$17Bn missing over 8 years

The major parties and the media would like you to think that the GST fix of 70c (rising to 75c in 8 years time) in the $ minimum per capita distribution to Western Australia is a good outcome.

Firstly, Western Australia GST share was already trending towards 70c in the $ per capita share due to falling state revenues from royalties, stamp duty, and payroll tax.

Secondly, the 70c floor does not take into account the huge amount of GST revenue that Western Australia has lost in the past 18 years.

Thirdly, Western Australia will be missing out on 30c in the $ of its per capita share which is approximately $2.1Bn per annum. Over 8 years that is $17Bn which could go to reducing Western Australia’s massive debt and/or improve the provision of infrastructure and services. The so-called “GST Fix” also does nothing to reduce the State’s reliance on Payroll tax, Stamp Duty and Insurance Duty, which are insidious taxes that increase costs of business and housing, and have negative impacts on employment.

The WESTERN AUSTRALIA PARTY will continue to fight for a fair share of the national GST revenue pool. And the only fair share is a 100% per capita share!

GST Lemon

GST Lemon – top ups and handouts!

 

GST Lemon passes Federal Parliament

GST Breaking News:

The Federal Government has passed a “GST floor of 75 cents” for Western Australia.
WA was already on it’s way to 75 cents without this legislation. What it means is the GST system is still broken.

GST revenue is being replaced with national debt to top up states who used WA’s GST to fund their balance sheets.

WA and NSW are the only states still not to receive a per capita (11%) share of the GST.

GST lemons!

The WESTERN AUSTRALIA PARTY‘s campaign to fix the GST is a per capita share of GST revenue collected by Canberra and paid to the states and territories – no strings attached.

PER CAPITA SHARE

Six states and territories receive more GST than their per capita share as this graph from CGC shows. WA (-5.7%) and NSW (-4.6%) are the only states that receive less.

A per capita share GST formula is easy to understand, stops Australia from being a welfare nation on the back of GST handouts, and the negative effect of pokies used to exploit gamblers and their addictions as revenue windfalls for all states except WA.

GST per capita share 2018

 

 

 

 

 

LABOR’S GST FIX

Labor’s proposal (April 2018) is for a 70 cent GST floor using $1.6 billion infrastructure fund as compensation to WA for its low GST share.  The fund is a “de facto” level of 70c in the dollar, without taking any money from other states.  This fix is a GST LEMON. Modelling show the money could run out a year later after a Labor government came to power, Andrew Burrell, WA Chief Reporter, Perth, 11 April 2018. Click here>>>

GRANTS COMMISSION’S GST FIX

The Commonwealth Grant’s Commission’s Horizontal Fiscal Equalisation report (May 2018) recommended a model base on equalisation to the average state.  Under this model WA would receive an extra $7 billion over the next 8 years or $875 million each year, hardly enough to pay the interest on WA’s debt and a shortfall to the $7 billion per year base on a per capita share.  The Commission assumes all states will exploit revenue from gambling and pokies. This fix is a GST LEMON.

LIBERAL GST FIX

Liberal’s proposal is to fix a 70c to 75c in the dollar floor to deliver WA $4.7 billion in extra GST cash over 8 years or $587.5 million per year, again like Labor, it’s not enough to pay the interest on WA’s annual interest payment on debt, and it’s not $7 billion per year under a per capita share of the GST. This  fix is a GST LEMON.

Q: Does the GST still need fixing?

Yes, while other states use our GST to balance budgets and pay down debt:

  • WA has nearly $40 billion in debt and an interest bill of $1.3 billion per annum.
  • WA is the ONLY STATE to receive less than 83 cents in the dollar of GST revenue since 1999, and the only state to receive the lowest amount at 30 cents in the dollar.
  • WA is closing services and robbing Peter to pay Paul – Moora College, WA Camp Schools, etc.
  • The GST formula rewards states that exploit gambling revenue and pokies. WA does not.
  • WA increases payroll tax which impacts on jobs.
  • Payroll tax is harmful to WA small business
  • MRIT being used to prop up WA’s credit rating.  This $500 million tax pool is meant to fund public open space and land for transport – roads and rail.

GST Lemons!

