The Federal Government’s failure to address issues with the Goods and Services Tax (GST) in the Budget released last night (13 May 2014) is of major concern, according to the Real Estate Institute of New South Wales.
“For some reason it appears that the need to review the taxation system is being avoided,” REINSW President Malcolm Gunning said.
“Everyone knows we need to get rid of our inefficient state taxes, including stamp duty, land tax and payroll tax, and implement a broad based tax system.
“The sooner the Government recognises this, the sooner we can move forward with working out the logistics of what needs to be done.
“Both the State and Federal Governments are sitting back and refusing to bring the issue to the table. Someone has to move first and last night’s Budget was the right opportunity to acknowledge that something needs to be done.
“We need to have a debate because the current state-based tax system is inhibiting our economic growth and must be overhauled.
“Industry and commerce’s compliance costs and the public servants administering the supporting bureaucracy associated with these inefficient and inequitable taxes will be removed if these taxes are abolished, and these savings alone should be inspiration enough to justify a review.
“We need a modern broad-based tax system that will provide government with its revenue and not impede or deter investment.
“The Federal Budget focused too much on debt and the solving of the debt problem very quickly. Eliminating debt so swiftly could have an adverse effect on growth.
“While we support reducing the budget deflect, it is important not to inhibit growth as it appears this budget will,” Mr Gunning said.
For further information or to arrange an interview with REINSW President Malcolm Gunning, please contact:Helen Hull – 0419 642 961 or [email protected]