10 Oct 11 Treasurer's closing remarks at Tax Forum
The Treasurer has released his closing remarks at the Tax Forum.
In relation to losses, he said:
"Losses were raised...There is common ground and we need a way to take things forward.
So I have asked Chris Jordan to chair a business tax reform working group...It will include business leaders, tax experts, unions, and will be supported by Treasury
It will look at business tax responses to a patchwork economy, and how to fund them...It will provide an initial report in November, and a final report by March next year.
We need to consider things like loss carry back, uplifting losses, and what happens to the value of losses when business change composition or ownership. The working group should also identify ways to fund these ideas, from business tax."
In relation to personal tax, he said:
"A few months ago, we announced that we would triple the tax free threshold from $6,000 to $18,200 on 1 July next year...
Our first priority in further personal tax reform will be to increase the tax-free threshold further, to at least $21,000, and remove the Low Income Tax Offset entirely
Lifting the tax-free threshold to $18,200 will free up to a million taxpayers from having to fill in a tax reform. Lifting it further to $21,000 would push this to well over a million."