Australia

The change will “cause a fairly serious fracture” in WA

Premier warns that attempts to change GST’s earnings curve-up system following the COVID-19 pandemic will “cause a fairly serious fracture” in Western Australia.

Washington boasts a state budget that forecasts a surplus for the next four years, but many other states are expected to struggle during the recession caused by the pandemic.

But Western Australia’s Prime Minister Mark Magawan said at the Diggers and Dealers Mining Conference on Monday that states trying to reform the GST system to boost their finances would fail.

“Some of them are dissatisfied with it, but apparently trying to unleash it would cause a fairly serious fracture between the state and the federal government, especially in Western Australia,” McGowan said. Told.

“We do not tolerate anything of that nature.”

In 2018, a new GST distribution method was announced. This included an additional WA payment to give the state at least $ 70 cents.

This was a significant increase from the disastrous 30 cents WA had for a time.

“But we’re not getting what other states are getting,” McGowan said.

“New South Wales has a lot of complaints, about 95 cents for every dollar you put in, Victoria receives about $ 1 for every dollar … Tasmania gets about $ 2 for every dollar you put in. I will receive it, but I don’t think it’s enough.

“So Western Australia is still subsidizing the rest of the country under the GST agreement, even if it is currently under construction.

“But obviously, if they try to unleash what was negotiated, they will have a serious conflict with Western Australia.”

Place of originThe change will “cause a fairly serious fracture” in WA

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