❓ Mr L'Estrange asks for an update on WA's fight for a fairer share of GST. The Treasurer responds, highlighting federal government support but criticising the Labor opposition and the loss of support from QLD and VIC.
AnsweredQoN 863Legislative Assembly
QuestionView source ↗
GOODS AND SERVICES TAX — STATE SHARE
863. Mr S.K. L'ESTRANGE to the
Treasurer:
I refer to the Treasurers'
meeting in Sydney last week. Can the Treasurer please provide an update on
Western Australia's fight for a fairer share of the goods and services
tax?
863. Mr S.K. L'ESTRANGE to the
Treasurer:
I refer to the Treasurers'
meeting in Sydney last week. Can the Treasurer please provide an update on
Western Australia's fight for a fairer share of the goods and services
tax?
AnswerView source ↗
I thank the member for the question.
It is very relevant, and in fact this is one of the most important issues we
face. All the Treasurers from the states and territories and the commonwealth
met in Sydney last week. It was a very useful meeting. It was the first time we
have met with the new Treasurer, Hon Scott Morrison, and he showed that he was
not only across his brief, but also very understanding of the plight that
Western Australia faces in receiving its share of the GST. In one of his first
interviews on taxation issues two weeks ago—in the national press, not
just the Western Australian press—it will be remembered that he stated
quite clearly that in his view Western Australia was treated poorly under the
sharing arrangements for the GST. He emphasised that in the meeting with me and
the other Treasurers and, in his press conference after the meeting of
Treasurers, he reiterated his view. In other words, just like his predecessor,
Hon Joe Hockey, Hon Scott Morrison and the Turnbull government realise that
Western Australia is poorly done by in the sharing of GST, and are committed to
trying to doing something about it. Contrast that with the Shorten opposition,
which is committed to doing nothing. We are committed to doing something.
Dr A.D. Buti : You
have done nothing.
Dr M.D. NAHAN : The
member said that we did nothing. The federal Treasurer and I discussed the $499
million given to the Western Australian government by the Abbott government
last year. The member for Armadale says that was nothing; $499 million is
something.
Mr W.J. Johnston interjected.
The SPEAKER :
Member for Cannington, you have been called twice.
Dr M.D. NAHAN : We
all realise that we are in deficit this year and we were in deficit last year,
but we would not be in deficit if we got our fair share of GST. We face not a
revenue problem, but a distributional problem. We hope and expect the share of
GST to improve, but Treasury tells me it is not improving as rapidly as
expected, because of changes to things such as population growth. We are having
further discussions with the commonwealth government about assistance in the
upcoming 2016–17 financial year. Our biggest impediment is that in the
past Western Australia had the support of the Queensland, New South Wales and
Victorian governments in moving towards a per capita share, but now, because of
the Labor Party in Queensland and Victoria, those states have dropped out, so
it is just us and New South Wales on our lonesome. The commonwealth Treasurer
and government are committed to change and the government of Western Australia
is committed to change. The oppositions do not count. I am confident that we
will get some improvement in the long term.
Ms R. Saffioti interjected.
The SPEAKER :
Member for West Swan, I call you to order for the first time. I do not want any
more interjections while I am on my feet. A quick answer please, Treasurer.
Dr M.D. NAHAN : One
thing is sure: only under federal and state Liberal governments will we get a
better improvement of GST outcomes.
It is very relevant, and in fact this is one of the most important issues we
face. All the Treasurers from the states and territories and the commonwealth
met in Sydney last week. It was a very useful meeting. It was the first time we
have met with the new Treasurer, Hon Scott Morrison, and he showed that he was
not only across his brief, but also very understanding of the plight that
Western Australia faces in receiving its share of the GST. In one of his first
interviews on taxation issues two weeks ago—in the national press, not
just the Western Australian press—it will be remembered that he stated
quite clearly that in his view Western Australia was treated poorly under the
sharing arrangements for the GST. He emphasised that in the meeting with me and
the other Treasurers and, in his press conference after the meeting of
Treasurers, he reiterated his view. In other words, just like his predecessor,
Hon Joe Hockey, Hon Scott Morrison and the Turnbull government realise that
Western Australia is poorly done by in the sharing of GST, and are committed to
trying to doing something about it. Contrast that with the Shorten opposition,
which is committed to doing nothing. We are committed to doing something.
Dr A.D. Buti : You
have done nothing.
Dr M.D. NAHAN : The
member said that we did nothing. The federal Treasurer and I discussed the $499
million given to the Western Australian government by the Abbott government
last year. The member for Armadale says that was nothing; $499 million is
something.
Mr W.J. Johnston interjected.
The SPEAKER :
Member for Cannington, you have been called twice.
Dr M.D. NAHAN : We
all realise that we are in deficit this year and we were in deficit last year,
but we would not be in deficit if we got our fair share of GST. We face not a
revenue problem, but a distributional problem. We hope and expect the share of
GST to improve, but Treasury tells me it is not improving as rapidly as
expected, because of changes to things such as population growth. We are having
further discussions with the commonwealth government about assistance in the
upcoming 2016–17 financial year. Our biggest impediment is that in the
past Western Australia had the support of the Queensland, New South Wales and
Victorian governments in moving towards a per capita share, but now, because of
the Labor Party in Queensland and Victoria, those states have dropped out, so
it is just us and New South Wales on our lonesome. The commonwealth Treasurer
and government are committed to change and the government of Western Australia
is committed to change. The oppositions do not count. I am confident that we
will get some improvement in the long term.
Ms R. Saffioti interjected.
The SPEAKER :
Member for West Swan, I call you to order for the first time. I do not want any
more interjections while I am on my feet. A quick answer please, Treasurer.
Dr M.D. NAHAN : One
thing is sure: only under federal and state Liberal governments will we get a
better improvement of GST outcomes.
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