FED: States demand all GST revenue Kennett

AAP General News (Australia)
04-08-1999
FED: States demand all GST revenue Kennett

CANBERRA, April 8 AAP - The states and territories could refuse to sign off on the GST
unless they were guaranteed all revenue from the tax, Victorian Premier Jeff Kennett said
today.

Mr Kennett, a leading advocate of tax reform, said the promise of receiving all GST revenue
was the basis upon which the states and territories agreed to the tax last year.

"We're already seeing in one aspect the commonwealth is seeking to keep for itself the $250
million in GST revenue which is caught in the FBT net," Mr Kennett told the National Press
Club.

"We will be insisting that all monies raised through the GST are returned to the states and
the territories.

"If that is not agreed upon at this very early but vital stage, then it means the whole
basis on which we've entered into this agreement is being called into question.

"Unless the government can agree to what the states are obviously demanding, it puts a
threat whether the states are going to sign the agreement at all."

AAP rmg/mfh/jnb

KEYWORD: PREMIERS TAX KENNETT

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