GST should be lifted by 2020 says CPA Australia

The Government has made it clear that an increase or broadening of the goods and services tax is not on the agenda for its tax forum next month. But CPA Australia says the Federal Government should commit to taking the issue to the states and territories, with a view to lift the GST rate to up to 20% over the next decade to help prepare Australia for the Asian century.

The accounting body commissioned KPMG Econtech to look at the likely impact of including more goods and services under the 10% rate, and increasing the level to 12.5%, 15% or 20% to compensate for the removal of inefficient taxes such as insurance taxes, motor vehicle taxes, commercial conveyancing duty and payroll tax.

It found that:

"there are likely to be positive impacts on the economy if a relatively more efficient tax, such as GST, is used to abolish existing taxes that are less efficient."

Click here to read the full story.

To keep up to date with GST related devlopments including ATO rulings, why not inquire about the TimeBase GST Point in Time Service, just one of a range of Australian Legislation services provided by TimeBase. 

 

 

 

To keep up to date with Tax Laws including ATO Rulings, why not inquire about the TimeBase GST Point in Time Service, just one of a range of Australian Legislation services provided by TimeBase.