GST increase off the table, tax breaks face scrutiny

PRIME Minister Malcolm Turnbull has officially confirmed the Coalition will not raise the GST, in a move that could open the door to changes to tax breaks including negative gearing.

Mr Turnbull seemed to indicate last week he was not in favour of raising the GST. Yesterday he said it was definitely out as the economic growth it would create was "somewhere between nil and very small".

The government is considering changes to negative gearing and capital gains tax concessions and lowering income taxes as business lobbies for a cut to company tax.

The widening tax debate comes as The Australia Institute released a report yesterday showing Australians younger than 30 received just 6.4% of the $37 billion of tax concessions through negative gearing, superannuation and CGT.

Treasurer Scott Morrison is expected to outline more reform proposals to the National Press Club today.

The speech comes as Mr Morrison receives submissions from business and community groups ahead of his first budget that will shape voter expectations into the election.

While both Mr Turnbull and Mr Morrison have repeatedly left "everything on the table" for potential tax reforms, the government has all but abandoned its tax white paper process.

Mr Morrison has previously rejected continuing that in favour of a more open debate, despite releasing no proposals since Mr Turnbull became leader.

Opposition Leader Bill Shorten campaigned against the GST rise and proposed reforms to negative gearing and CGT concessions.

Mr Morrison is understood to be considering changes to negative gearing.



More than 80 Ipswich faces from Christmas Wonderand

premium_icon More than 80 Ipswich faces from Christmas Wonderand

See who was out and about enjoying festive cheer in Ipswich

Ex-cyclone Owen is expected to fade overnight

Ex-cyclone Owen is expected to fade overnight

Ex-tropical cyclone Owen is set to fizzle out Monday morning

Aunty acts and locks car in shed to stop driver

premium_icon Aunty acts and locks car in shed to stop driver

Driver fails to stop for police while driving disqualified

Local Partners