The ACT Property Council has applauded Andrew Barr’s support for an increase in GST.

The Council’s Catherine Carter says that during a debate in the Assembly yesterday Andrew had confirmed his support for an increase in the GST which in turn would lead to abolition of real estate stamp-duty.

“Stamp duty is an unreliable and inefficient roller-coaster of a tax that must go,” Catherine said.

“However, it’s clear that land tax cannot do all the heavy lifting, and that transferring a stamp duty revenue base onto land tax won’t raise the revenue needed. Increasing the GST can help us axe our most diabolical tax.”

“With smart tax reform, we can grow the economy and raise more revenue – but we must rely on a better mix of taxes to do it,” Ms Carter concluded.

Unions ACT, however, is less enthusiastic.

“We are calling on all political leaders in the ACT must categorically rule out any support for an increase to the GST,” Alex White, secretary of UnionsACT said.

“Genuine tax reform must enhance the capacity of governments to fund public services, infrastructure and decent social protections.

“The Government should close loopholes that allow corporations and multi-millionaires to aggressively minimise their tax, before raising the GST.

“Locally, unions will be campaigning actively to ensure that the tax debate focuses on fairness and equity.”

[Photo by Ben Hosking, attribution licence]