 

Save WA Camp Schools

The WESTERN AUSTRALIA PARTY says NO to the proposed closure or privatisation of six WA Camp Schools in:

  1. Point Peron,
  2. Goldfields,
  3. Bridgetown,
  4. Pemberton,
  5. Geraldton,
  6. Goldfields, and
  7. the Pilbara.

The closure  will impact over 10,000 students across WA including local schools like the Good Shepherd Catholic Primary School, Forestdale Primary School and Byford Primary School that utilise the WA Camp Schools.

Russell Goodrick, candidate for Darling Range says:

“camp schools are excellent examples of community facilities that provide immediate and long term benefits for the WA community.  They contribute to a holistic education for children in addition to enhancing the local community and the local economy.  These important contributions should be recognised and supported.”

The WESTERN AUSTRALIA PARTY’s campaign for 100% of our per-capita share of GST is gaining momentum.  If elected we will ensure GST revenue is used by the State Government to stop the closure of Moora College and WA Camp Schools, and provide a well-funded education, health and law enforcement service to all Western Australians.

Vote 1 Russell Goodrick for Darling Range on Saturday 23 June 2018.

Russell Goodrick for Darling Range Photo

 

 

 

Gambling tax exemption from GST split hurts WA

If the Liberal Party were really serious about fixing the GST for WA, they would have voted YES to include gambling revenue in the GST formula at the 2018 Liberal Party Federal Conference.  Instead they voted NO.

It is a little known fact that each state’s gambling revenues is not considered when the Commonwealth Grants Commission decides how much GST revenue each state should receive.

The states and territories that permit Club poker machines benefit from this situation receiving more GST plus significant revenues from Club poker machines and other gambling, far in excess of what Western Australia raises from the Burswood located casino. As a result, Western Australia’s share of Commonwealth revenue becomes GST welfare to these states.

Club poker machines and gambling revenues are another reason why WESTERN AUSTRALIA PARTY says

“GST formula is a LEMON and should be abolished.”

“Forget the GST formula which Liberal and Labor won’t fix, just give WA our 100% per-capita share of the GST revenue.”

If Western Australia received 100% of our per-capita share of GST, we could pay off debt, and provide a well-funded education, health and law enforcement service to all Western Australians.

Currently Western Australia receives $5.3 billion less than its capita share of the total GST revenue, and this shortfall is partly due to the exclusion of gambling revenues from the GST formula.

Vote 1 Russell Goodrick for Darling Range on 23 June 2018

Russell Goodrick for Darling Range Photo

 

Say NO to Toll Roads WA

The WESTERN AUSTRALIA PARTY says NO to toll roads in WA.

Infrastructure Australia, the Federal Government’s infrastructure planning body, is recommending that the Federal Government effectively blackmail Western Australia into accepting toll roads in exchange for GST top-ups with strings attached.

The WESTERN AUSTRALIA PARTY is opposed to toll roads, and the party does not support GST top-ups with strings attached as proposed by both Malcolm Turnbull and Bill Shorten.

Russell Goodrick, candidate for Darling Range says:

“Toll roads penalise those who live in outer suburbs such as in the Darling Range electorate as they are more likely to drive long distances to work or for other reasons.”

The only acceptable outcome to Western Australia is our per-capita (11%) share of the GST for health, education and law enforcement, and Fuel Excise revenue to be spent by the Western Australian Government on infrastructure projects that do not include toll roads.

Currently Western Australia is short-changed by $5.3 billion each year of its per-capita share of the total GST revenue.  This shortfall is denying Western Australia infrastructure projects that are urgently required, not just in the Darling Range electorate, but across Western Australia.

Vote 1 Russell Goodrick for Darling Range on 23 June 2018

Darling Range by-election Apples and Lemons campaign 2018

Save Moora College #GST4WA

Education funding cuts in rural areas of Western Australia is a direct result from Canberra’s GST broken promise.

In 1999, Canberra promised WA a secure and growing source of revenue from the GST to fund education, health and law enforcement.  So far WA is the ONLY state with a decreasing share of the GST, bank rolling other states to balance their budgets and increase services to electors.

To help the voting public fight for the #GST4WA and see the benefits of reversing funding cuts in rural areas, the WESTERN AUSTRALIA PARTY’s candidate for Darling Range, Mr Russell Goodrick, has captured the essence of Moora in a documentary featuring its growth since early 1900s.