Weatherill’s reform plan means increased taxes

Shadow Treasurer Rob Lucas said today that Premier Weatherill’s federation reform plan is based on increasing taxes on struggling South Australian families and businesses.

Mr Weatherill’s plan is made absolutely clear in his speech to the National Press Club when he said the Federal Government had to acknowledge an $80 billion gap in funding over the next 10 years and he proposed all Governments should:

 

“…agree to work together to introduce new reform measures to fill this gap…”

 

Mr Weatherill then again pushes his plans to collect an extra $36 billion (over 10 years) by extending the GST to all financial services.

 

Mr Weatherill still hasn’t confirmed which financial services or transactions will be caught in this new Weatherill tax.

 

For example will every mortgage or extension of credit card limits result in the 10% GST being added? Would every deposit or withdrawal from a bank account be caught by the GST net?

 

Mr Weatherill is also now proposing a new national ‘heavy vehicle road user charge’ which if it meets the goal of raising additional funds for roads will obviously lead to big increases in the cost of goods and services for struggling, SA families and businesses.

 

Mr Weatherill is also proposing some form of new nationally based payroll tax or charge on businesses.

 

“The problem with Mr Weatherill’s plan is it is based on continuing to increase the level of taxes and charges on struggling families and businesses,” said Mr Lucas.

 

“Any sensible reform plan should be based on reducing the level of taxes and charges by cutting out waste and duplication in delivering essential services.

“Until Mr Weatherill recognises that reality, his reform plans will be as likely to be achieved as his promise of 100 000 jobs by February 2016.”