Most believe gst increase inevitable 20150713 p5tcsg.html – Breaking News & Latest Updates 2026
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This was published 11 years ago

Take GST out of too-hard basket: survey

AAP

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Nine out of 10 Australians support tax reform that will make the system simpler and fairer, even if it means increasing GST.

While politicians may dodge talking about making changes to the GST, a new survey has found voters believe a move to increase it or broaden its base is inevitable.

The Abbott government has the tax system under review but has ruled out making changes to the GST unless the case is prosecuted by the states, since they reap the benefit of increased revenue.

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Labor has opposed the GST since its introduction 15 years ago.

However, a new survey commissioned by the Property Council of Australia has found nearly three quarters of respondents believe the GST will rise over the next decade, while 62 per cent think that it is better than other taxes because it is simple and can't be dodged.

"Broadening or increasing the GST has long been considered political poison, but that no longer reflects the attitude of the community," the council's chief executive Ken Morrison says.

About three-quarters of the 1957 people surveyed by Newgate Research believe stamp duty is unfair and is a major barrier to buying a home.

Almost half support the abolition of stamp duty in exchange for the removal of GST exemptions on food, health and education, while just under a third rejected the idea.

A similar proportion backed increasing the GST rate to 12.5 per cent from 10 per cent to get rid of stamp duty, while keeping the exemptions.

Mr Morrison said tax reform needs to replace the most distortionary taxes with more efficient revenue sources.

"Changes to the GST need to be taken out of the too-hard basket," he said.

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