IPA CEO Andrew Conway says Australia “desperately needs large scale tax reform” to address current fiscal issues.
“There have been too many stop-starts when it comes to much-needed reform,” Mr Conway said.
“We believe the terms of reference for the white paper should be broad and include the GST as part of the mix. True reform will not be achieved if the total tax mix is not considered.
“The tax reform white paper needs to draw on all of the existing work already undertaken including the Henry Tax Review and the 2011 tax forum under the former government in formulating a blueprint to prepare for the challenges ahead.”
Mr Conway said the current political climate has made ‘big bang’ tax reform “extremely difficult for the major political parties”.
“As a way forward, consideration should be given to establishing an independent tax reform commission to support tax policy decision-making,” he said.
The recommendations form part of the IPA’s pre-budget submission.
