Victorian shadow treasurer Brad Rowswell attended a forum in Wallan with business representatives to discuss the nature of State Government taxes.
The forum was hosted by Liberal Member for Northern Metropolitan Region Evan Mulholland.
Victorians pay some of the highest state taxes in Australia with Australia Bureau of Statistics data showing in 2021 to 2022, Victorian state and local governments recorded $5638 taxation revenue per capita – a 24.7 per cent change from the year prior where New South Wales, Western Australia and the Australian Capital Territory had higher taxation revenue.
However, this total does not include factors including mining royalties, which represent a major revenue source for resource-rich states such as Western Australia.
The Liberals and Nationals have launched a discussion paper aimed at reforming Victoria’s tax system and easing the burden on singles, families and businesses.
The paper ‘Making Victoria’s tax system work – Reducing cost pressures for families, community groups and business’ seeks public input on how to make Victoria’s tax system more competitive, encourage investment in the state and ease the burden on Victorians.
Mr Rowswell said growth areas like Wallan were high on his agenda.
“The cost of living is biting harder here and local businesses are really struggling with high taxes,” he said.
“Victoria’s tax system needs to encourage opportunity and promote a growth agenda for jobs, investment, competitive markets and digital transformation.
“Instead Victoria’s tax system is punitive. It discourages rather than incentivises investment and job creation in our state. It adds costs to businesses and families actively trying to get ahead. It undermines choice and creativity.”
Mr Mulholland said Victoria’s tax system was punitive, adding to the costs of businesses and families ‘actively trying to get ahead’.
“It undermines choice and creativity and is in urgent need of reform with Victorians paying more state taxes than anywhere else in the nation,” he said.
“Wallan needs a government willing to listen to local businesses, not punish them for creating jobs and providing essential services.”
All Victorians are encouraged to submit views and ideas at bettertaxsystem.com.au with submissions closing October 31.