A Charter For A More Prosperous South Australia

In 2014 Business SA launched A Charter for a More Prosperous South Australia to drive and influence robust policy debate.
The Charter recommends a series of economic and social reforms to boost economic sustainability and prosperity in South Australia. It covers a broad range of issues including taxation, industry, trade, workplace relations, governance, infrastructure and workforce development.
The recommendations within the Charter, if implemented by State Government, will create a supportive and competitive business environment within which you – our members – can thrive.

Taxation Recommendations

1.1 Lead Commonwealth-State Government relations for a comprehensive review of the Australian tax system, including the GST, to enable the abolition of inefficient State based taxes such as payroll tax.

1.2 Lift the payroll tax threshold from $600,000 to $1,000,000 by 2017/18 through annual increases of $100,000.

1.3 Re-introduce the payroll tax exemption for wages paid to apprentices and trainees.

1.4 Reduce the land tax rates and lift the threshold so that South Australia has one of the most competitive land tax systems in Australia, as opposed to being the least competitive. South Australia’s top land tax threshold should be progressively raised to $2,500,000 and the top rate progressively lowered to 2.5% by 2016/17, with other thresholds and rates lowered accordingly.

1.5 Reduce the number of other State taxes and charges affecting businesses beginning with those agreed as part of the Inter-Governmental Agreement on Federal Financial relations: to abolish stamp duty on business transfers and non-quotable marketable securities.

1.6 Ensure South Australia maintains its share of GST revenue, Special Purpose Grants and other Commonwealth funding in accordance with the Principles of Horizontal Fiscal Equalisation (HFE). Given that any changes to HFE are unlikely without consensus of the States, South Australia should lead Commonwealth-State financial relations in promoting the long term benefits of HFE to all States.

1.7 Do not proceed with the planned introduction of a Transport Development Levy from 1 July 2014. Also known as the ‘Car Park Tax’, this $750 annual levy will be payable on all ‘on street’ and ‘off street’ CBD car parks (with some exemptions for residential, disabled and customer car parking).

Bookmark this page to:
Add to Twitter Add to Facebook Add to LinkedIn