SA's bank tax passes the first hurdle

South Australia's controversial bank tax has passed state parliament's lower house.

Premier of SA Jay Weatherill during question time at Parliament house.

South Australia's controversial bank tax has passed state parliament's lower house. (AAP)

The South Australian government's controversial bank levy has passed state parliament's lower house.

The budget measures bill, which includes the tax on the big banks, was passed on Thursday after the opposition failed to pass an amendment to strip out the levy.

The bill now goes before the upper house where the Liberals have vowed to strike it down, possibly with the support of some crossbench MPs.

After the vote, Treasurer Tom Koutsantonis said the Liberal Party's opposition to a budget or money bill was "unprecedented".

Earlier Steven Marshall vowed to continue to fight the tax which he said would create uncertainty in the local economy by driving investors interstate.

"People are saying 'it's too difficult in South Australia; your taxes are too high, your energy costs are too high, and you've got a government which hates the private sector," he said.

Premier Jay Weatherill doubled down on his support the revenue measure, this week taunting the Commonwealth Bank amid alleged breaches of anti-money laundering and counter-terrorism financing laws.

He went further on Thursday, declaring the banking sector had "entirely lost its moral compass."

Mr Weatherill said lobbying by the banks against the levy was a "dishonest campaign" and a "corruption of democracy".

The premier also defended Mr Koutsantonis over him reportedly using offensive language against BankSA chief executive Nick Reade.

But Mr Marshall said the treasurer's alleged foul language was part of a pattern of behaviour from the premier's right-hand man.

"The allegations are very serious and really undermine the confidence that the people of South Australia and potential investors can have in this government," he said.


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Source: AAP



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