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GST change not dead yet

Prime Minister and Treasurer
Prime Minister and Treasurer Source: AAP

While doubts have been cast over whether the Turnbull government will lift the rate of GST, the prime minister and treasurer have yet to rule it out.


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By yang J. Joo, Sophia Hong

Source: SBS



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While doubts have been cast over whether the Turnbull government will lift the rate of GST, the prime minister and treasurer have yet to rule it out.


If Australians woke up on Monday believing Malcolm Turnbull had ditched the idea of increasing the GST, they might have ended the day wondering if it had all been a dream.

 

Neither the prime minister nor Treasurer Scott Morrison ruled it out as part of the government's tax reform agenda, despite having plenty of opportunities to do so on Monday.

 

The day before, Mr Turnbull had said he had yet to be convinced that raising the GST to make cuts to personal income taxes was the right way to go.

 

But quizzed on the issue by Labor in parliament, Mr Turnbull said the design of such a move was a question of balance, whether it was fair and provided additional impetus to economic growth.

 

"I believe that all Australians expect this government to approach this issue not with slogans or with scare campaigns, but with careful analysis," he said.

 

Mr Morrison also left the door ajar to an increase in the GST from 10 per cent.

 

"You just don't write things off carelessly and politically," he said.

 

The treasurer wants to deliver personal tax cuts - if the GST is increased to 15 per cent - rather than use an estimated $30 billion in extra revenue for spending on hospitals and schools, as the states want.

 

"If that's not possible by that method, we are just going to go the long road," he said.

 

 


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