• Hodgman finally taking GST situation seriously
• Tasmania stands to receive lowest share of Federal distribution since 1940s
Premier Hodgman is in South Australia at a crisis meeting with the second biggest loser from the proposed GST reforms, confirming Labor’s concerns over the dodgy GST deal.
“Since the state election, Premier Hodgman walked away from almost two decades of the Tasmanian Labor and Liberal Parties jointly opposing any change to the way the GST is distributed,” Shadow Treasurer Scott Bacon said.
“In submissions to the Productivity Commission Inquiry and as recently as last year in Parliament, both Premier Hodgman and Treasurer Peter Gutwein had maintained the long-held bipartisan position that Tasmania would not accept any change to the GST distribution method.
“However, it appears Premier Hodgman’s commitment to that position was only solid until someone from the Liberal Party asked for him to change it.
“Premier Hodgman now appears to be finally taking Labor’s warnings seriously, travelling to South Australia to try and salvage something out of this deal in partnership with Premier Steven Marshall.”
GST Deal Facts:
• The GST deal will provide Tasmania with the lowest share of Federal Government distributions since World War 2.
• The proposal to compensate Tasmania for its loss of GST with top up payments will be as uncertain as any other political promise made by the Federal Government.
• Tasmania is being asked to give up the certainty the current GST arrangements provide in exchange for the highly-speculative hope that it will receive just 0.5 per cent more federal funding.
Scott Bacon MP Shadow Treasurer
