eastwest101
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- Oct 26, 2010
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There is no way either the feds are going to give WA more GST (I think Greiner called that "bizarre") and there is no way that a state premier or territory leader is going give it up voluntarily.
As others have pointed out - existing GST revenue distribution formula is dictated to by the Commonwealth Grants Commission under the direction of the federal government
So...........you can either back an increase in the GST OR you can back an increase in the super-profits tax..........or you could just stop whining. Geez everyone in WA must walk around with faces like a cat's bum.
False dichotomy predicated on the myth that there is not enough federal and state revenue to fund future government expenditure. As you know - any increase in the rate of the GST would require agreement from all premiers and the federal government, unlikely, but not impossible.
State royalties already generate revenue for WA and for other states - its in the constitution. And nice industry specific leap of logic there to single out the mining industry with its inherant boom/bust cycles as a source of revenue.
So your suggestion is that because the WA economy is booming and revenue is being transferred to economic basket cases like TAS and SA that people in WA should just "shut up" and stop whingeing about it? My suggestion would be a bit more moderate in that a minimum and maximum cap on redistribution of GST revenues be set so that all state governments have a motivation to, and are eventually forced to live within their means, reform inefficient taxes and attract investment/jobs and people, or simply be left to fail.