A member of parliament questions why school bus service partnerships linked to companies cannot claim payroll tax as legitimate costs. The Minister denies any such direction exists and states costs are factored into tender prices.

AnsweredQoN 1057Legislative Council
Asked
23 November 2004
Portfolio
Planning and Infrastructure

QuestionView source ↗

Why can a partnership that operates a school bus service, which under the Labor Government’s direction must be linked to a company structured business, not claim costs associated with paying payroll tax as legitimate costs when negotiating a contract? Hon KEN TRAVERS

AnswerView source ↗

I thank the member for some notice of this question. I am advised that neither the minister nor the Public Transport Authority of Western Australia is aware of any direction that partnerships operating school bus services must be linked to a company structured business. Contracts for existing school bus services are already in place, with negotiations having concluded. New contracts for school bus services will be awarded on the terms of the successful tender for those services. It would be for the tenderer to decide whether to recover payroll tax costs in its tender price.
Hon KEN TRAVERS replied: I thank the member for some notice of this question. I am advised that neither the minister nor the Public Transport Authority of Western Australia is aware of any direction that partnerships operating school bus services must be linked to a company structured business. Contracts for existing school bus services are already in place, with negotiations having concluded. New contracts for school bus services will be awarded on the terms of the successful tender for those services. It would be for the tenderer to decide whether to recover payroll tax costs in its tender price.
I thank the member for some notice of this question. I am advised that neither the minister nor the Public Transport Authority of Western Australia is aware of any direction that partnerships operating school bus services must be linked to a company structured business. Contracts for existing school bus services are already in place, with negotiations having concluded. New contracts for school bus services will be awarded on the terms of the successful tender for those services. It would be for the tenderer to decide whether to recover payroll tax costs in its tender price.

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