Queensland's quest to raise tax paper talks
Queensland local governments have a lot to say on the issues raised in the Federal Government’s tax discussion paper this week.
The Local Government Association of Queensland (LGAQ) says the future of land tax reform, access to a set revenue stream from a growth tax and questions over the level and cost of government service delivery are key issues.
The LGAQ is preparing a major discussion paper on these issues and intends to have an influential voice in the tax reform debate.
LGAQ President Margaret de Wit said a comprehensive reform of both Federation and the taxation system was vital for the future financial sustainability of local government.
“Councils cannot continue to rely on rates and other charges to fund services the community wants, particularly when in many cases they are providing services that the state has ceased to provide,’’ Cr de Wit said.
“Local government in Queensland has long argued for access to a set revenue stream from a growth tax and we will be arguing strongly for this to be considered as part of this review.’’
She said local communities were losing out from a system too reliant on income taxes and too inefficient in terms of fairly distributing tax revenue.
“One issue particularly relevant to local communities is the future of land tax and how any reform will impact on the overall tax burden,’’ she said.
She said any move to increase or broaden State land tax could affect the flexibility of local government in regard to rates revenue as it would impact on the community’s capacity to pay.