Mrs HICKEY - 1998-04-30
On 5 August last year, the Treasurer issued a press release regarding the High Court's decision striking out state and territory business franchise fees. I seek leave to table a copy of that press release.
Leave granted.
Mrs HICKEY: In his press release, the Treasurer assured Territorians that there would be 'no overall reduction in state and territory revenues'. In his budget of betrayal, the Treasurer claims the Territory has lost $10m because of the High Court's decision. Which document is untrue and misleading - his press release or his budget?
ANSWER
Madam Speaker, the issue of business franchise duties has been explained to members opposite. Again, their incapacity to receive or interpret information is obvious. The position on business franchise duties is that a High Court decision determined that the states and territories could no longer apply those charges. At that time, we were aware that the power would have then to be transferred to the Commonwealth. We believed there would be no impact this financial year as a result of that change. However, there was a lapse of about a month between the cessation of collection by the states and territories and the commencement of collection by the Commonwealth on behalf of the Territory. Duties are collected by the Commonwealth ...
Mr Bailey: You have got it wrong.
Mr REED: You have asked the question. Do you want to hear the answer?
Mr Bailey: You are wrong.
Madam SPEAKER: Order!
Mr REED: As members would appreciate, that lapse of a month or so has had a very severe impact on the states and territories. Leading up to the Premiers Conference, there was discussion among Premiers, Chief Ministers and Treasurers from around the country about attempts to overcome that funding shortfall. Hopefully, something may be in place to enable us to recoup some of it. It was totally out of the control of the Northern Territory or the states ...
Mr Bailey: You lied to Territorians.
Madam SPEAKER: Order!
Mr REED: You do not have the capacity to understand the complexity of the situation and the impact that it has had on the states and territories. The point that ...
Mr Bailey: You lied to us.
Mr REED: A point of order, Madam Speaker! I ask the member for Wanguri to withdraw that comment. He is suggesting that I have lied.
Madam SPEAKER: Member for Wanguri, you should withdraw that remark.
Mr BAILEY: Under standing orders, I cannot imply that he has lied. I withdraw.
Mr REED: Madam Speaker, given that the circumstances were completely beyond our control and that of other states and territories, an impost has been placed on us in that the income flowing from those excise fees has been reduced. We hope we may be able to recover it over time. However, in the current financial year, there is a reduction in the order of $10m ...
Mr Bailey interjecting.
Mr REED: ... in revenue from those sources.
Madam SPEAKER: Order! Member for Wanguri, please cease your interjections. You have been told on numerous occasions during these sittings.
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Leave granted.
Mrs HICKEY: In his press release, the Treasurer assured Territorians that there would be 'no overall reduction in state and territory revenues'. In his budget of betrayal, the Treasurer claims the Territory has lost $10m because of the High Court's decision. Which document is untrue and misleading - his press release or his budget?
ANSWER
Madam Speaker, the issue of business franchise duties has been explained to members opposite. Again, their incapacity to receive or interpret information is obvious. The position on business franchise duties is that a High Court decision determined that the states and territories could no longer apply those charges. At that time, we were aware that the power would have then to be transferred to the Commonwealth. We believed there would be no impact this financial year as a result of that change. However, there was a lapse of about a month between the cessation of collection by the states and territories and the commencement of collection by the Commonwealth on behalf of the Territory. Duties are collected by the Commonwealth ...
Mr Bailey: You have got it wrong.
Mr REED: You have asked the question. Do you want to hear the answer?
Mr Bailey: You are wrong.
Madam SPEAKER: Order!
Mr REED: As members would appreciate, that lapse of a month or so has had a very severe impact on the states and territories. Leading up to the Premiers Conference, there was discussion among Premiers, Chief Ministers and Treasurers from around the country about attempts to overcome that funding shortfall. Hopefully, something may be in place to enable us to recoup some of it. It was totally out of the control of the Northern Territory or the states ...
Mr Bailey: You lied to Territorians.
Madam SPEAKER: Order!
Mr REED: You do not have the capacity to understand the complexity of the situation and the impact that it has had on the states and territories. The point that ...
Mr Bailey: You lied to us.
Mr REED: A point of order, Madam Speaker! I ask the member for Wanguri to withdraw that comment. He is suggesting that I have lied.
Madam SPEAKER: Member for Wanguri, you should withdraw that remark.
Mr BAILEY: Under standing orders, I cannot imply that he has lied. I withdraw.
Mr REED: Madam Speaker, given that the circumstances were completely beyond our control and that of other states and territories, an impost has been placed on us in that the income flowing from those excise fees has been reduced. We hope we may be able to recover it over time. However, in the current financial year, there is a reduction in the order of $10m ...
Mr Bailey interjecting.
Mr REED: ... in revenue from those sources.
Madam SPEAKER: Order! Member for Wanguri, please cease your interjections. You have been told on numerous occasions during these sittings.
Page 228
Last updated: 09 Aug 2016