the next five years. It will be based on the highly successful business tax review process that we undertook in our first term of government, but there will be a wider aim to address the impact of taxes on not only businesses but also all Western Australians. Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
We have also dealt with two taxes that were outside the intergovernmental agreement in the first place. We have abolished stamp duty on life insurance and workers’ compensation insurance premiums. No-one should say that the IGA covers the entire field of tax. What is lacking in the Canberra approach is any recognition of our socially responsible stance on poker machines, through which this state forgoes more that $200 million in revenue each year. Our state is the lowest taxing of all the states. We do not rest on this issue. The job is not over. Next week, I will release the terms of reference for the state tax review. We will be consulting with the community. The review will shape tax reform and tax relief in this state over the next five years. It will be based on the highly successful business tax review process that we undertook in our first term of government, but there will be a wider aim to address the impact of taxes on not only businesses but also all Western Australians. Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
We do not rest on this issue. The job is not over. Next week, I will release the terms of reference for the state tax review. We will be consulting with the community. The review will shape tax reform and tax relief in this state over the next five years. It will be based on the highly successful business tax review process that we undertook in our first term of government, but there will be a wider aim to address the impact of taxes on not only businesses but also all Western Australians. Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
Our tax reform and tax relief agenda will not be dictated to by Canberra. After all, Canberra takes nearly $3 billion a year out of this state to finance its expenditure in other parts of the country. Our state tax review will respond to the needs of the Western Australian economy and to the opinions of Western Australians. We will not be dictated to by Peter Costello. Several members interjected. The SPEAKER : I call the member for Capel to order.
Several members interjected. The SPEAKER : I call the member for Capel to order.
The SPEAKER : I call the member for Capel to order.

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