ACT warns losing GST protection would cost 900 teacher jobs
ACT Treasurer Chris Steel says losing a no-worse-off GST guarantee would cost the territory the equivalent of 900 teachers' salaries.
ACT Treasurer Chris Steel wants to stop 2018 changes in how Australia distributes GST revenue between states and territories. The 2018 changes were meant to protect Western Australia.
The 2018 changes have since required billions in yearly compensation payments. Steel told the Productivity Commission this month about a concern.
Losing the no-worse-off guarantee would force the ACT to make a difficult choice. The territory could cut services, raise taxes, or add to debt.
Steel estimates the impact would equal 900 teaching positions. Steel argues Western Australia should not receive permanent preferential treatment under the national tax system.
He says all states and territories should follow the same rules. This maintains equal access to services across Australia.
- 900 salaries
- Teacher positions at risk
- 2018
- Year changes implemented
- Billions of dollars
- Annual compensation cost
- Chris Steel, ACT Treasurer
- Speaker
Why it mattersHow Australia distributes tax revenue between states directly determines funding levels. Each region's funding determines how many teachers, nurses and services it can afford.
AustraliaIf the federal government removes GST protections, ACT schools and public services could face significant cuts without major tax increases.
✓ Claims checked against the source. checked 2 h ago
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