State revenues under threat: PM

Original article by Primrose Riordan, Ben Packham, Ben Wilmot
The Australian – Page: 6 : 1-May-19

Prime Minister Scott Morrison says Labor’s proposed changes to the negative gearing and capital gains tax regimes could result in lower GST and stamp duty revenue for state governments. He added that the states should seek a guarantee from Labor that its reforms would not affect their revenue. Shadow treasurer Chris Bowen in turn has blamed the Coalition for the housing market downturn, which has reduced state governments’ stamp duty revenue.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY, REAL ESTATE INSTITUTE OF WESTERN AUSTRALIA, STOCKLAND – ASX SGP, AUSTRALIA. ATTORNEY-GENERAL’S DEPT, HOUSING INDUSTRY ASSOCIATION LIMITED, MASTER BUILDERS AUSTRALIA INCORPORATED

Morrison’s $9bn GST fix facing Labor, states revolt

Original article by Andrew Burrell, Rachel Baxendale
The Australian – Page: 1 & 4 : 4-Oct-18

The federal government’s proposed changes to the formula for distributing goods and services tax revenue was rejected by the majority of state treasurers at a meeting on 3 October. The reforms had the support of Western Australia’s Treasurer Ben Wyatt, but other state treasurers warned that the Coalition must guarantee that no state or territory will be worse off. Federal Labor also opposes the GST reforms, and Prime Minister Scott Morrison says he will take the GST policy to the next election if it is blocked in parliament.

CORPORATES
AUSTRALIAN LABOR PARTY, WESTERN AUSTRALIA. DEPT OF TREASURY AND FINANCE, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, VICTORIA. DEPT OF TREASURY AND FINANCE, NEW SOUTH WALES. THE TREASURY, QUEENSLAND. TREASURY, TASMANIA. DEPT OF TREASURY AND FINANCE, SOUTH AUSTRALIA. DEPT OF TREASURY AND FINANCE

PM stares down states over GST compensation

Original article by Phillip Coorey
The Australian Financial Review – Page: 4 : 3-Oct-18

Proposed changes to the formula for the distribution of goods and services tax revenue will head the agenda of a meeting of the federal and state treasurers on 3 October. Prime Minister Scott Morrison has given assurances that no state will worse off, but the eastern states are concerned that the GST reforms favour Western Australia and that they will lose more in revenue than the federal government has proposed to offer by way of compensation. Morrison has indicated that he will legislate to make the changes even if the reforms are not supported by the eastern states.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY, VICTORIA. DEPT OF TREASURY AND FINANCE

Labor threat to derail GST distribution law

Original article by Andrew Burrell, Matthew Denholm
The Australian – Page: 6 : 2-Oct-18

Prime Minister Scott Morrison has announced that he will introduce legislation aimed at changing the way that goods and services tax revenue is distributed. He promised that no state would be worse off under his GST plan, but shadow treasurer Chris Bowen said he is concerned that Morrison’s proposed legislation does not state explicitly that this would be the case. Similarly, the Tasmanian Government wants an "enforceable guarantee" from the federal government that it will not be worse off under the proposed changes.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY, TASMANIA. DEPT OF PREMIER AND CABINET, TASMANIA. DEPT OF TREASURY AND FINANCE, NEW SOUTH WALES. THE TREASURY

PM to sandbag seats with GST overhaul

Original article by Andrew Burrell
The Australian – Page: 1 & 4 : 1-Oct-18

Prime Minister Scott Morrison is poised to announce plans for changes to the formula for distributing goods and services tax revenue. The legislation, which would provide the states and territories with an additional $7.2bn in funding, is expected to be put forward during the next session of Parliament. The changes will benefit Western Australia in particular, where the Liberal Party is in danger of losing up to five seats at the next federal election. The proposed changes will include the introduction of a GST floor of $0.70 in the dollar from 2022-23, which will increase to $0.75 in 2024-25.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIAN LABOR PARTY

Treasurer’s fix ends GST battle

Original article by Ben Packham
The Australian – Page: 1 & 2 : 6-Jul-18

Shadow treasurer Chris Bowen has criticised the Federal Government’s proposal to provide the states and territories with top-up goods and services tax payments. Treasurer Scott Morrison said the GST payments will be funded via consolidated revenue, but Bowen has warned that the government could potentially reduce funding for hospitals and schools to finance the deal. The states are expected to endorse the changes, which aim to ensure that each state’s share of GST revenue does not fall below $0.75 in the dollar.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, NEW SOUTH WALES. THE TREASURY

$7bn GST top-up to win states

Original article by Simon Benson
The Australian – Page: 1 & 2 : 5-Jul-18

The Federal Government proposes to introduce a new model for the distribution of goods and services tax revenue which aims to ensure that no state territory will be disadvantaged. The reforms include the introduction of a GST floor, which will ensure that each state receives a minimum of $0.70 per person for each dollar of GST revenue from 2022. This will rise to $0.75 in 2024. The Government will also provide a funding boost totalling $A7bn to compensate states and territories for any loss of revenue during the six-year transition phase.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. PRODUCTIVITY COMMISSION

No state worse off in GST shake-up: PM

Original article by Phillip Coorey
The Australian Financial Review – Page: 3 : 3-Jul-18

The Federal Government will shortly release its response to the Productivity Commission’s report on the distribution of goods and services tax revenue. Prime Minister Malcolm Turnbull has stressed that no state will be disadvantaged by any change in the methodology for allocating GST revenue. The government is expected to compensate states for any loss of revenue during the transition to a new GST distribution formula; economist Saul Eslake says clarification is needed regarding the compensation plan.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. PRODUCTIVITY COMMISSION, VICTORIA. DEPT OF TREASURY AND FINANCE, AUSTRALIAN LABOR PARTY

GST stoush looms ahead of byelections

Original article by Andrew Tillett
The Australian Financial Review – Page: 11 : 31-May-18

Federal Treasurer Scott Morrison recently received the Productivity Commission’s final report on changes to the distribution of goods and services tax revenue. Prime Minister Malcolm Turnbull has told parliament that the report will be released prior to the five upcoming by-elections in late July. He also said the government will take its time in formulating a response to the report’s recommendations, and stressed that no state or territory will be disadvantaged by any changes to the GST system.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. PRODUCTIVITY COMMISSION, AUSTRALIAN LABOR PARTY, LIBERAL PARTY OF WESTERN AUSTRALIA, CENTRE ALLIANCE

States suffer as PM’s pet projects prosper

Original article by David Uren
The Australian – Page: 2 : 22-May-18

Federal grants to the states for infrastructure projects have declined to their lowest point since 2013-14. Prime Minister Malcolm Turnbull has stated that the federal government should not be seen as an ATM for the states and territories on infrastructure, with his government preferring to put money in projects in which it has direct equity, such as Western Sydney Airport. Adrian Dwyer, the CEO of Infrastructure Partnerships Australia, contends that there is a considerable difference between direct and equity funding. He says more infrastructure spending is needed to address congestion in Australia’s cities.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, INFRASTRUCTURE PARTNERSHIPS AUSTRALIA, AUSTRALIA. DEPT OF INFRASTRUCTURE AND REGIONAL DEVELOPMENT