Ms MARTIN - 2000-05-10
I listened very carefully to the Treasurer’s answer to that question and, talking about last night’s federal budget, there was one giant omission, Treasurer - the GST. Last night the Commonwealth, like your mate the federal Treasurer, Peter Costello, did his budget speech and did not even mention the GST. You have caught the bug,
Last night’s Commonwealth budget revealed for the first time the true impact on the CPI from the GST. It is now expected to jump by around 6.75% following the introduction of theGST on 1 July. Territorians know why. An 8.7% increase in electricity prices, similar amounts for airfares and clothing, interest rates that have all but knocked out the tax cuts, a falling dollar pushing fuel prices up still further. The compensation package was based on an expected CPI effect of 1.9% - not 6.75%.
With the large gap between the NT and southern prices now set to broaden further, will the Treasurer now admit that Territorians will not be better off under the GST?
ANSWER
Mr Speaker, I wonder if the Leader of the Opposition knows what the inflation rate in the Northern Territory was over the last year compared with the national rate? I think the answer is a ‘no’. The cranium gap there has just expanded a bit.
The CPI in Darwin, compared to the national CPI, is a very positive picture for the Northern Territory. The CPI has increased at a much lesser rate than nationally and from that point of view the lack of knowledge of the Leader of the Opposition in regard to that important factor demonstrates that she is not interested in the positive, she is not interested in the facts. She wants to ignore all the things that are positive and just draw out the nasties. What she did not say in her question is, could the Treasurer advise if the impost of the GST is going to be offset by tax cuts, reductions in personal taxation? Will a family of 5 on $40 000 single income a year get an extra $50 a week in their pocket?’ Yes, they will, but you would not want to talk about the positives. In terms of the announcements of the federal Treasurer last night and the federal government in relation to their budget, have a whinge to them if you are not happy with what is in it. It is not my budget – not our budget. It is the federal Treasurer’s budget.
In relation to her reference that I did not mention the GST in the former question, what I mentioned was tax reform. This country will experience tax reform as from 1 July. GST happens to be one component of that tax reform. The GST impost will be offset by more money in people’s pockets so they won’t be disadvantaged in relation to that. Pension recipients will receive 4% more. People will get up to $50 a week extra in their pay packets to offset the GST. Why can’t the Leader of the Opposition be more objective and more honest in her presentation of these matters, rather than trying to be a scaremonger and suggesting to people - not only suggesting - but stating as a statement of fact all the incorrect things that are only serving to get people edgy in relation to tax reform.
In relation to her boss’s stance on GST, where he was completely opposed to it, would not support it in the Senate, so as a consequence we have more complex tax arrangements than we would otherwise have as from 1 July, yet now he is not going to change it at all. So, if he is elected as Prime Minister come the next federal election you will still have GST. Roll back is even dead. That’s his latest change. First of all he was going to change the GST dramatically, he couldn’t have it at all. Now he is not even going to do much at all. You will have very much the same taxation system if Kim Beazley was to be the Prime Minister.
In relation to the Northern Territory, we happen to be part of a national economy, and we will share in all of those things that the taxation reform will bring the nation.
Last night’s Commonwealth budget revealed for the first time the true impact on the CPI from the GST. It is now expected to jump by around 6.75% following the introduction of theGST on 1 July. Territorians know why. An 8.7% increase in electricity prices, similar amounts for airfares and clothing, interest rates that have all but knocked out the tax cuts, a falling dollar pushing fuel prices up still further. The compensation package was based on an expected CPI effect of 1.9% - not 6.75%.
With the large gap between the NT and southern prices now set to broaden further, will the Treasurer now admit that Territorians will not be better off under the GST?
ANSWER
Mr Speaker, I wonder if the Leader of the Opposition knows what the inflation rate in the Northern Territory was over the last year compared with the national rate? I think the answer is a ‘no’. The cranium gap there has just expanded a bit.
The CPI in Darwin, compared to the national CPI, is a very positive picture for the Northern Territory. The CPI has increased at a much lesser rate than nationally and from that point of view the lack of knowledge of the Leader of the Opposition in regard to that important factor demonstrates that she is not interested in the positive, she is not interested in the facts. She wants to ignore all the things that are positive and just draw out the nasties. What she did not say in her question is, could the Treasurer advise if the impost of the GST is going to be offset by tax cuts, reductions in personal taxation? Will a family of 5 on $40 000 single income a year get an extra $50 a week in their pocket?’ Yes, they will, but you would not want to talk about the positives. In terms of the announcements of the federal Treasurer last night and the federal government in relation to their budget, have a whinge to them if you are not happy with what is in it. It is not my budget – not our budget. It is the federal Treasurer’s budget.
In relation to her reference that I did not mention the GST in the former question, what I mentioned was tax reform. This country will experience tax reform as from 1 July. GST happens to be one component of that tax reform. The GST impost will be offset by more money in people’s pockets so they won’t be disadvantaged in relation to that. Pension recipients will receive 4% more. People will get up to $50 a week extra in their pay packets to offset the GST. Why can’t the Leader of the Opposition be more objective and more honest in her presentation of these matters, rather than trying to be a scaremonger and suggesting to people - not only suggesting - but stating as a statement of fact all the incorrect things that are only serving to get people edgy in relation to tax reform.
In relation to her boss’s stance on GST, where he was completely opposed to it, would not support it in the Senate, so as a consequence we have more complex tax arrangements than we would otherwise have as from 1 July, yet now he is not going to change it at all. So, if he is elected as Prime Minister come the next federal election you will still have GST. Roll back is even dead. That’s his latest change. First of all he was going to change the GST dramatically, he couldn’t have it at all. Now he is not even going to do much at all. You will have very much the same taxation system if Kim Beazley was to be the Prime Minister.
In relation to the Northern Territory, we happen to be part of a national economy, and we will share in all of those things that the taxation reform will bring the nation.
Last updated: 09 Aug 2016