The Government has now delayed the first step in the Tax White Paper process - the release of the Issues Paper – until January 2015.
Once the paper is finally released, it will be followed by a period of consultation, with a Green (or options) paper to follow in late 2015. The final stage is the White Paper itself, which will be the Government’s policy document and will be released in 2016 in close proximity to the election.
The Issues Paper is designed to kick-start the debate on what is the ideal tax system for Australia. The paper is expected to discuss simplifying the tax system and reducing taxpayers’ compliance costs, particularly for small business.
It will look at our current tax system and highlight areas that could unlock greater productivity, international competitiveness and economic growth. How can the tax and transfer systems create more incentives to work and save?
What tax changes are needed to ensure that government revenues keep pace with spending priorities? The GST will certainly feature in the debate, as will high cost tax expenditures such as superannuation concessions.
We look forward to the debate and will keep members informed of developments.
Finally I would like to wish all members a Merry Christmas and a Happy New Year. We will be back at work on 5 January and look forward to another great year ahead.
Robert Jeremenko CTA